he Development Finance Institution ALTUM will begin accepting applications for project selection in the next, 7th round of the European Union Recovery Fund program for energy efficiency, renewable energy technology implementation, and electric vehicle purchase on June 11 this year. Application submission in the open round will last until noon on July 9, and the available funding for energy efficiency, renewable energy technologies, and electric vehicle purchase amounts to €20.8 million with a fixed interest rate of 1.9% per year. Projects can also receive a grant - a capital discount of up to 30% of the amount of investments made, excluding VAT.

The program has been expanded this year to include support for wholesale and retail businesses, as well as allowing electric vehicle purchases by companies from all sectors eligible for the program.

Līga Mellēna, Head of ALTUM’s Corporate Energy Efficiency Division, commented: “Overall, the activity of entrepreneurs is commendable, as evidenced by the number of applications for both renewable energy and energy efficiency projects. In the previous round, the first application for the installation of a wind power station for self-consumption was received, which is a positive impetus for other companies to consider broader investments in renewable energy.”

Support for renewable energy is available for various low-emission technologies, not just for electricity generation. The program also supports the installation of biomass heat energy production equipment, biogas, biomethane, and even renewable hydrogen production equipment, as well as storage equipment for the renewable energy produced.

Companies can participate in the ALTUM program several times until the support limit for a related group of companies is exhausted - €1.5 million. “We see that companies are keen to take advantage of the offered opportunity, starting with solar panels, and then continuing with building energy efficiency, heat pumps, and the purchase of electric vehicles,” says Līga Mellēna, inviting companies to consultations with ALTUM representatives both in Riga and the regions.

“The program's support can be a significant aid in a company’s efforts to reduce its emissions footprint and energy costs. The principle remains - the cheapest energy is the one that is not consumed, thus energy efficiency measures can significantly reduce expenses,” adds Mellēna.

Applications can be submitted for energy efficiency measures in company infrastructure, achieving at least 30% primary energy savings. Companies can invest in energy efficiency in both production processes and buildings, and in buildings, in addition to insulation and replacement of engineering communications, investments can also be made in green roofs, building equipment digitalization, charging equipment, as well as equipment for storing produced renewable energy.

In the 7th selection round, as before, projects submitted by companies will be compared in the selection process, with the highest scores awarded to those that ensure the greatest reduction in greenhouse gas emissions or primary energy savings per €1000 of support. Projects eligible for a loan with a capital discount will be announced within a month after the end of the selection round. Information about subsequent rounds will follow on the ALTUM website www.altum.lv.

In previous rounds, more than 400 applications have been received in total. Currently, more than 140 contracts have been signed with companies for projects with planned total investments of €55 million. The expected capital discount for these projects is approximately €14 million, and 34 projects have already been completed, receiving a total capital discount of €2.4 million. The expected reduction in greenhouse gas emissions is around 5600 tons of CO2 equivalent per year. More than 200 projects are still in various stages of evaluation.

More information about the program is available here: Energy Efficiency Loan with Capital Discount and Electric Vehicle Purchase Guarantee with Capital Discount.

About ALTUM: The Development Finance Institution ALTUM is a state-owned company in Latvia that provides support to specific target groups through financial instruments (loans, guarantees, investments in venture capital funds, etc.) within specific programs, supplemented with non-financial support (consultations, mentoring), and also performs other state-delegated functions. In June 2017, ALTUM received a long-term credit rating of Baa1 from the international credit rating company Moody's, confirming ALTUM’s stable financial position. On October 24, 2017, ALTUM’s bonds were included in the regulated market - Nasdaq Riga Baltic Debt Securities List. ALTUM received the Nasdaq Baltic Awards 2019 in the category "Stock Exchange Event of the Year in Latvia".

Contact Information: Sandra Eglīte
ALTUM Head of Public Relations
Phone: +371 26577810
Email: sandra.eglite@altum.lv