Kosovo Family Upgrades from Wood Stove to Eco-Friendly Heating System

In Koshare, a village in central Kosovo known for its severe winters, the Sopa family, along with many others in the region, traditionally relied on large quantities of wood to heat their home each year.

Faced with the recurring expense of heating their 250 m2 home every winter, Florim Sopa sought a more sustainable and efficient heating solution. Florim's investment of approximately €7,000 in a heat pump and a hot water storage tank was partly offset by a €1,046 cashback incentive. He obtained a loan through the European Bank for Reconstruction and Development’s (EBRD) Green Economy Financing Facility (GEFF). The GEFF program collaborates with local banks, including ProCredit, Raiffeisen Bank, Kreditimi Rural i Kosoves, and KEP Trust in Kosovo, to provide residential loans for energy-efficient and renewable energy solutions.

While such home upgrades significantly reduce energy consumption and long-term costs, the initial investment can be substantial. The GEFF program, supported by the European Union (EU), Austria, Japan, and Switzerland under the High-Impact Partnership on Climate Action (HIPCA), offers technical assistance and investment grants to help homeowners embrace green solutions.

“This investment not only saves us yearly on energy costs and provides warmer, clean heating, but it also contributes to a healthier living environment for my family and future generations,” Florim remarked.

The GEFF program, beyond financial benefits, ensures that the chosen technologies meet the EBRD’s energy efficiency criteria. For the Sopa family, the installation of the heat pump has enhanced home comfort with more consistent temperatures and reduced energy usage. These green technologies are expected to yield annual energy savings of 1560 kWh and a decrease in CO2 emissions by 0.8 tonnes.

Energy Efficiency in the Western Balkans

In the Western Balkans, residential buildings account for about 60-70% of energy usage. Therefore, implementing energy efficiency measures in homes is crucial for energy conservation.

In collaboration with the EU and other donors, the EBRD offers financing and policy support to align countries’ energy efficiency laws and regulations under the Regional Energy Efficiency Programme (REEP) for the Western Balkans.

To date, the GEFF program has facilitated over 17,000 households in the Western Balkans to invest about €95 million in eco-friendly residential solutions. These investments contribute to annual savings of over 66 million kWh of energy and a reduction of more than 23,500 tonnes of CO2 emissions – equivalent to removing over 14,500 cars from the roads.

*The HIPCA, initiated by the EBRD and its partner governments at COP26 in 2021, receives support from Austria, Canada, Finland, South Korea, the Netherlands, Switzerland, Spain, the Taiwan International Cooperation and Development Fund (TaiwanICDF), and the United Kingdom.