Iberdrola and the European Investment Bank (EIB) sign a €220 million loan to boost smart grids in Spain. These networks are essential to ensure the energy transition and to insert new means of production. This loan is also part of the REPowerEU plan.
Modernization of electrical networks
Iberdrola and the EIB sign a green loan to modernize the so-called “smart” electricity distribution networks. This type of network allows a better connection between supply and demand. Therefore, it allows for significant energy savings.
Thus, they are essential in the energy transition, as Iberdrola’s president, Ignacio Galán, points out:
“The top-up of this green loan with the ISB will allow us to continue developing smart grids in Spain, which are essential to facilitate the integration of renewable energy generation, boost energy efficiency and improve the distribution network and quality of supply.”
Moreover, in times of energy crisis, this investment seems to guarantee a certain security. The agreement complements the smart grid investment plan being developed by i-DE, Iberdrola’s distribution company in Spain.
Regional objectives
The loan will safeguard 100,000 jobs during the implementation period. More broadly, the loan supports the Bank’s regional cohesion and development objectives. It wishes to promote projects in regions whose per capita GDP is below the European average.
This is in line with ISB’s climate roadmap and REPowerEU plan strategy. Iberdrola’s additional resources will allow for investment in renewable energy and networks, two of REPowerEU’s priorities. Established by the commission after the Russian invasion, it aims to reduce dependence on Russian gas by accelerating renewables.
