ANDORRA ELECTRICITY AND DISTRICT HEATING FL

Promoter – Financial Intermediary

PRINCIPALITY OF ANDORRA

Location

• Andorra

Description

The framework loan will support investments in electricity generation, transmission, distribution, district heating and cooling production and distribution in Andorra, in the period 2024-2028.

Objectives

The aim is to support climate change mitigation beyond the EU borders. The project will improve the quality of electricity supply, develop district heating and enhance Andorra's electricity interconnection with Spain, while contributing to the national goal of achieving at least 33% of electricity demand supplied by national sources by 2030.

Sector(s)

• Energy - Electricity, gas, steam and air conditioning supply

Proposed EIB finance (Approximate amount)

EUR 60 million

Total cost (Approximate amount)

EUR 137 million

Environmental aspects

Some of the Project schemes in Andorra would have fallen under Annex I of the EIA Directive 2011/92/EU as amended by Directive 2014/52/EU, requiring an Environmental Impact Assessment (EIA), and Annex II of the EIA Directive 2011/92/EU as amended by Directive 2014/52/EU, requiring the competent national authority to determine the need for an EIA, if they were located within the EU. Schemes that have to do with digitalisation and refurbishment of assets are expected to have limited environmental impact. The Project scheme in Spain falls under Annex I of EIA Directive 2011/92/EU as amended by Directive 2014/52/EU, requiring an EIA. The requirements and status of the permitting procedures will also be further assessed during appraisal. The appraisal will focus on the capacity and capability of the Promoter to implement the programme in line with EIB environmental and social standards and requirements.

Procurement

The promoter has to ensure that implementation of the Project will be done in accordance with the EIB's Guide to Procurement.

Status

Under appraisal - 23/04/2024