Denmark, through Nordic Environment Finance Corporation (NEFCO), has directed about EUR4.5 million in additional financing, securing the delivery of new mobile containerized boilers to Ukraine, the NEFCO press service said.
“Denmark and Ukraine are very close partners, and it is good to see that our partnership can also provide support for critical heating infrastructure in eastern Ukraine. Supporting the operation of the heat supply system is critical to the sustainability and combat effectiveness of the country. In addition, it also has a positive impact on reducing CO2 emissions in Ukraine”, – Danish Ambassador to Ukraine Ole Egberg Mikkelsen was quoted as saying.
In particular, according to him, the transferred 20 gas boilers with the capacity of 39 MW will provide central heating to more than 180 thousand people, which is 80% of the total population of the city where they will be installed. About 10% of the Ukrainians receiving assistance are internally displaced persons. The funded project will be able to provide about 30-40% of the needs of citizens in heating (the locality is not named for security reasons – IF).
Activities include installation of new boilers, laying of new pipes, preventive steps to prevent freezing of heating systems in winter and maintenance of systems to ensure their reliable continuous operation.
The new boilers will ensure more efficient heat production, consequently reducing gas consumption by some 1.70 million cubic meters per year. This will result in an annual CO2 reduction of almost 3,400 tons.
“We are very pleased to be able to continue our cooperation with the Danish Sustainable Infrastructure Finance Program Danida (DSIF) in this and other projects in Ukraine to support and green critical infrastructure. The importance of this support from Denmark cannot be underestimated and is much needed in these difficult times,” commented Nefco Investment Director Bo Nyhus.
Since 2021, NEFCO has been managing grant funds for the Danish DSIF funding program, which is funded by the Danish Ministry of Foreign Affairs. Currently, three projects are ongoing despite the war. The goal is to create new projects and quickly rebuild infrastructure in the best quality over the next few years.
NEFCO is an international financial institution which finances the expansion of Nordic green solutions on world markets. It was founded in 1990 by Denmark, Finland, Iceland, Norway and Sweden.
DSIF’s funding program is a tool within the Danish development cooperation Danida, funded by the Danish Ministry of Foreign Affairs. DSIF offers subsidized loans for sustainable infrastructure projects without access to commercial financing in 24 developing countries. DSIF is administered by the Investment Fund for Developing Countries (IFU), based in Copenhagen, Denmark.
