EIB backs renewable energy growth in Austria with €92m

EIB backs renewable energy growth in Austria with €92m

The European Investment Bank (EIB) said on Thursday (August 11) it will provide up to 92 million euros ($95.1 million) in debt to finance renewable energy and energy efficiency projects in Austria as part of the country's 2030 100% renewable part of the power target.

The framework loan will be extended to UniCredit Austria, a local branch of Italian bank UniCredit, and will be used for small and medium-sized renewable energy programmes. The bank also said that with the new funds, it will create a credit portfolio of up to 200 million euros to finance clean energy projects to meet growing demand.

In the summer of 2021, the Austrian parliament voted in favour of the country’s new Renewable Energy Expansion Act (EAG), which raised the renewable energy consumption target to 75% from the previous 75%. The EIB noted that the upgraded target has increased demand for climate-friendly projects, but has resulted in a lack of "competitively priced" long-term financing for small and medium-sized renewable energy and energy efficiency projects, adding that it intends to work with partner banks and Other financial intermediaries work together to fill the gap.

Thomas Ostros, Vice President of the European Investment Bank, said: “Austria already benefits from one of the most developed and efficient green energy markets in Europe, has a proven track record of success in climate action investments, and is expected to continue to invest in climate action in the future. There will be a number of important new projects in a few years.”

(1.0 EUR = 1.033 USD)

(Source: Research and Search Photovoltaic Intelligence Analysis)