| Project Detail |
Financing the implementation of 12 small run-of-river hydroelectric plants and the restoration of 13 weirs along the Arno river, to control the river flow, restore hydraulic defences and protect biodiversity.
Additionality and Impact
The operation focuses on the implementation of 12 small run-of-river hydroelectric plants and the restoration of 13 weirs along the Arno river, to control the river flow, restore hydraulic defenses and protect biodiversity.
The EIB investment in the project will support the deployment of new renewable Hydropower energy capacity in Italy, crucial for the achievement of the 2030 targets set out in the final National Energy and Climate Plan.
This operation addresses the market failures that limit the access to finance of small renewable energy projects, despite the pivotal role they play in contributing to EU energy policy objectives and in the decarbonization strategy to achieve Paris goals. In addition, the investments are expected to generate positive externalities (enhanced biodiversity, flood management), and increase public goods for society (by improving public health) and increased resilience to climate change, which are not effectively reflected in market prices.
Overall, the project is expected to yield good quality and results, due to the wider benefits to society the project promotes. The implementation and operation of the project is supported by adequate governance and capabilities of the promoter.
EIBs innovative developer financing leverages the parent company strength to provide financing to early-stage development projects. This operation will free-up the developers headroom with domestic financial institutions for lending to other pipeline projects, accelerating project development across the portfolio.
Objectives
Financing for a portfolio of mini hydro power plants along the Arno river in Italy.
Sector(s)
Energy - Electricity, gas, steam and air conditioning supply
Proposed EIB finance (Approximate amount)
EUR 49 million
Total cost (Approximate amount)
EUR 65 million |
