Presentation by Bapak Jon Respati, MASKEEI - OECD Focus Group Discussion: Financing models for energy efficiency, 22 October 2020

1. Financing Models for Energy
Efficiency Projects
CEFIM-OECD FGD
October 22, 2020
Jon Respati
Chairman of MASKEEI
1/5

2. Challenges
• Most EE Projects size are relatively small
• Relatively high (local) interest rates
• No Project Finance
• Uncertainties about the benefits ( financially risky)
• SME’s failure to build up reserve for future assets
replacement.
• Unawareness/ignorance
• Inadequate HR
2/5

3. Some Practices
• Self finance
• Leasing
• Corporate Credits
• Export Credits
• ESCO models
• Government finance
3/5

4. De-risking Factors
• Gov. Finance for Gov. Projects and PPP
• Guarantee ( export credits)
• Effective regulations
• Energy Saving Insurance
• Carbon pricing and trade mechanism
4/5

5. The Way Forward
• Develop Project Finances practices
• Green Funds ( Climate Finance)
• Capacity Buildings ( awareness, assessing risks,
IGA, ESV and ESCO related competencies)
• Strong, (supportive) regulation
• Workable Incentives and disincentive systems
( Tradable ESC, Carbon Tax regimes, Rewards)
5/5

6. 6
Thank You