Release date: 26 May 2021
Promoter – Financial Intermediary
CEZ DISTRIBUCE ASLocation
Description
The programme comprises investments in the electricity distribution network in the Czech Republic over the period 2021-2022. It encompasses reinforcements and refurbishments in medium- and low-voltage networks.
Additionality and Impact
The program comprises the expansion and modernisation of the electricity distribution network in the Czech Republic, consistently with the country's National Energy and Climate Plan and in alignment with EIB policies. The programme schemes are located in nine regions in the country, all comprising Cohesion Priority Regions. The programme delivers significant economic benefits over and above the financial return, in particular by addressing market failures linked to negative environmental externalities (GHG emissions from power generation and, indirectly, from mobility) and the supply of public goods (security of power supply), and has positive ESG impacts. The Bank's lending participation is expected to have an important impact on acceleration of the financed investment programme and improving its financial matrix. Extended tenor, longer availability period and diversification of lending base further strengthen the EIB's contribution to the objectives of this project.
Objectives
The project will allow the Promoter to maintain the reliability and quality of electricity supply, to cater to new system users, to integrate renewable energy and to connect electric vehicle (EV) charging stations.
Sector(s)
- Energy - Electricity, gas, steam and air conditioning supply
Proposed EIB finance (Approximate amount)
EUR 400 million
Total cost (Approximate amount)
EUR 752 million
Environmental aspects
The programme schemes are expected to have limited environmental consequences. Environmental impact studies will be carried out as applicable and mitigating and/or compensation measures will be applied as necessary.
Procurement
The Bank will require the Promoter to ensure that contracts for the implementation of the project have been and will be tendered in accordance with the relevant applicable EU procurement legislation (Directive 2014/25/EU where applicable), as interpreted by the Court of Justice of the EU, with publication of tender notices in the Official Journal of the EU, as and where required.
Status
Signed - 22/11/2021
Disclaimer
Before financing approval by the Board of Directors, and before loan signature, projects are under appraisal and negotiation. The information and data provided on this page are therefore indicative.
They are provided for transparency purposes only and cannot be considered to represent official EIB policy (see also the Explanatory notes).