An additional €30 billion of ISB funding, approved by the Board of Directors, will be provided to support the REPowerEU plan. Among the sectors targeted by this financing are renewable energy, energy efficiency and advanced technologies.
Targeted funding
ISB funding will be in the form of loans and equity financing by 2027. 115 billion for new investments. Over the past decade, the EIB has already made a significant contribution to financing the energy sector in the Union.
Funding averaged $10 billion per year. ISB aligns all of its financing operations with the goals of the Paris Agreement. The additional funds are for renewable energy.
ISB funding will support energy efficiency, storage networks and electric vehicle charging infrastructure. In addition, advanced technologies such as hydrogen are also included in this funding. In addition, the ISB Board of Directors approved technical and policy measures.
A European policy
IEB’s funding measures are designed to maximize the impact of new investments, as well as accelerate their pace. These provisions will make ISB loans more attractive to energy sector players. In particular, they will offer longer maturities and larger initial disbursements.
This ISB funding is part of the strategy set by the REPowerEU plan. It aims to make a substantial contribution to ending Russia’s dependence on fossil fuels. The chairman of the ISB group, Werner Hoyer, identifies this dependence as a critical vulnerability for European security.
Thus, the ISB declares its readiness to work with the private sector and to invest heavily to maximize the impact of these funds. Ursula Von der Leyen states:
“With the ISB contribution announced today, we can move even faster to clean up Europe’s energy system and end our dependence on Russian fossil fuels.”
The additional EIB funding is aimed at improving Europe’s energy security.
