The EIB loan will support EGF’s plan to invest €202 million in waste management in Portugal over the period 2022-2024.
The European Investment Bank (EIB) has granted a €100 million loan to EGF, the company responsible for the treatment and recovery of urban waste in 174 municipalities in Portugal and serving 60% of the Portuguese population, to support waste management projects in the country. The loan agreement was ratified in Lisbon today.
The committed financing will make it possible to increase and improve the selective collection of urban waste and the modernisation of triage and organic recycling centres. The agreement is strongly aligned with the EIB goal to support climate action and environmental sustainability, and will contribute to achieving compliance with the national and EU regulations on waste management by promoting a more circular economy. It will also provide a way to meet the targets of the recently announced National Strategic Plan for Urban Waste in Portugal (PERSU 2030). In addition, a significant part of the committed financing will benefit cohesion regions.
According to Emídio Pinheiro, Chairman of the Board of Directors of EGF, “The financing represents recognition of the benefit of the investment plan and of the implementation capacity of EGF’s concessionaires, ultimately contributing to the environmental goals and commitments set for the country.”
“Providing high-quality sustainable solid waste management is crucial to safeguard public health and protect the environment but also to support resource efficiency and the circular economy,” EIB Vice-President Ricardo Mourinho Félix said. “This is a priority area for the EIB as shown by our ongoing support to the sector in Portugal, where we have been providing long-term financing and technical assistance to public and private waste management projects, thus contributing to its modernisation.”
Ongoing support to sustainable waste management in Portugal
EIB support to sustainable waste management in Portugal has been crucial for the strengthen and modernisation of the sector in the country. This is the EIB’s third loan to EGF. Between 2019-2021, the EIB committed €75 million to EGF, facilitating the construction of new waste recovery units across the country. Over recent years, the EIB has committed finance to implement selective collection infrastructure, new ways to value waste, deployment of new industrial technologies and more modern plants.
Overall, the EIB estimates it has committed close to €700 million to this sector in Portugal since 1987, thus contributing to a more sustainable waste management in the country and the quality of life of its citizens.
About the EIB
The European Investment Bank Group (EIB Group), which consists of the European Investment Bank (EIB) and the European Investment Fund (EIF), reported another year of excellent results in Portugal, with overall financing signed in 2022 reaching € 1.7 billion.
EGF is a European company of reference in the environmental sector and leader in the treatment and recovery of waste in Portugal. EGF is responsible for ensuring the treatment and recovery of waste in the most environmentally correct and economically sustainable way, contributing to improving the quality of life and the environment.
The management of waste treatment and recovery systems is carried out by 11 concessionary companies (Algar, Amarsul, Ersuc, Resiestrela, Resinorte, Resulima, Suldouro, Valorlis, Valorminho, Valnor, Valorsul) set up in partnership with the municipalities served, which annually process around 3.3 million tonnes of urban waste, serving a population of 6.2 million people spread across 174 municipalities in an area equivalent to 60% of Portuguese territory.
The Project concerns the 2022-2024 investment programme of the promoter focussing on the implementation of various components in the solid waste sector in Portugal. It consists of a number of investments geographically dispersed throughout the service areas covered by EGF and its 11 subsidiaries respectively.
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