NORDLB INFRASTRUCTURE FRAMEWORK LOAN

The project consists in an Intermediated Framework Loan to NordLB to finance primarily German and Austrian infrastructure projects. Other EU countries are not excluded from support.

The aim is to finance energy-related projects, such as electrical grid expansion, battery storage, and district heating. The initiative contributes to the EU's energy objectives and helps tackle climate change.

This Framework Loan operation supports small- to medium-scale infrastructure projects aimed at upgrading critical German, and to a lesser extent Austrian energy infrastructure, particularly electrical networks and district heating, cooling systems, battery storage and renewable energy production. It addresses the growing investment needs in European energy infrastructure, essential for the European Energy Transition, as highlighted in the EU Clean Industrial Deal, the Affordable Energy Action Plan, and the Grid Action Plan. The project also supports Germany's decarbonisation goals under its National Energy and Climate Plan. The FI has a strong track record with the EIB and established relationships with German Stadtwerke (municipal utilities), the Final Beneficiaries, and key project implementers. The operation aligns with the EIB's priorities on Climate Action and Environmental Sustainability. It also contributes to the Bank's Energy Sector Orientation, particularly in securing enabling infrastructure. The project addresses market failures by enhancing energy resilience and integrating low-carbon generation into district heating networks, reducing emissions and air pollution. It is expected to deliver significant economic and social benefits. The FI is experienced with similar projects and has robust project management systems in place.

The operation falls within the scope of the EIB's Environmental and Social Standards - "Standard 11 Intermediated Finance". The Borrower / Financial Intermediary has adequate capacity, systems and processes in place for identifying, assessing, managing and monitoring environmental, climate and social (ECS) risks related to the potential sub-projects benefitting from EIB support. The Final beneficiaries will be required to comply with applicable national and EU legislation in respect of environmental and social matters, as appropriate.

Final beneficiaries will be requested to comply with applicable national and EU legislation, as appropriate.