• TurSEFF
    TurSEFF The Sustainable Energy Financing Facilities
  • TurSEFF
    TurSEFF The Sustainable Energy Financing Facilities
  • TurSEFF
    TurSEFF The Sustainable Energy Financing Facilities
  • TurSEFF
    TurSEFF The Sustainable Energy Financing Facilities
  • TurSEFF
    TurSEFF Türkiye Sürdürülebilir Enerji Finansman Programı
  • TurSEFF
    TurSEFF Türkiye Sürdürülebilir Enerji Finansman Programı

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EXPRESS REQUEST
Is your project either on Energy Efficiency or a Renewable Energy Project?
Yes No
What is the size of your project?
< 250.000 EUR
> 250.000 EUR

Many energy efficiency and renewable energy projects in Turkey might be eligible to be financed under TurSEFF. In addition to financing, the Companies which apply to TurSEFF, can also benefit from free technical consultancy services.

See the answers to the questions below to understand whether your Company or your projects meet the TurSEFF criteria.


Who is eligible to benefit from the TurSEFF loan?

A potential Beneficiary shall be eligible to receive a Sub-loan if it meets the following requirements:

  • It is a private enterprise formed under the laws of and operating in Turkey.
  • It is not majority-owned or controlled by the state, or by any other political, governmental or administrative body, agency or sub-division thereof.
  • It shall comply with the definition of SME:
    • maximum 249 full-time equivalent staff, including full time management and;
    • maximum annual turnover of EUR 50 million or a maximum annual balance sheet total of EUR 43 million.
  • ESCOs, Vendors and Dealers do not need to comply with the SME definition . However, the final beneficiaries should comply with the SME definition.
  • It is in compliance with the applicable national environmental, social and health and safety legislation in Turkey.
  • Beneficiaries can also be individuals engaged in an economic activity by investing in stand-alone renewable energy Sub-projects to commercialise the energy generated.
  • Beneficiaries must be financially viable and meet the Borrower’s credit criteria and be approved in accordance with the Borrower’s credit appraisal procedures.


Who is NOT eligible to benefit from the TurSEFF loan

Beneficiaries may not be companies which are engaged in production, marketing, distribution (or similar activity) of the following:

  • tobacco products;
  • hard liquor;
  • alcohol (other than breweries, wineries and other companies manufacturing low/medium alcohol beverages),
  • gambling;
  • arms.


What are the type and maximum amount of loan available in TurSEFF portfolio?

Facility Loan shall be one of the following categories of investments:


What are the specific investment exclusions from TurSEFF?

The following Sub-projects are specifically excluded from receiving financing from the Facility Loan proceeds:

  • Refinancing the existing debt of a Beneficiary via sub-loans.
  • Investments supporting bio-fuels for transport.
  • Investments in new buildings that are already subject to energy efficiency standards set at country level.
  • Investments in new production facilities.
  • Investments in real estate solely with the aim of making short or medium term profit on sales.
  • Expenditures that include:
    • Purchase, rent or leasing of land and existing buildings;
    • Operating costs;
    • Working capital, except to the extent that such working capital costs are an integral part of the investment implementation;
    • Purchase or leasing of passenger motor vehicles.
  • Purchase of second hand equipment


What are the eligible energy efficiency and renewable energy projects/technologies?

Investments will include the following renewable energy technologies:

  • Small run-of-the-river hydropower plants;
  • Installations of wind turbines;
  • Biomass and biogas systems for production of fuel, heat and/or electricity;
  • Solar systems for electricity generation, hot water production, and/or for heating/cooling/drying processes;
  • Geothermal power and/or heat plants;


Examples of eligible energy efficiency Sub-projects include, but are not limited to:

  • On site co-generation of heat and electricity;
  • Installation of absorption Chillers;
  • Installation of Variable Speed Drives on selected electric motors;
  • Improvement of motor system;
  • Improvement of Building insulation
  • Improvement of pipeline and process machine insulation;
  • Improvement of boiler system efficiency;
  • Improvement of lighting system;
  • Improvement of compressed air system;
  • Improvement of Heating, Ventilating, Air Conditioning and Refrigerating System
  • Fuel switch;
  • Rehabilitation of power distribution systems
  • Improvement of specific energy consumption of process machines;
  • Implementation of Energy Management Systems or Building Management Systems
  • Implementation of energy saving measures primarily aimed at reducing energy consumption of the auxiliary and process equipment.

Industrial Energy Efficiency Projects

Large scale projects in industrial clients must comply with the following:

  • an Energy Saving Ratio equal or greater than 20%, or a reduction of greenhouse gases emissions measured equal or greater than 20%, and;
  • The minimum Internal Rate of Return (IRR), calculated only from the financial value of the potential energy savings must exceed 7%

Capacity expansion of existing production facilities is eligible if existing equipment is replaced with that of higher capacity with the following conditions;

  • the capacity expansion should be less than double the current capacity and;
  • the energy consumption per unit of output is reduced as compared to a baseline as a result of such replacement.

On exceptional basis and with EBRD approval, the Borrowers may finance capacity expansions beyond double the current capacity, but the amount of Sub-loan eligible for financing from the Facility will be limited as follows:

  • 2 x pre-investment production capacity
  • Investment Cost of the Sub-project


Energy efficiency projects for commercial buildings

Large scale projects in commercial buildings must comply with the following:

  • an Energy Saving Ratio equal or greater than 30%, or a reduction of greenhouse gases emissions measured equal or greater than 30%, and;
  • The minimum Internal Rate of Return (IRR), calculated only from the financial value of the potential energy savings must exceed 7%


Stand Alone Renewable Energy Projects

Large scale renewable energy projects must comply with the following:

  • The maximum installed capacity will be 10 MW.
  • All eligible hydro power and wind power Sub-projects must further meet specific environmental eligibility criteria;
  • Simple pay-back period below 15 years at the time of the approval;
  • A minimum of 1.3 kWh per annum of generated electricity (equivalent) per 1 EUR of Investment Cost;
  • Positive Net Present Value;


Small Scale Energy Efficiency and Renewable Energy Projects

Small scale projects in Energy Efficiency and Renewable Energy must comply with the following:   

  1. Sub-project must consist of the acquisition and installation of equipment, appliances and/or materials (collectively “technology”) listed in the List of Eligible Measures and Equipment (LEME); and
  2. the Sub-loan amount cannot exceed EUR 250,000.


Supplier Loan

Such Sub-loans should meet the following requirements:

  • Sub-loans shall be for the purpose of expansion of the business operations of Energy Efficiency Suppliers which relate to the manufacture, supply or installation of energy efficiency and renewable energy technologies that achieve the minimum performance requirements as per the LEME.
  • Sub-loans under this sub-category will support investments of permanent nature such as Capex or machinery upgrade. Investments related to Best Available Technologies (BAT) for energy efficiency will be prioritised.


Vendor Loan

Such Sub-loans should meet the following requirements:

  • The financed equipment is eligible under LEME;
  • No individual invoice should exceed EUR 250,000.
  • advantageous conditions (not normally offered on the market) are made available to SMEs as final beneficiaries
  • Sharing with the final beneficiary awareness raising materials (e.g. leaflets)
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Is the equipment you are investing in eligible for TurSEFF?
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