EIB loans Poland’s Energa €405m for power grid upgrades
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The EIB has signed €405 million ($437.3 million) to electricity supplier Energa to improve and expand the electricity grid in Poland.
With the latest EIB loan tranche, Orlen subsidiary Energa Operator will upgrade over 4,600km of existing grid infrastructure and build a further 2,300km of power lines in Poland to accommodate around 25,000 new customers. Energa Operator will also be able to modernise its electricity network’s metering systems.
Commenting in a release was Magdalena Bartoś, vice president of the Management Board and chief financial officer at ORLEN: “This record-high financing from the European Investment Bank is a strong vote of confidence in our growth strategy.
“The EIB funding will be directed toward investments in our electricity distribution network, such as building new power lines and connecting new customers, including prosumers with their own renewable energy sources. These projects will be carried out by Energa Operator, which, thanks to the financing secured by ORLEN, is well-positioned to reinforce its leadership in Poland’s energy transition.”
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The EIB loan supports Energa Operator’s long-term plans to expand the Polish national grid by 11,000km of new power lines and 7,000km of underground cables, while upgrading nearly 10,000km of existing infrastructure by the end of 2035.
These investments will enable the connection of 350,000 new customers and integration of 9GW of renewable energy sources, increasing the installed capacity of the national grid by more that 16%, and will allow for the addition of energy storage facilities to further stabilise the power system.
Said EIB vice-president Teresa Czerwinska: “Our support to Orlen is a strategic investment in the sustainable and long-term growth of the Polish economy.
“This underlines our strong commitment to a genuine and fair green transition, development of modern energy infrastructure and energy security for Poland and the European Union.”
This is the third and final tranche of a 3.5- billion-zloty (€839.9 million; $906.8 million) loan to Orlen for upgrades to power distribution grid in northern and central Poland.
