The European Bank for Reconstruction and Development (EBRD) and the European Commission have announced the launch of the Ukraine Renewable Mechanism for Mitigating Risks (URMM), reports Baltimore Chronicle with reference to Expro.
The mechanism was officially introduced at the Ukraine Recovery Conference (URC2025) held in Rome. Its primary goal is to unlock €1.5 billion in investments to develop 1 GW of new renewable energy capacity in Ukraine.
The European Union has already approved €180 million to support the mechanism under the Ukraine Investment Framework (UIF), while the Netherlands is planning to contribute an additional €12 million in grants. According to the European-Ukrainian Energy Agency, other European governments are also seriously considering joining the initiative.
URMM is particularly significant because its concept originated within Ukraine’s private renewable energy sector. Over the past year, the mechanism has been shaped through close collaboration between the European-Ukrainian Energy Agency, the Ukrainian Wind Energy Association, the EBRD, the European Commission, and other partners.
The initiative addresses a major challenge facing renewable energy development in wartime conditions—namely, the risk of guaranteed electricity offtake. URMM ensures a minimum electricity price for each private project, giving banks the confidence to provide financing for new generating capacities during a critical time for the country.
Earlier, investor representatives noted preparations for a dedicated fund to be financed by international financial institutions, aimed at stimulating the construction of renewable energy facilities. The fund is expected to involve international donors and offer long-term income guarantees to investors, protecting them from market price fluctuations.
Earlier we wrote that EBRD approves loan of up to €270 million to purchase gas for two heating seasons in Ukraine.