The European Investment Bank (EIB) has announced €243 million in financing for the Italian group ERG to support a series of energy projects in Europe. The agreement covers strategic initiatives in France, Italy, and Germany, reinforcing the company’s wind and solar assets while aligning with European energy development objectives.
This financing includes three onshore wind projects in France, the modernization (repowering) of two wind farms in Italy and another in Germany, as well as the renovation of seven solar plants in Italy. These assets represent a total capacity of approximately 270 MW, the majority of which are located in cohesion regions prioritized under the European Union’s economic policy.
A Structured Financing for Competitiveness
The EIB provides extended financing conditions, exceeding its traditional 50% ceiling to cover up to 75% of the project costs. This structure aligns with the goals of the REPowerEU program, which aims to strengthen Europe’s energy resilience and reduce dependence on fossil fuel imports.
These projects are part of ERG’s 2024-2026 strategic plan, which focuses on targeted growth of its wind and solar assets. The financing from the EIB also optimizes ERG’s capital sources to meet the increasing investment demands in the energy sector.
ERG’s Business Model Transformation
ERG, historically active in the oil sector, continues its strategic shift with a portfolio composed entirely of renewable assets. The company completed its withdrawal from thermoelectric activities in 2023 to focus exclusively on wind and solar energy. The EIB loan enhances the company’s financial capabilities to deploy projects in a market with growing demands for modern and competitive energy infrastructure.
Economic and Political Challenges in Europe
The agreement reflects a broader European dynamic to modernize energy infrastructure and ensure strategic independence for EU member states. The concentration of projects in cohesion regions also meets the European Commission’s economic development priorities.
EIB Vice-President Gelsomina Vigliotti emphasized: “This financing confirms the EIB’s commitment to supporting strategic investments that strengthen energy infrastructure across Europe.”
ERG, for its part, leverages this operation to optimize its financing capabilities. Its CEO, Paolo Merli, stated: “This transaction provides competitive financial terms and supports our targeted growth strategy.”
The projects, expected to be completed by 2025, mark a significant step in deploying modern energy infrastructure to meet the growing needs of the European market.
