1. EIB approves €700m loan to Iberdrola for electricity distribution network expansion in Spain.
2. Total investment for the project is estimated at €1.44bn, with Iberdrola contributing €740m.
3. Objectives of the project include improving efficiency, resilience, facilitating electrification applications, and integrating renewable energy into the grid.
The European Investment Bank (EIB) has approved a €700m loan for Iberdrola to expand its electricity distribution network in Spain, with a total investment of €1.44bn. The project aims to enhance the efficiency and resilience of the network, support new electrification applications, and integrate more renewable energy into the grid to expedite the energy transition and decarbonisation in Spain. This financial support aligns with the EIB’s efforts to promote renewable energy integration and reduce EU reliance on fossil fuel imports.
The EIB’s director general emphasized the importance of modernizing electricity grids to support renewable energy sources, highlighting the EIB’s commitment to climate action. Iberdrola’s chief finance officer expressed that the loan will accelerate Spain’s energy transition, facilitate sustainable energy access, and contribute to the EU’s energy and strategic autonomy. The financing will enable Iberdrola to advance industry decarbonization and develop smart grids in Spain.
In a separate development, Export Finance Norway extended a €525m loan to Ørsted for its Hornsea 3 offshore wind farm in the UK, supporting the acquisition of transformer platforms. This funding will help Ørsted generate clean electricity to power three million homes from 2027. Eksfin’s commitment to offshore wind financing now reaches €3.5bn, furthering efforts towards sustainable energy generation.