EIB and Terna: €400 million financing signed for the renewal of the national electricity grid

The loan is intended to finance investments to renew the national electricity transmission network, aimed at improving its resilience and reliability. The agreement helps promote the objectives of REPowerEU, which the EIB has committed to support with €45 billion of additional financing by 2027

we receive e we publish the following press release issued by The .

Terna , European Investment Bank (EIB) have signed a contract di financing from 400 million euros aimed at strengthening the efficiency and reliability of the national transmission network.

- interventionsthat will be completed by 2026 throughout Italy, aim to renew and replace existing infrastructures with the most modern solutions in terms of environmental sustainability, contributing to significantly increase the level of resilience of the network against future extreme climate events.

The financing agreement further consolidates the partnership between the EIB and Terna, a collaboration that is fundamental to achieving the REPowerEU objectives and to promote energy transition and security in Europe.

The loan in question, like previous EIB financing, has a duration of approximately 22 years from the date of disbursement and provides for the disbursement of a single tranche at a fixed rate. Being characterized by a longer duration and more competitive costs compared to market financing, the financing is thus part of the policy of optimization and streamlining of Terna's financial structure.

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"Investing in the modernization of electricity networks is essential to meet the growing demand for energy, promote the integration of new renewable sources and adapt to the digital transformation. This agreement with Terna confirms the EIB's commitment to supporting projects that enhance energy infrastructure, contributing to the ecological transition and ensuring energy security in Italy and Europe," said Jasmine Vigliotti, Vice-President of the EIB.

"The progressive electrification of consumption and the increase in global demand, the growing penetration of renewable sources in the energy mix and, above all, the increasingly frequent adverse weather events are factors that make it crucial for Terna to continue investing in the over 75.000 km of electricity grid that the company manages throughout the country and in the construction of new electricity backbones and submarine connections. In fact, it is necessary to modernize existing assets with technologically advanced components, in order to increase the resilience of the grid and the level of safety and adequacy of the electricity transmission service. At the same time, it is necessary to increase the capacity of the grid with new connections", he stated Josephine of Foggia, CEO and General Manager of Terna. “We therefore welcome with satisfaction the renewed support of the European Investment Bank, already at our side to support the country's energy transition also for another strategic infrastructure: the Tyrrhenian Link, the most important project in the world for the transmission of electricity under the sea”, concluded Di Foggia.

General informations

Terna

Il Terna Group is one of the main European and global operators for the transmission of electricity. It manages the national high-voltage transmission network with approximately 75.000 km of lines and over 900 electrical substations throughout Italy. Its mission is to guarantee, 24 hours a day, 365 days a year, the safe, quality and efficient operation of the national electricity system and access on equal terms to all market operators. A reality of excellence made up of over 6.100 professionals, Terna plays a leading role in the energy transition towards complete decarbonisation and full integration into the grid of energy produced from renewable sources. For more information www.terna.it.

European Investment Bank (EIB)

La European Investment Bank (EIB) is the long-term financing institution of the European Union and its shareholders are the Member States. It finances sound investments that contribute to the EU's strategic objectives. EIB projects strengthen competitiveness, stimulate innovation, promote sustainable development, improve social and territorial cohesion while supporting a just and rapid transition towards climate neutrality. Over the past five years, the EIB Group has provided financing for projects in Italy for more than €58 billion.