COMPENSATORY FINANCING OF ENERGY-EFFICIENT PROJECTS IN CONSTRUCTION: MODIFICATION OF «TAX INCREMENT FINANCING»

Abstract

The article presents a study of the application of financial compensatory technology Increment (TIF) and provides suggestions on the prospects for attracting investment in energy saving projects. Attracting financial resources in energy efficient projects is one of the most pressing problems of the modern economy due to the expansion of socio-economic infrastructure in different regions of the country. Under these conditions, the search for new sources and mechanisms of project financing is of particular interest. One such mechanism is the use of deferred tax payments (TIF), which is quite common abroad. Prospects for the implementation of the mechanism of compensatory financing in the current conditions are considered, the foreign experience of Tax Increment Financing is analyzed. Management technology of compensatory financing of energy efficient projects will provide an opportunity to make effective management decisions to attract sources of funding, the formation of their rational structure, as well as to distribute risks among project stakeholders; protect other assets from default and increase the level of financial and credit obligations of project owners; to ensure an increase in the financial leverage ratio, which will increase the return on equity and reduce its value as part of total capital. The peculiarity of the use of Increment is to ensure the reimbursement of investor costs through special funds, which are replenished by tax revenues from the income created and put into operation of energy-efficient infrastructure. The main component of this mechanism is redevelopment, which is financed by an investor who invests in construction and reimburses its costs from a special fund, which accumulated taxes paid by the owners of new buildings. This scheme of financing energy efficient projects uses the effect of tax increases as a result of projects aimed at increasing the value of real estate or land. On the example of the construction energy cluster the Investment mechanism of enterprises (institutional participants in the construction energy cluster) using Tax Increment Financing was developed, where in its structure the methods, levers, tools of financing of energy saving measures on the basis of compensatory technology are singled out.