Germany and EU Bank provide €20 mln grant to support Ukraine’s energy transition

On the sidelines of a COP28 event organized by the German-Ukrainian Energy Partnership, Germany, the European Investment Bank (EIB) and Ukraine's Ministry for Restoration agreed on the intention to sign a €20 million grant for the Renewable Energy Solution Programme (RES).

This grant will enhance renewable energy in Ukrainian municipalities and foster energy independence in public institutions.

What is the problem?

Focus on green energy is a strategic step for energy independence. Public buildings consume significant energy for lighting, heating, cooling, and powering electrical devices. The integration of renewable energy has several advantages: continuity of service, cost savings, reduced emissions, increased resilience, and reduced price volatility.

What is the solution?

Ukraine's infrastructure minister Oleksandr Kubrakov says that the agreement is another step in cooperation with the European Investment Bank and the German government to strengthen Ukraine's energy security during the Russian war.

"Together with our EU partners, we want to increase Ukraine's resilience, rebuild the country, and support communities and cities in a more sustainable and environmentally friendly way than ever before," said Kubrakov.

How does it work?

The RES Programme is designed to provide renewable energy components in public buildings like schools, hospitals and kindergartens. It will integrate solar energy systems, biomass energy solutions and geothermal heat pumps.

Battery storage will also be installed in order to increase the resilience of the buildings in locations where the grid is vulnerable. The RES Programme will thereby improve the energy autonomy of critical public buildings and ensure operational continuity even during power cuts caused by Russian attacks on energy infrastructure.

Germany and Ukraine are cooperating in the framework of the German-Ukrainian Energy Partnership and the International Climate Initiative (IKI). Germany has provided over €200 million to support Ukraine's energy sector in the last year alone. Ukraine is a priority country with which the International Climate Initiative (IKI) maintains particularly close cooperation.