To promote new renewable energy projects and repowering initiatives in Italy, France and Germany. The European Investment Bank (EIB) granted EUR 243 million (USD 255.3m) in funding to the Italian green power company ERG SpA (BIT:ERG).
The EIB and ERG said in a joint statement on Monday that the green loan will be used to build new greenfield onshore wind farms in France, repower existing wind farms in Germany and Italy. Also repower and renovate existing solar farms in southern Italy.
It is anticipated that the projects will be completed in 2025 with an installed capacity of about 270 MW. The EU cohesion policy places up to 97% of the initiatives in less developed or transitional areas.
ERG stated in a statement that because the EIB loan is associated with REPowerEU. The European Union’s decarbonization and green energy scheme will pay more than the usual 50% of the entire cost of projects. It will help repower two existing wind farms in Italy and one in Germany, modernize and increase the output of seven solar power facilities in Italy and support three new onshore wind farms in France.
“Given our shared objectives in the development of renewables, we are extremely pleased with this agreement which I believe is the start of the partnership between the EIB and ERG,” stated Paolo Merli, CEO of ERG.
“The loan demonstrates ERG’s ability to attract debt capital to finance its growth targets and will give the group greater financial flexibility on competitive terms,” added Paolo Marli.
