Loans to public buildings of central government
What are the benefits?
Preferential loans for the renovation of central government public buildings by increasing energy efficiency shall be financed to ensure the obligation of Directive 2012/27/EU of the European Parliament and of the Council. This is to renovate at least 3% of the total area of heated and/or cooled public buildings owned and used by public entities each year for the period 2014–2020, to meet at least the minimum energy performance requirements. This means achieving an energy performance class of at least C and to reduce energy consumption in the central government public building by at least 30%.
Who can apply?
Entities managing public buildings of central government by the right of trust, loan for use, ownership and implementing energy efficiency improvement projects in public buildings.
The duly completed and signed original loan application form must be submitted as a hard copy to the following address: UAB Investicijų ir verslo garantijos, Konstitucijos pr. 7, 09308 Vilnius.
Applications may be submitted in one of the following ways:
- delivered in person by the applicant or his authorised person to VIPA;
- delivered by courier;
- sent by registered mail.
When sending by registered mail or using postal courier services, the date and time of submission of the application will be the date and time of submission of the application to the post office or courier.
The annexes to the application may be submitted by email.
- Loan application form for the renovation of a public building of the central government to improve energy efficiency (Annex 1);
- Loan application form for the renovation of a public building of the central government to improve energy efficiency, to be submitted together with the application under facility 04 3.1-VIPA-T-113 ‘Renovation of state-owned buildings (II) (Annex 1)’;
- Application form for a grant for technical documentation for the renovation of a public building of the central government (Annex 4);
- Building use plan (Annex 5);
- Loan application form of the ESCO company (Annex 6);
- Payment Request (PR) form for a project funded by the ENEF;
- Instructions for completing the Payment Request (PR) form for a project funded by the ENEF;
- Single company declaration form.
- Order No 1-144 of the Minister of Energy of the Republic of Lithuania of 1 June 2017 ‘On the List of Buildings Eligible for Renovation in 2017’ (short list);
- Resolution No 539 of 28 June 2017 On Amending Resolution No 1328 of the Government of the Republic of Lithuania of 26 November 2014 ‘On the Approval of the Programme for Improving the Energy Efficiency of Public Buildings’;
- Order No 1-7 of the Minister of Energy of the Republic of Lithuania of 23 January 2014 ‘On the List of state-owned Heated and/or Air Conditioned Buildings Used by Public Authorities and Bodies – Public Administration Entities’ (long list);
- Order No 1-11 of the Minister of Energy of the Republic of Lithuania of 19 April 2015 ‘On the Approval of the List of state-owned Heated and/or Air Conditioned Buildings Used by Public Authorities and Bodies – Public Administration Entities Eligible for Renovation in 2015’ (short list);
- Order No 1-295 of the Minister of Energy of the Republic of Lithuania of 17 December 2015 ‘On the List of Buildings Eligible for Renovation for the year 2016’ (short list);
- Recommendations of the Ministry of Energy of the Republic of Lithuania on the Progress of Building Renovation dated 8 June 2015’ (ME recommendations);
- Resolution No 1328 of the Government of the Republic of Lithuania of 26 November 2014 ‘On Amending the Programme for the Improvement of Energy Efficiency of Public Buildings’;
- Methodology for the Preparation of Investment Projects for Which Funding from the European Union Structural Assistance and/or state Budget is Sought;
- Methodological Guidelines for the Preparation of the Public–Private Partnership questionnaire;
- Order No 1-221 of the Minister for Energy of the Republic of Lithuania of 23 September 2015 ‘On the Adoption of Standard Documents for the Implementation of the Electricity System Commercial Operators (ESCO) Model’;
- Conditions for the Selection of a Provider for the Provision of Energy Saving Services in a Public Building by way of Negotiated Procedure.
|
Potential applicants |
These are entities managing the public building(s) owned by the state by the right of ownership, except state enterprises and/or the manager of centrally managed state assets by the right of trust or loan for use. |
|
Type and rate of interest |
Loans are subject to a variable rate of up to 2% + 6 months EURIBOR (at least 0%), but a total interest rate of no more than 2%. |
|
Loan term |
The term is up to 20 years. |
|
Subsidy for technical documentation |
Preparation of technical documentation directly related to the renovation of the central government building by implementing the measures referred to in points 1–13 of Annex 2 to the Programme for Improving the Energy Efficiency of Public Buildings. This includes an energy consumption audit, technical design preparation and technical design expert examination costs, which in total may not exceed EUR 14 per square metre of the building area managed by the applicant. The funds under the agreement shall be disbursed only in cases where they have been incurred but not paid. Costs shall be paid only on a contractual basis to the service providers (salary costs are not eligible). |
|
Eligible costs |
Energy efficiency improvement actions/measures for the renovation of public buildings specified in Annex 2 of the Programme for improving the energy efficiency of public buildings. (This includes remedial and other contractual works which are necessary to be carried out in accordance with the applicable technical building regulations and other legislation for the implementation of these measures.) It includes restoring or improving the physical and energy performance of the building and/or its engineering systems and/or improving energy efficiency and achieving an energy performance class C or better for the building. VAT is an eligible cost if, in accordance with the laws of the Republic of Lithuania or other legislation applicable to the borrower’s activities, the Borrower is not entitled to deduct VAT. Costs shall be paid only under contracts to the service providers (salary costs are not eligible). |
|
Project implementation period |
Up to 24 months from the date of signing the loan agreement (where justified, the period of implementation of the project may be extended by 12 months). |
|
Loan amount |
This is up to 100% of the amount of eligible costs when the Borrower is not an ESCO; up to 80% of the amount of eligible costs when the Borrower is an ESCO. |
|
Requirements for projects |
The project must comply with the provisions of the National Energy Independence Strategy and the provisions of the Programme for Improving the Energy Efficiency of Public Buildings: – The energy performance class of the building must be D or lower. – The energy performance class of the building is not less than C. – The building is intended to be used for its intended purpose for at least 10 years, as well as for the entire project payback period, but not less than 10 years to plan and allocate the necessary amount of funds for the heating and/or cooling of the building, operation, ensuring the maintenance of the building and paying for the project investments. – The aim is to reduce energy consumption in the building by at least 30%. Under certain circumstances, funding shall not be granted for a public building of the central government for which the application for funding is submitted after 18 May 2018. This applies if a conclusion on the socio-economic benefits of a project implemented using the ESCO model by the Public Institution Central Project Management Agency (CPMA) has not been submitted and/or the conclusion is negative (documents submitted to the CPMA by VIPA). |
|
Administration fees |
There are no fees for signing the agreement, disbursing the loan, repaying the loan early or any other fees related to the administration of the loan. |
|
Deferment of loan repayment |
Repayment of the loan and interest may be deferred for the duration of the project, up to a maximum of 24 months. |
|
Loan repayment |
The borrower repays the loan and pays interest to the Financier. The loan or part thereof can be repaid early without additional fees. |
|
Default interest |
This is 0.02% of the overdue instalment for each day of delay. |
|
Mortgage of property |
There is no mortgage on immovable property. Other security measures may be used/provided for (e.g. surety and/or guarantees and/or account pledge/minimum account balance guarantee/insurance). |
Methodical material
Methodical material
|
