VIPA starts providing additional funding for ongoing projects of modernisation of public buildings, allocating EUR 10 million
On 15 September 2022, VIPA started providing additional funding for ongoing projects of modernisation of public buildings. EUR 10 million will be allocated under the Climate Change Programme from the State Budget of the Republic of Lithuania under the facility “Renovation of State-Owned Buildings (II)” to provide additional financing for projects that are already being implemented.
Additional funding is provided to budgetary institutions and/or public institutions which are not entitled to borrow in accordance with legislative procedure, under a financing agreement signed with VIPA for the implementation of a project for the renovation of a public building, under the facility “Renovation of State-Owned Buildings (II)”. The funds are provided in the form of a grant, and the institutions will not be required to repay the additional funding.
“Since the end of 2020, when financing agreements for public building modernisation projects were signed, the high inflation and the war launched by Russia against Ukraine have led to a significant increase in the prices of contracting works and building materials, which has resulted in a shortage of funds for the implementation of the projects. The additional funding will allow to successfully complete the projects that were already started, further increasing energy efficiency of public buildings and reducing greenhouse gas emissions,” says Rūta Mikalauskienė, Head of Public Investment Division of Customer Service Department at VIPA.
The implementation of the instrument also contributes to the European Union’s Energy Efficiency Directive’s requirement to renovate at least 3% of the area of state-owned public buildings each year.
Financing for up to 75% of the value of contract works
The amount of additional funding may be up to 75 % of the amount of the contractual works provided for in the financing agreement for a project and up to a maximum of EUR 2 million per project.
Additional funding will be granted for the performance of contractual works foreseen in contracts for contractor works of the already completed public procurement procedures, as well as in the energy audit of the building and the Public Buildings Energy Efficiency Improvement Programme.
Call for applications
VIPA will accept applications for additional funding until 31 October 2022 at the latest, or until the total amount of the EUR 10 million allocated for the call for applications has been distributed. If no applications for the full amount of the call are submitted by this deadline, the deadline may be extended till 30 November 2022.
