FIBER OPTIC NETWORK ROLL OUT ITALY (FONOI)

The project concerns the rollout of a FTTH broadband network in Italy. The implementation will take place in the period 2023-2025.

The aim is to deploy and operate a fibre optic network connecting business areas of Italy on a wholesale basis. This will bring a significant uplift in the provision of broadband services on an open access basis. The long-term target is to connect industrial premises with very high capacity broadband access line.

The project contributes to the Public Policy Goal Innovation, Digital and Human Capital (Digital Infrastructure) and horizontal objective Economic and Social Cohesion. The project will lead to the deployment of innovative and secure telecommunication technologies and thus generate positive externalities by enabling more users to benefit from improved and safe access to advanced broadband services and fostering innovation throughout different sectors of the economy. This provides basis for enhanced productivity and competitiveness leading to economic returns to society that exceed those to the private investor.

EIB financing shall help to diversify borrower's capital structure and so raise its profile with other financial institutions. The pricing advantage offered by EIB shall reduce the company's interest expense therefore allowing for greater proportion of its revenues to be directed to the network roll out.

Investments in fixed telecommunications projects (mainly civil works for fibre rollout) do not fall under the Annexes of the Environmental Impact Assessment (EIA) Directive 2014/52/EU amending Directive 2011/92/EC. The related works have limited environmental effects, apart from disturbances during civil work constructions, which can be mitigated by appropriate measures.

The promoter has been assessed by the EIB as being a private company not being subject to EU rules on public procurement or concessions.