The European Investment Bank has granted Endesa S.A. a EUR 600 million loan for upgrading and expanding its distribution network in Spain. The loan agreement for the first EUR 300 million instalment was signed in Madrid today.

The funds will be used to finance part of Endesa’s 2013-2015 strategic investment plan and will be principally aimed at taking forward the modernisation of the company’s power distribution networks. The investment schemes are located in Andalusia, Aragón, Catalonia, the Balearic Islands and the Canary Islands.

The EIB loan will help to improve the efficiency of the company’s distribution activities by reducing power losses and increase the network’s capacity to satisfy the demand from new customers. 

This operation meets the EIB’s and EU’s priority objective of achieving a reliable, competitive and secure energy supply – which is key to the smooth functioning of the economy.