Edison bags EUR-300m EIB debt for renewables in Italy

Italy’s Edison Group will get EUR 300 million (USD 338.8m) in debt from the European Investment Bank (EIB) to develop renewable energy and energy efficiency projects.

The electricity and natural gas producer will use the proceeds over the next four years to support the construction of small and medium-sized renewable power plants and for energy efficiency projects. Some of the latter will envisage making energy upgrades to buildings, the EIB said on Thursday.

The lender will extend the financing as a green framework loan with a maturity in 15 years. It noted this is its first such loan in Italy.

Additionally, the EIB will lend EUR 150 million to Edison that the Italian group will use to build a 780-MW combined-cycle power plant in Marghera, Venice, to replace an aging thermoelectric facility that is being decommissioned. The funds will be extended under a separate financing agreement.

All of the EIB-backed projects are part of Edison’s decarbonisation plan and will help it meet its goal of lifting the share of renewables electricity to 40% by 2030 from 20% now. The group owns 2 GW of renewable energy assets, including over 2 GW of hydropower plants, according to the statement.

(EUR 1.0 = USD 1.129)

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