- The main works include the renewal of medium and low-voltage lines and the modernisation of secondary substations.
- The project is expected to result in a fall in annual CO₂ emissions of around 6.9 kilotonnes, equivalent to the amount of CO₂ absorbed each year by approximately 50,000 trees.
The development and modernisation of electricity distribution grids in Lombardy – in line with national and European decarbonisation targets – are the key objectives behind a €200 million loan that the European Investment Bank (EIB) has granted to A2A, one of Italy’s leading multi-utility companies. The loan will support the reinforcement, resilience and increased capacity of electricity infrastructure in the province of Milan, an area characterised by high load density and growing demand for electrification.
The plan covers investment in renewing around 450 km of medium-voltage grid and around 140 km of low-voltage grid using new generation cables, as well as activities to rationalise the network. In urban areas that are more exposed to extreme weather events, the progressive underground installation of some sections of the infrastructure will also begin, with the aim of improving resilience.
The project also includes the reconstruction and modernisation of almost 800 secondary substations, the installation of transformers to reduce energy losses, and new generation switching and protection equipment able to enable greater automation and more flexible network management. Together, these measures will increase available transformation capacity, improve load distribution and ensure faster maintenance operations. The agreement between the EIB and A2A prepares the electricity grid in the Milan area to address rising consumption, including the electrification of end use, the growth of electric mobility and the expansion of distributed generation.
“With this financing, the EIB is supporting a strategic investment for the modernisation of electricity grids and for energy security in one of Europe’s most dynamic metropolitan areas,” said EIB Vice-President Gelsomina Vigliotti. “The agreement is fully aligned with the EIB mandate to support modern and resilient energy infrastructure in line with European climate objectives, helping to make the system more efficient and resilient, facilitating the integration of renewable energy sources and accelerating the energy transition for the benefit of people and businesses.”
“This financing represents an important step in the path outlined in our Strategic Plan towards an increasingly electrified, resilient and sustainable energy system,” said Luca Moroni, CFO of A2A Group “The agreement with the EIB enables us to accelerate high-impact investments in a strategic area such as the province of Milan, further improving operational efficiency and service quality. It is a concrete example of how financial discipline and value creation can go hand in hand, generating tangible benefits for local communities, businesses and citizens.”
Estimates indicate that the modernisation of the distribution system will lead to an annual reduction in emissions of around 6.9 kilotonnes of CO₂-equivalent, equivalent to the amount of CO₂ absorbed each year by approximately 50,000 trees.
The initiative is part of the implementation of the A2A Group’s 2035 Strategic Plan, which allocates €23 billion of investment to the two pillars of the green transition and the circular economy. It also confirms A2A’s commitment to the country’s decarbonisation efforts, to the development of a more modern and reliable energy system, and to making network infrastructure more flexible, including in light of the expected growth of data centres. The plan has been promoted by Duereti, the group company that manages electricity distribution activities in several municipalities in the provinces of Milan and Brescia.
Background information
EIB Group
The European Investment Bank (EIB) is the financing arm of the European Union, owned by the 27 Member States, and is one of the world’s largest multilateral development banks. In 2025, the EIB Group signed €100 billion in new financing to support more than 870 high-impact projects in eight strategic priorities contributing to EU objectives: climate action and environmental protection, digitalisation and technological innovation, security and defence, cohesion, agriculture and the bioeconomy, social infrastructure, robust global partnerships, and a savings and investments union. In addition to providing long-term loans for the construction of large infrastructure, the EIB Group catalyses private investment for high-risk innovative companies and projects. It also plays an increasingly important role in the European venture debt, venture capital, guarantee and securitisation markets.
The European Investment Fund (EIF) is the EIB Group’s subsidiary specialising in guarantees and equity. It is specifically tasked with improving access to finance for small and medium businesses and startups across Europe. The EIF acts as an anchor investor, leveraging its extensive network of partner banks and investment funds to mobilise private investment and fund an ecosystem of venture capital funds to support innovative EU entrepreneurs.
In 2023, the EIF, in cooperation with six EU Member States (France, Germany, Italy, Spain, Belgium and the Netherlands), launched the European Tech Champions Initiative, a fund of funds aimed at scaling up innovative startups. The initiative has already led to the creation of 13 European venture capital mega funds and the expansion of 38 companies, including 11 unicorns, bringing together total capital of over €1 billion.
Photos of members of the EIB Group and its headquarters, logos and B-rolls for use by the media can be found here.
A2A
Listed on the Milan stock exchange and employing around 15 000 people, A2A is Italy’s leading operator in the circular economy and district heating sectors, and the country’s second largest energy provider in terms of installed capacity and electricity distributed. The group manages the generation, sale and distribution of energy, the sale and distribution of gas, district heating, waste management, electric mobility, smart city services, public lighting and the integrated water service. A2A’s strategy is built on the two pillars of the circular economy and the energy transition, supported by an investment plan of €23 billion to 2035 that combines the creation of sustainable value, decarbonisation, innovation and a contribution to the country’s energy autonomy.