Today in Rome, the European Investment Bank (EIB) and Terna s.p.a. signed a EUR 300m loan to finance the four-year investment programme of the Italian company, which owns the high-voltage power transmission grid.
Terna, which is responsible for energy transmission and distribution throughout Italy, is listed on the Stock Exchange and around 30% of its capital is held via Cassa Depositi e Prestiti by the Economics and Finance Ministry.
The operation will serve to improve Italy’s power transmission system, thereby ensuring the required safety and efficiency standards. The investment programme comprises ten individual grid upgrading and development projects in various Italian regions (Piedmont, Lombardy, Campania, Puglia, Abruzzi, Calabria and Tuscany). Part of the works will also serve to advance priority schemes such as the Italy-France interconnection.
The EIB loan, which will cover 46% of the total investment planned, cements the good relations that have traditionally existed between the EIB and Terna. In 2008, the Bank provided a EUR 373m loan for the Italy-Sardinia submarine cable link (Sapei) and last year a EUR 500m loan was signed for the upgrading of the transmission grid.
Background note:
The European Investment Bank supports the policy and strategic objectives of the European Union by providing long-term loans for economically viable projects. The EIB’s shareholders are the EU’s 27 Member States. Italy is one of the four major shareholders, together with the United Kingdom, Germany and France (each holding 16.2% of the capital).