December 10, 2025
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Brazil’s COP of Truth leaves out fossil fuels, deforestation from final deal

The United Nations Climate Change Conference COP30 was concluded with a deal to keep the world’s ambitions similar, after modest progress on some issues. In a last-minute compromise between the delegates of the wealthy, the poor and the countries most in jeopardy, the declaration from the so-called COP of Truth contains no explicit reference to fossil fuels and deforestation.

Participants at the Conference of the Parties of the UN Framework Convention on Climate Change (UNFCCC) in Belém, Brazil, acknowledged that the world is heading for a temporary overshoot above 1.5 degrees Celsius in warming, according to UN Secretary-General António Guterres.

“I cannot pretend that COP30 has delivered everything that is needed. The gap between where we are and what science demands remains dangerously wide. I understand many may feel disappointed – especially young people, indigenous peoples and those living through climate chaos. The reality of overshoot is a stark warning: we are approaching dangerous and irreversible tipping points,” he stated.

It’s difficult to reach a consensus in a period of deep geopolitical divide, Guterres pointed out. Nevertheless, he praised the final agreement for “delivering progress and showing that multilateralism works.”

Global Mutirão

The hosts nicknamed COP30, this year’s UN Climate Change Conference, the COP of Truth. Ironically, due to a last-minute compromise, or maybe consensus, the declaration contains no explicit reference to a fossil fuel phaseout and halting and reversing deforestation. They were left for separate roadmaps.

In the document, the signatories only refer to the COP28 decision, also known as the UAE Consensus, which called for transitioning away from fossil fuels.

The headline of the overarching deal adopted in Belém is Global Mutirão: Uniting humanity in a global mobilization against climate change. The Portuguese word mutirão originates from the indigenous Tupi-Guarani language and roughly means collective effort.

UN’s Stiell vows to keep up climate fight

All in all, delegates from all over the world, except the United States, left the desired decarbonization trajectory little changed. The countries most at risk of the climate disaster are generally poor. They depend on mitigation aid and investments from the wealthy part of the world.

“We knew this COP would take place in stormy political waters. Denial, division and geopolitics has dealt international cooperation some heavy blows this year,” UN Climate Change Executive Secretary Simon Stiell said at the closing.

Denial, division and geopolitics has dealt international cooperation some heavy blows this year, UN Climate Change Executive Secretary Simon Stiell said

In his view, nations chose solidarity, science, and economic common sense.

“COP30 showed that climate cooperation is alive and kicking, keeping humanity in the fight for a livable planet, with a firm resolve to keep 1.5 Celsius within reach. I’m not saying we’re winning the climate fight. But we are undeniably still in it, and we are fighting back,” Stiell stated.

The world’s top climate official noted that, for the first time, 194 countries agreed that the global transition to low greenhouse gas emissions and climate resilience is irreversible and the trend of the future, referring to a line from the deal.

COP30 pledges to triple adaptation funds by 2035

In the decision, the signatories kept the target USD 1.3 trillion per year that needs to be mobilized for climate action by 2035. USD 300 billion would be mostly grants and subsidized loans, while private financing and climate taxation dominate the rest.

The parties voted for a goal to provide three times more per year for climate adaptation from the smaller pot by 2035, instead of the initially proposed 2030 deadline. They failed to determine a figure, but it is mostly estimated at USD 120 billion per year.

One of the novelties is a pledge to promote information integrity regarding climate, which would also imply countering disinformation.

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December 10, 2025
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Uncompetitiveness holding EU far behind green hydrogen targets

Several high-profile green hydrogen projects have been canceled in the past year, and major companies reduced their decarbonization ambitions, the European Union Agency for the Cooperation of Energy Regulators (ACER) said in its new report. The technology is four times more expensive than production from fossil gas through steam reforming.

Investments are far behind EU targets and trailing even the contracted demand. However, an acceleration of existing projects would change the picture substantially. On that note, the European Hydrogen Bank is receiving submissions for its third auction.

Electrolyser capacity in the EU jumped 51% last year to 308 MW, while 1.8 GW was under construction in October 2025, expected to be commissioned within two years. The numbers are from the European Hydrogen Markets – 2025 Monitoring Report, issued by the EU Agency for the Cooperation of Energy Regulators (ACER). It pointed out that the total falls well short of the trajectory toward the 2030 target of 40 GW, or the 48 GW to 54 GW range in member states’ plans.

Of note, while some other databases show similar figures, the Renewable Hydrogen Coalition has calculated that operational projects amount to 600 MW, though “across Europe,” and not just in the EU. Another 3 GW is under construction, its update reads.

The European Hydrogen Strategy aimed at 6 GW by 2024.

Sweden, Germany in strongest expansion

Sweden and Germany account for two thirds of the capacity under construction (742 MW and 414 MW, respectively), ACER said. In addition, EWE has just marked the start of construction of an electrolyzer facility of a whopping 320 MW, which would eclipse the fleet that is currently producing green or renewable hydrogen. The site is in Emden, in Germany.

Domestically produced renewable hydrogen contracted, 270,000 tons, would require 3.7 GW of electrolysers.

Several high-profile green hydrogen projects have been canceled in the past year, and major companies have reduced their decarbonization ambitions, the agency warned. Importantly, all existing projects, in any stage of development and with a 2030 target, are for 62 GW in total, indicating the potential for acceleration.

An electrolyzer under construction in Germany is set to surpass the combined capacity of the current EU fleet

As for Southeastern Europe, Romania targets 2.1 GW of electrolyzer capacity for 2030. Croatia is aiming for between 0.1 GW and 1.3 GW, while the remaining countries are at just 0.1 GW or 0.2 GW. Greece was the only country with any capacity in construction in October, 50 MW. Interconnections are planned between Greece, Bulgaria, Romania and Hungary.

Citing the European Hydrogen Observatory, ACER said Germany has added 46 MW last year. With Denmark (18 MW) and Hungary (11 MW), it was 72% of the annual growth.

Only six plants were bigger than 10 MW at the end of 2024, amounting to 90 MW altogether.

ACER Uncompetitiveness holds EU far behind green hydrogen targets

Gray hydrogen remains dominant

Steam methane reforming (SMR) remains the dominant production technology, accounting for 89% of the total capacity in the EU. It is colloquially called gray hydrogen.

The share of electrolytic hydrogen, made using electricity from all sources, not necessarily renewables, is marginal. So is the overall capacity for blue hydrogen. It is also from fossil gas, but the process involves carbon capture and storage, CCS.

Green hydrogen, one of so-called renewable fuels of non-biological origin (RFNBO), costs some EUR 8 per kilogram, against just over EUR 2 per kilogram of conventional, gray hydrogen.

Expectations for liquefied natural gas (LNG) and carbon dioxide emission allowance price levels favor fossil fuel hydrogen in the short term, the report’s authors stressed. Meanwhile, slower deployment of electrolyzers limits economies of scale, delaying the anticipated reductions in related capital costs.

Projected prices of LNG and CO2 allowances are favoring fossil fuel hydrogen

With current production cost estimates at just below EUR 3 per kilo, low-carbon hydrogen with carbon capture is more competitive than renewable hydrogen. Nevertheless, the additional costs for CO2 transport and storage are highly uncertain.

“The buildout of CO2 infrastructure may pose additional challenges. Moreover, the long-term gas offtake contracts required for such projects could lock in fossil fuel dependence and exposure to price volatility in the global natural gas market,” the authors said.

By definition, low-carbon hydrogen results in at least 70% lower emissions than the conventional one from fossil fuels. The segment includes electrolysis running on nuclear power.

The EU also counts hydrogen from biogas and biomass processing as renewable, if the technology complies with sustainability requirements.

Electricity supply costs, excluding grid tariffs, may account for up to 50% of the levelized cost of renewable hydrogen, with substantial regional variations across the EU. Regions with abundant renewable resources and strong renewables integration, such as Spain, already provide advantageous conditions for renewable hydrogen production, the document adds.

Electricity accounts for 60% to 70% of renewable hydrogen cost

The Renewable Hydrogen Coalition said electrolyzer manufacturing capacity has surged from 1 GW within a few years. It expects it to hit 15 GW in 2026.

Electricity accounts for 60% to 70% of renewable hydrogen costs, with taxes and levies reaching 30% to 40% of the electricity cost itself, according to the group. It is also urging for incentives and an improvement in the legal framework.

“With the right enabling policies put in place, altogether, our coalition members could put online close to 18 GW of renewable hydrogen production projects between 2026 and 2032,” the declaration reads.

On that note, the European Hydrogen Bank has launched the call to its third auction for hydrogen production, worth EUR 1.3 billion. Spain is adding EUR 415 million, while Germany will match the EU with another EUR 1.3 billion within the auctions-as-a-service segment.

The IF25 Hydrogen Auction is designed to provide cost-efficient support for the production of RFNBO hydrogen or electrolytic low-carbon hydrogen. Producers of hydrogen with maritime or aviation offtakers can apply as well.

The call is part of a package under the Innovation Fund, using revenues from the EU Emissions Trading System (EU ETS). A EUR 2.9 billion segment for net-zero technologies, IF25 NZT, includes hydrogen production.

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December 10, 2025
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EU considering Montenegro’s proposals for changes to CBAM

Minister of Energy and Mining of Montenegro Admir Šahmanović met with several senior officials of the European Commission. The messages in Brussels regarding the Carbon Border Adjustment Mechanism (CBAM) were encouraging – changes in the regulation are being considered, including Montenegro’s demands, according to the ministry.

Minister of Energy and Mining of Montenegro Admir Šahmanović led a delegation that visited the European Commission’s headquarters. They met with Director General for Taxation and Customs Union Thomas Gerassimos, Deputy Director-General for Climate Action Jan Dusík and Director for Western Balkans Valentina Superti and Head of the Unit for Bosnia and Herzegovina and Montenegro Barbara Jésus-Gimeno, both from the Directorate-General for Enlargement and Eastern Neighbourhood.

The focus of the discussions was on key processes in the energy sector and especially on the Carbon Border Adjustment Mechanism (CBAM), which is currently Montenegro’s main priority, the ministry said. Šahmanović presented the reforms that the country conducted and stressed that the government is almost entirely aligned with its European requirements in the legal and strategic sense.

CBAM is now Montenegro’s priority

Over the last eight months, Montenegro adopted a new Law on Energy alongside dozens of bylaws, including some tied to the Law on the Use of Energy from Renewable Sources. The government launched the first renewable energy auction, for solar power, and signed a memorandum of understanding on market coupling with Italy, with which talks continue on the construction of the second wire in the undersea cable. Laws on cross-border energy exchange and the construction of cross-border energy assets are drafted, the update adds.

The minister said Montenegro is finalizing its National Energy and Climate Plan.

More flexible models for CBAM to be considered

The European Commission’s representatives acknowledged Montenegro’s progress and asserted that it is in the lead in the region as concerns the degree of compliance in the energy sphere, the ministry said.

“Within the same context it was agreed that discussions would be continued on a technical level in the following weeks to consider the possible, more flexible models of applying CBAM and to enable candidate states to adjust to the mechanism faster and more efficiently. A special focus will be on the elaboration of compromise solutions – especially the ones that enable a gradual, just and predictable implementation, with a minimal burden on the Montenegrin energy sector, which is significantly reliant on electricity exports,” the update reads.

EU’s cross-border tax on greenhouse gases to have weaker impact than in earlier projections

The European Commission conveyed encouraging messages: a smaller impact from CBAM is expected than in earlier projections, and amendments to the regulation are being considered, including demands from Montenegro from the consultations, according to the ministry.

Minister Šahmanović said Montenegro is remaining fully dedicated to its European obligations, but that it expects an acknowledgment of the results that it achieved, so that the implementation of CBAM is harmonized with the realities of the country’s energy system and its strong renewables investment cycle.

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December 8, 2025
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Greece’s first municipal energy community to be launched in its coal capital Kozani

The city of Kozani in northern Greece, home of the country’s dwindling lignite industry, is seeking a contractor for seven photovoltaic systems of 7 MW overall. The municipality said the power plants would supply its buildings, public lighting, pumps and drilling rigs as part of the country’s first energy community led by a local authority. Under a virtual net metering scheme, the facilities are also intended for combating energy poverty.

Energy communities are present all over Greece, but private capital is dominant – instead of individuals, local institutions and small firms. The concept can be especially beneficial for local authorities in coal regions, which are undergoing rapid decarbonization and turning toward cutting-edge technologies.

Job losses and a lack of skills jeopardize communities in such areas. The Municipality of Kozani, the capital of Greece’s coal land, the region of Western Macedonia, is one of them. It was among the first in the country that launched initiatives for energy communities led by local authorities.

Deadline for applications is January 12

Kozani has opened a tender for the selection of a contractor that would build seven photovoltaic plants. The municipal solar power units would operate under a virtual net metering scheme.

It would enable supplying municipal buildings, street lighting, schools, sports facilities, pumps and drilling rigs, but also the means to fight against energy poverty. The municipality received funding via the European Union for the project, under a just development and transition program.

The city claimed that it would be the country’s first energy community of its kind. Prospective candidates can apply by January 12, and the selection is scheduled for January 16. The budget amounts to EUR 6.25 million including value-added tax, and the local authority participates with 20%.

Kozani already invested EUR 650,000 in its energy community

The project is placing the Municipality of Kozani in the lead in energy self-sufficiency and autonomy in the country, Mayor Yiannis Kokkaliaris said.

He revealed that the local authority managed to secure grid connection terms in time not to lose the EUR 650,000 that it spent so far for the purpose.

The Kozani area is already hosting some of Greece’s largest photovoltaic plants and projects. It is envisaged for one of six waste incinerators in the country. Government-controlled Public Power Corp. (PPC Group) plans to build pumped storage hydropower plants on its depleted open pit coal mines in the region.

Of note, Greece recently lost EUR 100 million from the European Union’s Recovery and Resilience Facility (RRF) for the Apollo program. It was aimed for self-consumption for vulnerable households through forming an energy community.

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December 8, 2025
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Serbia rolls out taxes on greenhouse gas emissions, imported carbon-intensive products

The Serbian Law on Greenhouse Gas Emissions Tax and Law on Carbon-Intensive Product Imports Tax, both at EUR 4 per ton of CO2 equivalent, are coming into effect on January 1. It is the country’s answer to and equivalent of, respectively, the European Union’s Carbon Border Adjustment Mechanism (CBAM). Notably, several bylaws are still required for the new legislation to be enforced.

The National Assembly of Serbia passed the Law on Greenhouse Gas Emissions Tax and Law on Carbon-Intensive Product Imports Tax today, without accepting any of the opposition’s proposals for changes in the two bills.

On January 1, importers of electricity, cement, iron and steel, aluminum, hydrogen and fertilizers to the European Union will start paying the CBAM carbon dioxide tax. If the country of origin also has a CO2 pricing system and the EU recognizes it, the sum will be deducted from CBAM.

The domestic greenhouse gas emissions tax is Serbia’s answer to the cross-border levy, while with the new import tax it is establishing a corresponding mechanism. Both are EUR 4 per ton of CO2 equivalent, covering also nitrous oxide (N2O) and perfluorocarbons (PFCs).

They are intended to lower pollution, improve energy efficiency, incentivize the deployment of renewable energy and secure a more equal position for the Serbian industry in the domestic and international markets, according to the sidenotes.

Both laws to enter into force on January 1, when EU also starts charging CBAM

The first of the two taxes is for big industrial emitters in the sectors of cement, fertilizers, iron and steel, aluminum and electricity. Both laws are coming into effect on January 1, just like the CBAM charge. However, several bylaws are still required for Serbia to enforce the new legislation.

The CBAM tax is envisaged to rise every year until in 2034 it becomes equal as the prices of greenhouse gas emission certificates in the EU’s Emissions Trading System (EU ETS). Electricity is different, as the amount will from the start correspond to the carbon intensity of the country of origin’s entire production mix.

According to Special Advisor at Serbia’s Economics Institute Ljubo Maćić, charging CBAM will prevent power market coupling between Serbia, other Energy Community contracting parties and the European Union, and discourage investment in renewables.

Of note, the administration in Brussels plans to expand the mechanism to other segments that EU ETS covers.

No electricity in carbon imports tax

The Law on Carbon-Intensive Product Imports Tax doesn’t cover electricity because of technical limitations and a lack of a precise taxing methodology.

The tax on imported carbon-intensive products covers only the entities that import five or more tons of the designated products per year

Importers are taxed based on emissions embedded in the production of the goods from abroad, but they will be able to use tax credits if an emissions levy has already been paid in the country of origin, similar to the EU system. The obligation is only for companies importing five or more tons of designated products per year.

Serbia imports an estimated 3.5 million tons of carbon-intensive products per year.

CO2 tax scope limited to larger producers

The CO2 tax law will be applied to firms obligated to have a license for emissions from their plants. Mostly they are large and medium-sized companies. Fifty companies have obtained such licenses for 92 facilities. They measure emissions data, in line with the Law on Climate Change, and send them to the Ministry of Environmental Protection.

The production of synthetic fertilizers and nitrogen compounds, cement, pig iron, steel and ferroalloys, aluminum and electricity accounts for over 57% of emissions in Serbia and more than 90% within the national monitoring and reporting system.

Tax deductions for large electricity producers that invest in decarbonization

A payer of the greenhouse emissions tax that predominantly generates electricity, accounting for at least 80% of its income in the previous annual tax period, is eligible for a tax credit amounting to 20% of the sum that it invested in decarbonization measures, the law stipulated.

The deduction can’t exceed 80% of the due tax. The government determines the said measures.

The greenhouse gas emissions tax envisages incentives for the taxpayers to finance green projects, the just transition and protection of vulnerable households

In addition, entities that pay the tax are eligible for incentives, from the state budget, for financing climate and energy transformation through investing in renewables and energy efficiency, innovative low-carbon technologies, decarbonization of industrial production, green construction and support to the just transition and protection of vulnerable households.

Proceeds from the tax “can be invested in green transition projects,” the sidenote reads, while there is still no dedicated decarbonization fund.

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December 3, 2025
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Subsidies for green heating approved for 100,000 Greek homes

The Greek Ministry of Environment and Energy published the first list of households that will benefit from the national program for modernizing heating systems.

In total, more than 100,000 households have been accepted, of which 5,000 are classified as vulnerable. The renewable heating program had an original budget of EUR 223 million, with support from the NextGenerationEU fund, but it was later enlarged to EUR 647 million. It takes place under the RePowerEU policy initiative and the National Recovery and Resilience Plan Greece 2.0.

The initiative supports energy upgrades of buildings and the substitution of older heating systems using fossil fuels, with new ones based on renewable energy. Notably, Greece set a goal for a 52.6% share of renewable heating by 2030, according to its National Energy and Climate Plan (NECP). In 2023, the level reached 26.2%, therefore there is a long distance to cover.

Most buildings in the country currently use either heating oil or natural gas. The goal is to shift to green technologies such as heat pumps or rooftop solar water heaters. These solar systems are especially popular in Greece, since the scorching sun provides ample thermal energy to convert into hot water, even during winter months. They also have a high domestic added value, as they are mainly constructed by Greek companies.

At least 50% of the cost covered

Support is provided for the general public according to income criteria, with 50% to 60% of the cost covered. Beneficiaries get up to EUR 1,020 for their energy upgrades.

As for vulnerable households, there are no income criteria and they get up to EUR 6,000 for each installation.

More applications are expected to be approved in the following months, as Greece aims to complete the program before June 2026, when the EU’s Recovery and Resilience Facility (RRF) reaches its end.

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December 3, 2025
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GGF’s new partnership powering sustainability of SMEs in Turkey

The Green for Growth Fund (GGF) has partnered with ING Leasing Türkiye, a subsidiary of ING Türkiye, through a EUR 20 million financing agreement to help small and medium-sized enterprises (SMEs) invest in cleaner, smarter, and more efficient technologies, from energy-efficient equipment and machinery upgrades to self-consumption photovoltaic systems and other low-carbon solutions.

GGF’s first collaboration with ING Leasing Türkiye is marking the start of a new strategic relationship. In addition, it is ING Leasing’s first direct access to international development financing supported by funding from international financial institutions and development finance institutions through the Green for Growth Fund, the update adds.

The deal is expected to deliver around 21,000 MWh of primary energy savings and avoid approximately 5,800 tonnes of CO₂ emissions each year, according to GGF.

The signing was attended by Onur Gul, General Manager of ING Leasing Türkiye, and Pınar Cumalı, Treasury and Financial Institutions Manager at ING Leasing Türkiye, alongside, representing GGF through its advisor Finance in Motion, the company’s Regional Director Burcu Karpuz and Investment Associate Mehmet Sena Bakar.

Luxembourg-based GGF has become one of the largest green blended-finance funds. It ended last year with EUR 1.09 billion in assets under management and an outstanding investment portfolio of EUR 1.03 billion.

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December 2, 2025
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Just Transition Forum unites regional leaders to tackle energy poverty, shape fair energy future

Governments, partners, civil society and community leaders from across Europe gathered in Tbilisi for the Energy Community’s Just Transition Forum to explore how energy efficiency can help end energy poverty and strengthen public trust in the clean-energy transition.

The forum delivered a clear message: a just transition cannot succeed without meaningful dialogue with diverse civil society and non-governmental partners, whose expertise and perspectives must be integrated into planning. As contracting parties begin preparing their new national energy and climate plans (NECPs), embedding just transition in transparent frameworks and long-term strategies is key to turning decarbonization commitments into real benefits for people and communities.

This principle is further reflected in the Energy Community’s newly published Just Transition Policy Guidelines, which guide governments in integrating just transition elements into energy and climate planning – ensuring that decarbonization goes hand in hand with social protection, local opportunity, and public trust, while supporting alignment with the European Union’s clean energy and climate objectives.

Lorkowski: New NECPs should tell story of just, sustained transition

Opening the forum, Energy Community Secretariat Director Artur Lorkowski underscored the importance of the current moment for regional energy and climate planning. The new NECPs, he stressed, should tell the story of a just and sustained transition.

“We are entering a pivotal moment for the region’s energy and climate future. With just transition principles at the core, they can pave the way toward EU energy market integration and turn the green transition into an engine of investment, inclusion, and shared prosperity,” Lorkowski stated.

Critically, the Energy Community’s Governance Regulation requires contracting parties to assess and address energy poverty in their NECPs. It is an opportunity to ensure that energy-poor households receive targeted support and remain central to energy efficiency and decarbonization efforts.

Just Transition Forum unites regional leaders energy poverty fair energy future

Energy Efficiency First for Energy Poverty

To drive the agenda forward, forum participants drew on insights from the secretariat’s study Energy Efficiency First for Energy Poverty. It reveals that 30% to 40% of households in Kosovo*, Albania, North Macedonia, and Georgia face energy poverty, and shows how targeted energy efficiency investments can transform lives across the region – making homes warmer, healthier, and more affordable to run.

By prioritizing vulnerable households, establishing renovation funds, and applying the Energy Efficiency First (EE1st) principle, contracting parties could cut household energy demand by more than 60%, create up to 19 local jobs for every EUR 1 million invested, and triple the wider benefits through improved well-being, comfort, and productivity.

Energy Community contracting parties could cut household energy demand by more than 60%

Emphasizing the importance of a people-centred transition, Head of EU Delegation to Georgia Paweł Herczyński stated: “For the European Union, a just transition is not only an environmental goal. It is a commitment to people, fairness and long-term resilience. This transformation must be built through dialogue, transparency and the active participation of communities. Ensuring that this transition succeeds, it will depend on transparent governance, democratic credibility and alignment with the EU standards.”

The forum also celebrated the winners of this year’s Just Transition Young Voices Awards. Their work highlighted how listening to those most affected by the transition — and youth, who will carry it forward — is essential to understanding the diverse realities of communities navigating the shift to a greener economy.

Cooperating partners for the forum included the Delegation of the European Union to Georgia, KfW on behalf of the German government, AFD – Agence Française de Développement, and the Federal Ministry for European and International Affairs of Austria.

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* This designation is without prejudice to positions onstatus and is in line with UNSCR 1244/99 and the ICJ Opinion on the Kosovo declaration of independence.
December 2, 2025
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GGF ushers in new wave of energy transition investments in Western Balkans with eight deals

The Green for Growth Fund has signed a series of agreements on green lending and support for major solar power and energy storage projects throughout the Western Balkans. The new commitments, backed by an investment from KfW, will lift its green financing portfolio in the region by up to EUR 176 million.

At the EU–Western Balkans Investment Forum in Tirana, held in October, GGF announced the European Union’s EUR 20 million investment in its class C shares, via Germany’s KfW Development Bank. It was accompanied by a EUR 4 million donation to the climate action fund’s capacity building and advisory facility, its advisor Finance in Motion said.

The proceeds are set to mobilize more private capital for renewable energy, energy efficiency and climate resilience across the region, the update revealed.

The Green for Growth fund signed a series of agreements at the forum for green lending, and for financing solar power and battery projects in North Macedonia, Kosovo* and Albania.

Von der Leyen: The time to invest in the Western Balkans is now

The event was attended by European Commission President Ursula von der Leyen and Albanian Prime Minister Edi Rama.

“Your economies are already set to grow rapidly in the coming years. We established the Western Balkans Growth Plan for exactly that. The EU opens sectors of its economy for your business. Together, we work on reforms for a level playing field. And alongside reforms comes investment. The Western Balkans Growth Plan aims at doubling regional GDP in the next decade. So my message to investors today is straightforward: Do not let this opportunity pass by. The time to invest in the Western Balkans is now,” Von der Leyen said.

The commitments signed within a special segment of the Tirana conference are boosting the fund’s cumulative investments into the region to more than EUR 850 million. Earlier it provided over EUR 675 million overall in green finance in the Western Balkans in support of climate action, energy security and sustainable industry.

The new commitments are expected to avoid emissions of some 175,000 tons of CO2. It is equivalent to 400,000 barrels of oil not being burnt.

Trailblazing investments ahead in photovoltaics, BESS

The Green for Growth Fund intends to provide funding for one of the first grid-scale battery projects in North Macedonia and the Western Balkans.

Renalfa IPP is about to expand its 50 MW photovoltaic plant in Oslomej, on the site of a former coal mine, with a 200 MWh battery energy storage system (BESS). GGF has already provided debt financing for the solar installation, and the two sides signed a mandate letter for EUR 24 million for the BESS investment. It is one of the investments for the transformation of the REK Oslomej coal mine and power plant complex.

Renalfa IPP’s pioneering PV plant Oslomej on coal land will get a battery facility

GGF also signed a term sheet for Quant Renewables’ solar power project in Kosovo* for 142.2 MW in peak capacity. It comprises PV plants Tucep (98.5 MW) and Veriq (43.7 MW) on land previously designated for lignite mining.

The Green for Growth Fund would support it with up to EUR 12 million in preferred equity, complementing senior debt financing led by the European Bank for Reconstruction and Development (EBRD). Set to become Kosovo’s* biggest solar park, its estimated annual output would match the electricity needs of 63,000 households.

The facility would save an estimated 168,138 tons of carbon dioxide equivalent per year (22,529 tons prorated to GGF’s investment).

The third renewables project is HD Solar Park in Albania. Through a letter of intent, GGF expressed its goal to provide up to EUR 30 million in senior debt financing. Bindi, the developer, has envisaged 60 MW of peak capacity and a co-located 120 MWh battery system. It would be one of the first large-scale solar-plus-storage initiatives in the country.

Five new deals with financial institutions for as much as EUR 110 million in total

The partner financial institutions that signed agreements with the Green for Growth Fund will channel the financing to their clients for investments in renewables, sustainable mobility, and energy and resource efficiency in buildings and industrial production.

There are five new deals for as much as EUR 110 million in credit lines and subordinated loans.

Two credit lines for partners in Kosovo*

The KRK microfinance institution in Kosovo* aims to utilize a new credit line, of EUR 5 million, for efficiency refurbishments and retrofits of the residential sector as well as small-scale renewable energy. It would be its sixth investment with the Green for Growth Fund since establishing the partnership in 2017.

BpB, the first bank in Kosovo* founded with fully local capital, finances households and small and medium-sized enterprises. Building on a previous partnership, it will channel GGF’s senior credit line of EUR 5 million into energy efficiency and renewable energy.

It will particularly benefit SMEs, including clients in the agricultural sector seeking to upgrade energy systems or invest in low-carbon vehicles, efficient equipment and modern irrigation systems, the fund added.

EUR 95 million in total for Serbian lenders

The Green for Growth Fund signed a loan agreement with UniCredit Bank Serbia for a EUR 50 million senior credit line. The focus is on commercial-scale solar and wind power, helping decarbonize Serbia’s coal-dependent electricity system.

GGF expects it to become one of the fund’s most impactful investments, by avoiding 84,550 tons of emissions in CO2 equivalent terms – equivalent to taking 44,500 cars off the road. The fund has invested EUR 115 million in UniCredit Bank Serbia to decarbonize the country’s electricity system.

Another Serbian lender in the group is AikBank, eligible for a EUR 45 million subordinated loan. The deal is for financing renewables and energy efficiency projects of corporate clients.

The bank will additionally benefit from GGF’s technical assistance for technical due diligence and environmental and social assessments, for the implementation of green energy projects in line with the best practices, the partners stressed.

ProCredit Bank in BiH is eyeing solar power projects

ProCredit Bank in Bosnia and Herzegovina is getting a subordinated loan of up to EUR 5 million, following two such facilities in 2022 and last year. The Green for Growth Fund’s investment is for maintaining the partner’s capital position and supporting the expansion of its green portfolio. The bank especially sees opportunities in solar power, where there is significant potential for BiH to catch up with regional leaders.

“We thank our investors for their continued confidence. This kind of catalytic capital drives tangible impact in Southeast Europe and shows how aligning investment with ambitious climate goals accelerates the green transition,” Finance in Motion said.

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* This designation is without prejudice to positions onstatus and is in line with UNSCR 1244/99 and the ICJ Opinion on the Kosovo declaration of independence.
December 2, 2025
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Energy Community calls for nominations of PECI energy infrastructure projects

Developers of cross-border energy infrastructure investments within the Energy Community or internal ones with significant cross-border dimensions can nominate them by January 19 within the selection process for projects of Energy Community Interest (PECI). In line with the Trans-European Networks for Energy (TEN-E) regulation, the mechanism is for electricity transmission and energy storage including protection, monitoring and control systems, together with smart power and gas grids, hydrogen and carbon dioxide.

The Energy Community Secretariat opened a call for promotors to submit their projects for evaluation within the 2026 PECI selection. EU regulation 2022/869 – revised TEN-E, which the Energy Community Ministerial Council adopted as 2023/02/MC-EnC, stipulates the approval of the second list of projects of Energy Community Interest (PECI) by December 31, 2026.

Nominations are received until January 19. The proposals concern the electricity and gas sectors.

In the first group are high- and extra-high-voltage overhead transmission lines and underground and submarine transmission cables. It includes equipment and installations for offshore renewable electricity.

Eligible electricity segment investments are also for energy storage, as well as protection, monitoring and control systems for all of the above and at all voltage levels.

Projects for smart power and gas grids are both in the scope of the PECI selection process. Hydrogen-based technologies, electrolyzers and CO2 projects are within the gas infrastructure list as well, the call reads.

PECIs are for cross-border energy infrastructure within the Energy Community or internal endeavors with significant cross-border dimensions.

Proposal forms are available at the call’s webpage.

Ministries, regulatory authorities and transmission system operators will be among the institutions evaluating nominated projects. The group also consists of the European Commission, Energy Community Secretariat, Energy Community Regulatory Board, the ECDSO-E entity of Energy Community distribution system operators, the European Network of Transmission System Operators for Electricity (ENTSO-E) and European Network of Transmission System Operators for Gas (ENTSOG).

The Energy Community comprises the Western Balkans, Moldova, Georgia and Ukraine.

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