EU4Energy: Eastern Europe Energy Efficiency and Environment Partnership

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Project duration



€180 million ( EU Investment: €78 million )

Project Website

Восточноевропейское Партнерство в сфере энергоэффективности и экологии (Е5Р)
Восточноевропейское Партнерство в сфере энергоэффективности и экологии (Е5Р)

Brief Description

The Eastern Europe Energy Efficiency and Environment Partnership (E5P) is a multi-donor fund targeted at municipal energy efficiency investments in the Eastern Partnership region. Grants, blended with loans from international financing institutions (IFIs), are used to support municipal sector projects.


Why is the E5P needed?

A great deal of urban infrastructure such as district heating, local transport, and street lighting is in need of upgrading in the Eastern Partnership region to achieve energy efficiencies and reduce the environmental impact. In order to carry out the necessary work, national governments and municipalities need access to flexible and reliable funding that is tailored to their needs.

Actions in brief

How can the Partnership help?

The E5P fund merges financial contributions from the EU and a group of 21 nations (including the beneficiary countries) which are then used to attract national funds and loans from international financial institutions. Grants support energy efficiency projects, environmental initiatives to reduce CO2 emissions, and other harmful greenhouse gases, as well as to promote policy dialogue.

To be eligible for grant support, projects must demonstrate their potential for energy saving, capacity to reduce pollution and/or the potential for regulatory reform. Typical projects include district heating modernisation and water and wastewater treatment as well as projects to improve energy efficiency in public buildings and street lighting. The fund also supports efficient solid waste management and strategies to improve local transport.

Who stands to benefit?

Active in Ukraine since 2010, the fund formally extended its activities to Armenia, Georgia and Moldova in 2014 and to Belarus in 2017. The E5P is also looking at opportunities to operate in Azerbaijan.

Grant are flexible and recognise the specific priorities of each recipient country, helping national and regional governments reduce energy use, pollution, and greenhouse gas emissions. Experience from Ukraine has already shown that E5P grants contribute to investment volumes that are on average five times the size of the committed grants.

See project description.

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