Shaanxi Accelerated Energy Efficiency and Environment Improvement Financing Project (ADB-48452-004)

Countries
  • China
Where the impacts of the investment may be experienced.
Specific Location
Shaanxi
Whenever identified, the area within countries where the impacts of the investment may be experienced. Exact locations of projects may not be identified fully or at all in project documents. Please review updated project documents and community-led assessments.
Financial Institutions
  • Asian Development Bank (ADB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Active
Bank Risk Rating
FI
Risk rating varies among banks and may refer only to the particular investment and not to the risk for the project as a whole. Projects marked 'U' have an 'Unknown' risk rating at the time of disclosure.
Voting Date
Nov 28, 2016
The estimate day the bank will vote on a proposed investment. The decision dates may change, so review updated project documents or contact the EWS team.
Borrower
Government of People's Republic of China
The holder of the loan, grant, or other investment.
Sectors
  • Energy
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, etc.
Investment Amount (USD)
$ 150.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Project Cost (USD)
$ 459.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please see updated project documentation for more information.
Primary Source

Original disclosure @ ADB website

Updated in EWS Aug 8, 2017

Disclosed by Bank Sep 29, 2016


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Project Description
The proposed project will establish a clean energy financing platform (CEFP) to channel finance to clean energy investments in Shaanxi Province. In addition, to support the high-impact energy efficiency and emission reduction initiatives in large enterprises, the platform will also focus on directing investments to small and medium-sized enterprises (SME). The proposed project to establish a dedicated Green Financing Platform (GFP) to mobilize domestic financing by leveraging ADB loan proceeds for energy efficiency, distributed renewable energy and environment improvement investments in Shaanxi Province.The proposed GFP will offer three complementary financial products: (i) a Debt Financing Facility to provide entrusted loans, (ii) Credit Guarantee Facility to support the mobilization of cofinancing, and (iii) Lease Financing Facility to provide lease financing for purchase of energy efficient industrial equipment. The GFP will partner with two commercial banks active in Shaanxi province to offer entrusted loans and the partner banks are encouraged to provide cofinancing to match at least the ADB loan proceeds. The guarantee facility will provide credit guarantees to technically sound subprojects with high energy saving potential but lacking in collateral to meet the requirement of the commercial banks for providing cofinancing. This facility is likely to be particularly useful for ESCO projects and SME borrowers. SFHG will provide credit enhancement to the guarantees provided by SMEGC by making a cash deposit of not more than 20% of the guaranteed cofinancing loan amount in the beneficiary bank of the guarantee. This will ensure that the guarantee facility will have a minimum leveraging ratio of 5.
Investment Description
  • Asian Development Bank (ADB)
Contact Information
Shaanxi Financial Holding Group ZHLIUWAN@163.COM 21st Floor, West Finance Tower, Xian Semiconductor Industrial Park, 125 Jinye Road, High-tech Zone, Xi'an, Shaanxi Province, China ACCOUNTABILITY MECHANISM OF ADB The Accountability Mechanism is an independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an Asian Development Bank-financed project. If you submit a complaint to the Accountability Mechanism, they may investigate to assess whether the Asian Development Bank is following its own policies and procedures for preventing harm to people or the environment. You can learn more about the Accountability Mechanism and how to file a complaint at: http://www.adb.org/site/accountability-mechanism/main