FINANCING OF ENERGY SECTOR PROJECTS
Abstract
This article is dedicated to the analysis of effective financing mechanisms for energy sector projects in the context of current economic, environmental, and technological challenges. The aim of the research is to analyze and substantiate effective financing mechanisms for energy sector projects, considering modern economic, environmental, and technological challenges. The authors examine various sources of financing, including internal and external resources, as well as modern financial instruments such as green bonds and energy service contracts. A significant role in funding energy-saving projects is played by government funds, in particular the State Energy Efficiency Fund, which accumulates resources through various mechanisms, including budget allocations, voluntary contributions, and international financial assistance. The article also emphasizes the application of internal enterprise funds, bank loans, leasing schemes, and international financing programs for the implementation of energy-efficient projects. The advantages of bank loans are highlighted, including the possibility of quickly obtaining necessary funds, flexible financing terms (depending on the lender and the enterprise’s creditworthiness), and the ability to raise significant amounts for large-scale projects. Other financial instruments such as leasing schemes, which allow enterprises to obtain equipment without the need for a one-time full payment; corporate bonds, enabling businesses to raise funds directly from investors; and international financing programs offering grants or concessional loans for the implementation of energy-efficient measures, are also discussed. Additionally, the role of enterprises in implementing cutting-edge energy-saving technologies and alternative energy is examined, contributing to reduced energy consumption and enhanced competitiveness. It is concluded that a comprehensive approach to financing is a key factor for the sustainable development of the energy sector and overall improvement of the country's energy security.
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