Enterprise-Level GHG Reduction Initiative, Business4Climate+ in Cyprus

In Cyprus, there were quite a few hurdles in the area of climate finance. For example, upscaling of projects to increase energy efficiency (and thus reduce GHG emissions) was hampered by the lack of attractive financing options. For example, there were no low-cost, readily available bank loans to finance energy efficiency and renewable energy measures. In addition, government support instruments needed to be redesigned to meet current market needs and consider industry-specific circumstances. In addition, alternative solutions had to be developed to also attract energy-intensive industries to energy efficiency measures in order to meet national emission reduction targets.

The project contributed to the country's climate protection goals and promoted the realization of quantifiable GHG reduction measures as well as the creation of favorable conditions for a sensible climate policy. Business4Climate+ forms the continuation and complement of the Business4Climate program and was intended to engage Cypriot companies from industries not participating in the Emissions Trading Scheme (ETS) in climate protection. The focus was on financing projects to increase energy efficiency. The project aimed to get more than 250 companies from all non-ETS sectors to commit to reducing their GHG emissions by at least 8 percent by 2030. It also sought to identify which financing models would be most appropriate for Cyprus, considering the experience gained in Europe.

The project improved opportunities for Cypriot companies to achieve targeted reductions in their greenhouse gas emissions:

• Policy recommendations: The project partners published a policy roadmap and strategy paper for various national ministries and the European Development Bank. The documents include specific recommendations on how to improve the financing of climate-friendly investments in small and medium-sized enterprises. 
• Established knowledge platform: An online tool helps companies evaluate and implement energy efficiency measures. It will be available until 2030 and serves as a permanent knowledge platform. 
• New momentum for climate action in the private sector: 75 representatives from administration, business and the financial sector took part in training courses on corporate climate action in Cyprus. This increased their willingness to become more involved in this area in the future.