17 July 2023
Promoter – Financial Intermediary
ENEL GREEN POWER ESPANA SL
The operation supports solar and wind renewable energy generation projects in Spain.
This is the second allocation under the Framework Loan (FL) 2020-0916, approved by the EIB Board of Directors on 22.07.2021 (CA/545/21/451).
Additionality and Impact
This operation concerns the development and operation of a portfolio of onshore wind and solar PV projects that will contribute to the achievement of the 2030 decarbonisation targets set out in the National Energy and Climate Plan (NECP) of Spain and the REPowerEU action plan. The projects are located in two Cohesion Regions.
The financing of this operation contributes to Bank's lending priority objectives on Renewable Energy, Environmental Sustainability, Climate Action, as well as Economic and Social Cohesion.
The underlying projects produce electricity from low carbon sources (solar PV and on-shore wind), addressing the market failure of negative climate and environmental externalities, through the reduction of carbon emissions and air pollution (compared to fossil-fuel generation).
The underlying projects will rely on revenues from the wholesale market and unsubsidised commercial power purchase agreements (cPPA), thus the operation improves market efficiency and competition. The operation is expected to yield good quality and results, thanks to avoided GHG emissions and fair employment creation.
The promoter has a recognised in-house design and project management capacity with a significant track-record of international energy projects. The project is supported by adequate governance and capabilities of the promoter.
The EIB's contribution will be most visible on the financial contribution side by accelerating the fundraising process and crowding in other financiers.
The aim is to contribute to achieve the EU-wide target of reaching 32% of energy from renewable sources in gross final energy consumption by 2030, as set out in the Renewable Energy Directive (EU 2018/2001). It also contributes towards the renewable energy targets outlined in the Spain's National Energy and Climate Plan (NECP). The operation is in line with both the EIB's cohesion financing and with the lending priority related to renewable energy and climate action.
- Electricity, gas, steam and air conditioning supply
Proposed EIB finance (Approximate amount)
EUR 292 million
Total cost (Approximate amount)
EUR 584 million
All projects and grid interconnection infrastructure have required an Environmental Impact Assessment (EIA), including public consultation. The competent authorities considered all the comments presented during the EIA, in line with the legal framework. General quality of the Environmental Impact Studies (EIS), in terms of the impact assessment methodology, studies and fieldwork conducted is considered acceptable. The EIS of each plant and ancillary facilities such as the transmission lines included a cumulative impacts assessment taking into account the neighbouring (existing and planned) infrastructures, including the plants within the relevant cluster. The plants and associated infrastructure obtained their environmental permits (Declaracion de Impacto Ambiental - DIA) between 2018-2022. The wind cluster is in the last stage of construction, with projects already energized in December 2022 and PV schemes are currently under construction with the last plants expected to be operational by end of 2023.
The promoter has been assessed by the EIB as being a private company not being subject to EU rules on public procurement or concessions. However, if at the project appraisal, the EIB were to conclude that the promoter is subject to the EU public procurement legislation then the Bank would require the promoter to apply those rules.
Approved - 12/07/2023