The European Investment Bank (EIB) and Banco Santander will provide companies and freelancers with a funding line for professional projects that improve energy efficiency. This line consists of 50 million euros contributed by the EIB. It is a pioneering product in the Spanish financial system, developed by Banco Santander in collaboration with the EIB and the European Commission.
The agreement is part of the financial instrument launched by the European Commission to boost investments that contribute to the improvement of energy efficiency and climate action (Private Finance For Energy Efficiency) and is part of Banco Santander´s Responsible Banking strategy and its commitment to sustainability.
Companies can benefit from the advantageous conditions of the EIB, both in terms of interest rates and repayment terms
Companies that access this line of funding will benefit from the advantageous conditions of the EIB, both in terms of interest rates and repayment terms, in order to make the necessary changes to improve their energy performance. In addition, the line has a technical advisory component that supports and strengthens Banco Santander’s capabilities when it comes to assessing energy efficiency projects and estimating energy savings.
Loan or leasing for energy efficiency
This new line of funding, which will be articulated through the loan or leasing formula, is aimed at modernization projects that impact on the energy efficiency improvement by adapting the energy consumption to the real needs of each moment. Examples include the substitution of inefficient lighting equipment by LED lighting, the thermal insulation of roofs and facades, the replacement of air conditioning systems, the installation of solar thermal energy, the automation of buildings or the replacement of conventional windows with double glazing and thermal break systems, among others. These improvements will contribute to reduce polluting emissions and increase the use of renewable energy, facilitating, for example, the installation of solar panels.
The investment project in energy efficiency should not exceed ten million overall
The minimum fundable amount is 10,000 euros and the maximum five million, in a period ranging from three to ten years with the possibility of one or two years grace period depending on the financing period. The investment project in energy efficiency should not exceed ten million overall.
For the on-line validation of the project, customers can access a simulator through www.bancosantander.es , developed by the European Commission and the EIB for the financial institution. The information that must be recorded in the simulator comprises the basic data of the company, the cost of the project, the type of fundable investment and the current energy consumption. In less than ten minutes, the form is completed and then the simulator facilitates the investment validation and the energy savings calculation (in euros and in kilowatt hours). The final contracting of the product is to be made in the bank branch.