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European Union

European Investment Bank Pledges €17.5 Billion for Energy Efficiency Improvements

Strategic Insights

— 2 min read

The European Investment Bank (EIB) Group, led by President Nadia Calvino, has pledged €17.5 billion to support energy efficiency improvements by small and medium-sized European businesses. This investment aims to spur energy savings by over 350,000 companies over the next three years, nearly doubling the EIB Group's financing in this area. The initiative, supported by the European Commission, seeks to help SMEs use proven energy-saving technologies to lower their energy bills and boost their resilience and competitiveness. The EIB Group is partnering with the Solar Impulse Foundation to promote energy efficiency as a service, which eliminates upfront investment costs for businesses and makes it easier and faster to adopt energy efficiency measures.

Key Takeaways:

  • The EIB Group has pledged €17.5 billion to support energy efficiency improvements by small and medium-sized European businesses, aiming to spur energy savings by over 350,000 companies over the next three years.
  • The initiative targets energy efficiency and decarbonisation steps taken by SMEs and will use a combination of existing and new financial products, including debt and equity instruments.
  • The EIB Group is partnering with the Solar Impulse Foundation to promote energy efficiency as a service, which eliminates upfront investment costs for businesses and makes it easier and faster to adopt energy efficiency measures.
  • The Commission is launching a dedicated working group under the European Energy Efficiency Financing Coalition to address barriers and develop financing solutions adapted to the needs of small businesses across Europe.
  • The EIB Group's new report highlights the organisation's experience in supporting energy efficiency across Europe, along with findings from the EIB Investment Survey on the key drivers of and barriers to energy efficiency investments among EU firms.
  • European businesses spend more of their turnover on energy bills than their US counterparts, but have responded to high energy prices by investing in energy efficiency.
  • The EIB Group has signed nearly €89 billion in new financing for over 900 high-impact projects in 2024, boosting Europe's competitiveness and security.

Statistics:

  • €17.5 billion: EIB Group's pledge to support energy efficiency improvements by SMEs over the next three years.
  • 350,000: Number of companies expected to make energy efficiency gains through the EIB Group's €17.5 billion financing initiative.
  • €65 billion: Total investment expected to be mobilised by 2027 for energy savings by SMEs through the EIB Group's initiative.
  • 50%: Percentage of EIB's financing within the EU that targets cohesion regions, where per-capita income is below the EU average.
  • 60%: Percentage of annual EIB Group investments that support climate action and environmental sustainability.

Sources:

  • European Investment Bank (EIB) Press Release, September 11.
  • EIB Investment Survey on energy efficiency investments among EU firms.
  • Solar Impulse Foundation website.
  • InvestEU programme website.
  • European Commission website.

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