An innovative EU financing solution for energy efficiency investments in enterprises.
Bank of Valletta, together with the European Investment Fund (EIF), and the Maltese Government have launched the ‘BOV Business Energy Loan’, a financing scheme aimed at assisting enterprises reduce their energy costs.
The loan provides businesses with a number of benefits to reduce the cost of financing energy efficiency solutions ensuring that these savings provide a direct benefit to the businesses bottom line.
Enterprises can take a maximum loan of €750,000 for a maximum term of 15 years. The attractive interest rate of 2.1% for the first three years, followed by a 3% rate thereafter, combined with a 2% interest rate subsidy over the first three years ensures that such energy efficiency investments achieve an improved payback.
The BOV Business Energy Loan is available to both SMEs and Mid-Caps (enterprises employing up to 3,000 employees) and provides financing to invest in energy efficiency and renewable energy solutions. The loan considers other eligible costs, in line with an energy study, such as electric / hybrid car fleets and water efficiency measures, among others.
‘Undertaking an energy study to prioritise those energy saving investments based on their highest payback option would be the first step’ said Albert Frendo, Chief Business Banking Officer at Bank of Valletta. ‘The BOV Business Energy loan is designed to ensure that energy efficient investments identified reap an immediate benefit to the business going forward, whilst reducing the enterprises’ carbon foot print in line with the Bank’s ESG commitments.’
To assist businesses get a better understanding of potential savings in energy costs and carbon dioxide reductions achieved through costs financed through the BOV Business Energy Loan, the European Investment Bank has developed a web based tool called ‘CliMalta’ which can be accessed via https://climalta.eu/.
Businesses who are seeking to undertake an energy efficient investment are invited to set up an appointment with their BOV branch by setting an appointment through https://bov.com/assistants/set-an-appointment, calling on (+356) 2131 2020 or by sending an email on [email protected]. Further information can be found on https://www.bov.com/products/bov-business-energy-loan.
The financial support and benefits are derived from the establishment of a Fund of Funds – “EERE Malta” which is co-financed by Malta and the European Union under the European Regional Development Fund (ERDF). The objective of this fund of funds and its first loss guarantee combined with an interest rate subsidy scheme is to support the access of the final recipients for their investments in energy efficiency and renewable energy measures. EERE Malta is co-financed by the Republic of Malta, the European Union under the European Regional Development Fund.
All loans are subject to normal bank lending criteria and final approval from the Bank. Further terms and conditions are available from www.bov.com. Issued by Bank of Valletta p.l.c., 58, Triq San Zakkarija, Il-Belt Valletta VLT 1130. Bank of Valletta p.l.c. is a public limited company regulated by the MFSA and is licensed to carry out the business of banking in terms of the Banking Act (Cap. 371 of the Laws of Malta)."