| Project Detail |
The project consists of an intermediated lending facility that will support predominantly private companies promoting small and mid-sized renewable energy projects in France.
Additionality and Impact
The Project will contribute to the timely deployment in the next years of renewable energy generation capacity in France, which will be key to meet the mid/long term national and EU energy objectives as well as the REPowerEU Action Plan. The Project will also support the EIBs priority lending objectives concerning renewable energy and will contribute fully towards the Banks climate action objectives.
In terms of addressing market failures, the project will produce electricity from low carbon sources and thereby help to address the market failure of negative environmental externalities, through the reduction of carbon and air pollution.
On project quality, the project is supported by adequate capabilities / governance of the promoter. In terms of project results, it is expected to have a positive economic rate of return, considering the economic value of the electricity generated. Therefore, the project is expected to generate a positive broader social benefit by generating clean and renewable power at a cost (LCOE) reasonably below the cost alternatives in France.
The EIBs intervention will take the form of a funding line to BPCE, a well-known intermediary of EIBs support to the renewable energy sector in France. The funds will be intermediated through BPCE groups regional network, Caisse dEpargne Provence-Alpes-Corse ("CEPAC"). CEPAC will on-lend the EIB funds at attractive financing conditions to eligible projects, thereby facilitating their implementation.
Based on the GDP proxy, around 59% of the financing volume is expected to be invested in cohesion priority regions.
Objectives
The aim is to facilitate investments that support national and European targets related to renewable energy (RE) generation. As such, the project contributes to EU energy objectives, notably to make energy sustainable, secure and affordable.
Sector(s)
Energy - Electricity, gas, steam and air conditioning supply
Proposed EIB finance (Approximate amount)
EUR 350 million
Total cost (Approximate amount)
EUR 467 million |
