Iberdrola Electricity Distribution IV

Promoter – Financial Intermediary

Iberdrola SA

Location

• Spain

Description

The project involves the reinforcement and extension of the electricity distribution network in Spain, partly in convergence regions, during the 2008-2010 period. 

Objectives

The project will enable the promoter to improve the reliability and quality of electricity supply. The project will also cater for demand growth of circa 3%/a, reduce losses, and improve safety performance. These benefits are consistent with EU objectives to support the management and rational use of energy.

 

Sector(s)

• Energy

Proposed EIB finance (Approximate amount)

Up to EUR 600 million.

Total cost (Approximate amount)

Estimated to be around EUR 1800 million.

Environmental aspects

Few schemes of the project are expected to fall under Annex I of the EIA Directive while most of them will fall under ANNEX II, leaving it to the national competent authority to decide whether an EIA would be required in line with the screening criteria specified in the directive. The specific requirements of the different Spanish autonomous regions and the promoter’s application thereof will be investigated during appraisal. The potential negative impact on sites of nature conservation will be also investigated during appraisal. The promoter prepares systematically environmental studies for all new power lines and substations and submits them with the investment proposals to the competent authorities. For any investment requiring an EIA, the Bank will ensure access to the Non-Technical Summary. 

Procurement

The Bank will require the promoter to ensure that contracts for the implementation of the project have been/shall be tendered in accordance with the relevant applicable EU procurement legislation, with parallel publication of tender notices in the Official Journal of the EU as and where appropriate.

 

Status

Signed - 9/10/2008