EIB and Iberdrola Sign [euro]1 Billion Financing Agreement for 22 Renewable Energy Projects

Strategic Insights -

The European Investment Bank (EIB) and Iberdrola have signed a new financing agreement worth [euro]1 billion to build 19 solar power plants and 3 onshore wind farms in Spain, Portugal, and Germany. The projects will have a total installed capacity of 2.2 GW and a joint investment of more than [euro]1.7 billion, accelerating the energy transition, boosting economic growth, and creating employment in the regions where these renewable energy facilities are installed. The new installations will provide green energy equal to the average annual energy consumption of more than 1,000,000 households and will be mostly located in cohesion regions.

Key Takeaways:

  • The financing agreement covers 19 solar power plants and 3 onshore wind farms in Spain, Portugal, and Germany, with a total installed capacity of 2.2 GW and a joint investment of more than [euro]1.7 billion.
  • Spain received a record [euro]3.1 billion in financing for sustainable energy and natural resources projects in 2022, making it the second largest beneficiary of financing in the EU.
  • EIB Vice-President Ricardo Mourinho Félix emphasized the importance of accelerating the energy transition in Europe and ensuring access to affordable, clean power for all Europeans.
  • The agreement is part of the EIB's financing package in support of REPowerEU, the EU plan to strengthen Europe's energy autonomy.
  • Iberdrola plans to invest more than [euro]47 billion between 2023 and 2025 to promote the energy transition, employment, and net zero emissions.
  • The projects funded by this financing are in line with the UN Sustainable Development Goals on affordable and clean energy (SDG 7) and climate action (SDG 13) on which Iberdrola is focusing.
  • Over the next five years, an additional [euro]30 billion will be invested on top of the EIB's already robust support for the EU energy sector.
  • The financing pledged under REPowerEU is expected to generate an additional [euro]115 billion in investment by 2027, thus making a substantial contribution to Europe's energy independence.
  • Iberdrola's commitment to renewables and sustainable financing includes [euro]48 billion in ESG operations signed, of which [euro]17.6 billion in green bonds.

Statistics:

  • Total installed capacity: 2.2 GW
  • Joint investment: more than [euro]1.7 billion
  • Average annual energy consumption covered: 1,000,000 households
  • Spain received: [euro]3.1 billion in financing for sustainable energy and natural resources projects in 2022
  • Additional investment over the next five years: [euro]30 billion
  • Total investment expected by 2027: [euro]115 billion
  • Iberdrola's ESG operations signed: [euro]48 billion
  • Iberdrola's green bonds: [euro]17.6 billion

Sources:

  • Iberdrola, S.A. Press Release, June 12 (no publication date provided)
  • Iberdrola, S.A. (2017), Contify.com.