- EUR 100 million EIB loan for the replacement of high- and low voltage cables, substations and transformers.
- Loan agreement follows a EUR 150 million facility signed in 2018.
- Financing finalised to improve security of supply for Elenia’s customers, by replacing overhead cables with underground lines in various regions of Finland.
Elenia, a distribution system operator in Finland, has signed a EUR 100 million loan with the European Investment Bank (EIB). The supported investments focus on improving security and quality of power supply by weatherproofing Elenia’s electricity distribution network.
The company’s long-term investment plan emphasises the importance of building underground electricity network and replacing old overhead lines that are at the end of their useful life to secure uninterrupted availability of electricity.
The loan supports Elenia to successfully continue its capex programme. More than 50% of the network is now underground reducing outages and improving security of supply to our customers. To meet the targets of the Electricity Market Act Elenia aims to increase the underground cabling rate of the electricity distribution network to 75% by 2028.
“In these troubled times it is very important that Elenia can continue its capex program as planned. We need to try to keep the economy functioning to avoid companies going into financial distress and unemployment rising. The execution of capex program brings substantial work for our contractor partners and their subcontractors.” commented Tommi Valento, CFO of Elenia.
The EIB offers long-term financing for sound and sustainable investment projects which contribute to furthering EU policy objectives.
Elenia Oy is Finland’s second-largest electricity distribution system operator (DSO), with a market share of 12%. The company has operations in more than 100 municipalities with approximately 67,600 km of distribution network