July 25, 2013
Investing in Spain’s electricity grid: EIB signs loan contract with Iberdrola
Luxembourg/Bilbao – The European Investment Bank (EIB) and the Spanish electric utility company Iberdrola Distribución Eléctrica SA signed a loan contract for EUR 200 million in Bilbao today. The loan will support the modernisation of the electricity distribution network throughout Spain, improving its overall reliability and safety.
The loan will co-finance a comprehensive investment programme designed to reinforce and modernise Iberdrola’s electricity distribution network. A large number of supply points in the full range of voltages operated by Iberdrola will be connected to the existing network. Furthermore, the programme will comprise the installation of new digital electricity meters in compliance with Spanish legislation, which requires the deployment of digital meters for residential customers by 2018. The investment programme provides for the installation of up to 1.8 million new meters.
The EIB has a long-standing relationship with Iberdrola, one of the largest power distribution companies in Spain, serving 10.7 million customers. With today’s signature, the EIB has provided a total of EUR 3.6 billion for projects in Spain since the beginning of the year, of which almost EUR 1 billion in the Spanish energy sector.
The European Investment Bank is the long-term lending institution of the European Union owned by its Member States. It makes long-term finance available for sound investment in order to contribute towards EU policy goals.