Norway contributes an additional NOK 300 million to green reconstruction in Ukraine through Nefco

Norway and Nefco have signed a new financing agreement for Ukraine’s recovery in connection with the Ukraine Recovery Conference in Rome. The agreement aims to strengthen Ukraine’s resilience and support green reconstruction.

• Norway is increasing its support for Ukraine’s reconstruction through Nefco by NOK 300 million for the period 2025–2027.
• The funding will support energy-efficient school buildings, rehabilitation of water infrastructure and solar energy.
• With this new agreement, Norway’s total support to Nefco amounts to NOK 480 million.
• The reconstruction is aligned with EU environmental standards and supports Ukraine’s green transition.
• The agreement was signed in Rome, with Norway’s Minister of Trade and Industry, Cecilie Myrseth, and Ukraine’s Minister of Energy, Herman Halushchenko, present.
• Nefco has been active in Ukraine for over 20 years and has implemented more than 300 projects locally.

Norway and Nefco are strengthening their partnership on Ukraine’s reconstruction with a new NOK 300 million (approx. EUR 25.5 million) agreement. The funding will be distributed over three years: NOK 150 million in 2025 and NOK 75 million in both 2026 and 2027. The new agreement builds on the earlier Norwegian contribution of NOK 180 million for 2022–2024, bringing the total support to Nefco’s activities in Ukraine to NOK 480 million (approx. EUR 40.7 million).

The agreement is signed during the Ukraine Recovery Conference (URC) in Rome and represents a continuation of Norway’s commitment to Nefco’s Green Recovery Programme – a programme aimed at supporting a green and future-oriented recovery in Ukraine.

“Nefco is a key partner in delivering concrete, effective and sustainable solutions on the ground in Ukraine,” says the Norwegian Minister of Trade and Industry, Cecilie Myrseth.

The funds will be directed towards energy-efficient school and public buildings, as well as rehabilitation of water infrastructure, combining it with solar energy to secure energy supply and enhance resilience of the system.

A long-standing partnership in Ukraine

Nefco has been active in Ukraine for more than two decades and has developed deep knowledge of local needs, capacity and processes. Norway and Nefco have collaborated on energy-efficiency projects for over 10 years. Since 2010, Nefco has implemented more than 240 public projects across Ukraine, in cooperation with over 100 municipalities – in areas such as energy efficiency, water supply, renewable energy and waste management.

“This is a highly important contribution at a time when Ukraine is both defending its freedom and working to rebuild its society – something Nefco has been engaged in for years. Together with Norad, we aim to ensure that the funding supports concrete, green and lasting solutions where needs are greatest,” says Trond Moe, Managing Director of Nefco.

Nefco has already identified a pipeline of projects worth over EUR 25 million (NOK 300 million) for potential Norwegian funding. The pipeline includes reconstruction projects in central and western Ukraine. Projects are prioritised based on environmental impact, local capacity and benefits for vulnerable groups.

“We know Ukraine well and have built a strong local network – even before the war. This enables us to ensure high quality, strong local ownership and rapid implementation,” says Moe.

Special focus on energy-efficient schools

Moe highlights that a green recovery will help build Ukraine’s resilience – both during and after the war.

“By investing in renewable energy and energy-efficient solutions, we reduce both costs and emissions – while providing local communities with safer and more robust solutions for the future,” he says.

Energy infrastructure is among the most targeted sectors in the war. By integrating solar energy, efficient insulation, heat pumps and robust solutions in public buildings such as schools and hospitals, vulnerability is reduced and services become more resilient – even in crisis situations.

Part of the funding will be allocated to the development of so-called net-zero energy schools, which combine energy efficiency and solar power to reduce both energy costs and greenhouse gas emissions. Norway has already supported the technical assistance for these projects, and the new agreement will enable the implementation of additional projects.

“The school projects are among the most meaningful initiatives we support. They offer children and youth safe, modern environments for learning, while also setting a new standard for sustainable construction – even in times of war,” says Moe.

In addition to the school projects, the support will contribute to initiatives under Nefco’s Green Recovery Programme, including:

• Energy efficiency in public buildings
• Solar energy solutions – both off-grid and grid-connected
• Sustainable water and wastewater systems

All projects are implemented by local municipalities in Ukraine, with support from Nefco.

Signing at high-level meeting in Rome

Norwegian Minister of Trade and Industry, Cecilie Myrseth, and Ukraine’s Minister of Energy, Herman Halushchenko, are attending the Ukraine Recovery Conference (URC) in Rome on 10–11 July 2025. The agreement was signed during an Energy Lunch hosted by the Norwegian Ministry of Foreign Affairs on 10 July. The event gathered decision-makers and partners from several countries and organisations.

URC 2025 is the fourth in a series of high-level conferences on Ukraine’s recovery and brings together international actors to strengthen the country’s resilience and future development.

For more information, please contact:

Henrik Toremark, Senior Programme Manager, Nefco
henrik.toremark@nefco.int, +358 10 6180 677

Josefin Hoviniemi, Vice President Communications, Nefco
josefin.hoviniemi@nefco.int, +358 50 464 6995

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