Podgorica, Thursday, April 15, 2021 – A total of 100,000 euros is made available to the Montenegrin economy and agriculture to co-finance projects that encourage the improvement of energy efficiency and the use of renewable energy sources (RES). The grant co-financing scheme is envisaged in the context of the Financing Agreement between the Environmental Protection Fund – the Eco Fund and the United Nations Development Program – signed today by the UNDP Resident Representative, Daniela Gašparikova, and the Eco Fund Director, Jovan Martinović.

Support for business initiatives aimed at decarbonizing the Montenegrin economy is provided through a program of subsidies intended for micro, small and medium enterprises and agricultural producers willing to invest in the procurement and installation of solar photovoltaic systems for the generation of electricity. This program aims to encourage greater use of clean energy and improve energy efficiency, which will lead to a reduction in CO2 emissions and enable savings in energy costs in the sector of micro, small and medium enterprises in Montenegro. In addition to this, the program will promote the concept of "prosumers" – businesses that both consume and produce electricity – using solar energy.

UNDP Resident Representative Daniela Gašparikova pointed out that today's agreement puts emphasis on our common focus – to support businesses in adopting clean technologies in the combat against climate change, which will contribute to Montenegro's commitment to achieving the goals related to reducing greenhouse gases by 2030 and make a shift towards a sustainable economic recovery.

"Any effort to achieve the decarbonization of the economy – globally or nationally – is possible if the private sector is the driver of these efforts. Green economic recovery should not only be a beautiful, but above all, economically smart thing to do. Therefore, public policies have a key role to play in creating an enabling environment to encourage the business community to adopt innovations that will contribute to reducing harmful emissions. I expect that the business community will show their interest and motivation to participate in this program and suggest a lot of new ideas and solutions. I believe that this and similar programs will become a cornerstone of the Government's strategies and policies that enable the achievement of long-term goals in the context of the Paris Agreement, the European Green Deal and the UN Sustainable Development Goals," Gašparikova said.

Jovan Martinović, the Director of the Eco Fund, points out that the Eco Fund as a committed partner deepens and strengthens its business cooperation with UNDP, thus gaining confidence in its business and organizational capabilities. UNDP recognized this and provided the Eco Fund with financial resources to implement the project of procurement and installation of photovoltaic panels for the economy and agriculture. "Therefore, it is a great honor that the Eco Fund has a reliable partner next to it – the one that signs the Cooperation Agreement and once again confirms the successful continuation of business cooperation regardless of the challenging times and circumstances in which we operate. The grant funds will be used for subsidies provided by the Eco Fund in the context of the solar panel introduction project. This also marks the beginning of the planned activities of the Eco Fund for 2021, in addition to the previously started project to subsidize the procurement of electric and hybrid vehicles in the field of energy efficiency, while the remaining projects in this area, which are intended for citizens, will begin in the near future," Martinović concluded.

By increasing energy efficiency and certainty of supply, and promoting the use of renewable energy sources, the subsidy scheme will give an important impetus to the low-carbon development and economic recovery of the country.