DOLOMITI ENERGIA 2021 - 2024 INVESTMENT PLAN

Investments in electricity networks, integrated water service, hydropower plants and public lighting.

The operation is structured as a programme of investments. The investments consist of: the extension, modernisation and upgrade of electricity distribution networks; the deployment of second-generation smart meters; the refurbishment of existing hydropower plants; the refurbishment of public street lighting posts; and the improvement of operational efficiency of water networks through reduced water losses and increased climate resilience.

The project contributes to the national, EU, and EIB-own objectives on environmental protection, natural resource efficiency, climate and long-term energy decarbonisation. It supports compliance with key European policy and regulation in the water sector. The project helps address market failures in the subsectors it covers, in particular environmental externalities, as well as public health, the integration of end-customers in the energy markets, and gaps in investments and financing for integrated water services in Italy. It also increases resilience of the critical water and electricity networks to climate change, while further developing them. The economic benefits are multiple, dependent on the specific sub-investments, resulting in a very good improvement in social welfare. The quality of the project is high, supported by good skills and experience of the promoter in managing ESG issues. The financing by EIB increases the diversification of the funding sources and improves the maturity profile, allowing the promoter to expand investments more easily. The EIB package offers customised terms currently not available from the market, including flexible drawdowns and a longer grace period, fixed interest rate and availability period for disbursement. EIB participation in the project flags to the market the promoter's creditworthiness and viability, which could translate in more competitive financing conditions from third parties.

Some sub-projects of the programme fall under Annex II of the Environmental Impact Assessment (EIA) Directive. The potential impact of the programme includes visual impact, vegetation clearance, electromagnetic fields, noise nuisance, and traffic disruption. Some investments are expected to improve the resiliency to climate change of energy and water infrastructures and supply.

The Bank will require the Promoter to ensure that contracts for the implementation of the project have been or will be tendered in accordance with the relevant applicable EU procurement legislation, Directive 2014/23/EU / 2014/24/EU, where applicable, as well as Directive 92/13/EEC or Directive 89/665/EEC, as interpreted by the Court of Justice of the EU, with publication of tender notices in the Official Journal of the EU, as and where required.