EIB approves €4.3 bn in transition funding, including €805 mn for clean power

The European Investment Bank (EIB) has announced approval for €4.3 billion of new financing to upgrade the region's transport and energy distribution, besides expanding energy storage and accelerating investment in climate action.

In a release, the bank announced that its Board of Directors had approved €805 million in clean energy financing across the region. This includes funds to upgrade electricity distribution in Germany, which would allow for integration of more renewable generation capacity and help cater to demand from charging of electric vehicles.

The board also approved investments for grid-scale pumped storage in the Baltics, to support the region's use of wind and solar power sources and enhance energy security. Lastly, the board approved financing to support small and medium scale renewable energy investment in Italy.

In a statement, Nadia Calviño, President, EIB, said "The investment projects … will help European companies innovate, expand renewable energy use, and improve public transport and local recycling, thus boosting the competitiveness of our economies."

Besides clean energy funding, the board also approved a massive €3 billion to support business investment in research, boost climate action projects from the private sector, and aid the growth of midcap companies.

The EIB also agreed to support climate action investment by businesses in five central European countries, to help engineering, construction and manufacturing companies reduce energy use and costs.

Also among its actions, the EIB agreed to finance deployment of electric buses and electric bikes in France, in addition to renovation and upgrading of train, tram and metro rolling stock, through the purchase of green bonds issued by the country's transport operator.