Soft loans - Incentives for citizens
In this section, the city of Delft (The Netherlands) shares its knowledge and experiences with the implementation of a revolving fund related to a soft loans scheme - an incentive for citizens to energy renovate private residential buildings.
In 2006, the municipality of Delft (NL) set up a revolving fund through which it now provides favourable loans with low interest of about 1.5% to citizens and non-profit organisations wishing to invest in energy efficiency and renewable energy measures (EE/RES) and reduce their energy consumption.
The term of payment equals the pay-back time (max. 10 years) of the energy measure. The advantage of a revolving fund is that after a certain time, the credit payments will flow back to the fund and can re-finance further measures. The soft loans scheme is managed by the executing bank - Stichting Volkhuisvesting Nederland (SVn).
Experience of Delft
|► Reduced energy costs for final beneficiaries|
► Revolving character of the scheme
► Positive impact on the local econ-omy – esp. the construction sector
Read the complete DELFT case study here.