Summary sheet
The project is an investment programme (the "Project") for the reinforcement and modernisation of the promoter's electricity distribution networks in Italy, in the municipalities within the Metropolitan City of Milan, during the period 2026-2030.
The investment is expected to allow the promoter to connect new users, to improve the resilience of the network, the quality of the electricity supply, and cater for demand growth.
The Promoter's investment programme (or the Project) contributes to achieving EU and national targets, as set out in the National Energy and Climate Plan of Italy.
The planned investments aim at maintaining and/or improving the efficiency and reliability of the service. Moreover, by enabling the connection of distributed RES generation capacity over the 2026-2030 period, they will reduce environmental impacts such as carbon and air pollution emissions.
The investments will deliver economic benefits to society, in the form of avoiding economic costs associated with GHG emissions and by improving the quality and the security of electricity supply.
With this loan, the counterpart receives significant added value from the Bank, in the context of the scarcity of attractively priced loans, with similar long maturities, available on the Italian markets. Simultaneously, the long tenor of the EIB loan is in line with the expected economic life of the underlying asset and the forecasted cash flows of the realised investment.
The programme comprises several electricity distribution schemes with voltages below the threshold for screening set out in the national legislation, as per the provisions of Article 4(3) of the EIA Directive 2011/92/EU as amended by Directive 2014/52/EU. As a result, none of the schemes will require an Environmental Impact Assessment (EIA). The environmental and social due diligence will follow the programme lending approach according to the EIB's procedures and standards, i.e., the due diligence focusses on the promoter's capacity and capability to implement the investments in line with EIB's environmental and social standards.
The promoter has to ensure that contracts for the implementation of the project are tendered in accordance with the applicable EU procurement legislation, for contracts above the threshold established by Directive 2014/25/EU as interpreted by the Court of Justice of the EU, with publication of tender notices in the EU Official Journal, as and where required.