The European Investment Bank (EIB) and Italian cable maker Prysmian have signed a new $488.7 million (€450 million) finance contract to facilitate green electricity transmission and distribution in Europe.
With a view to meeting the growing demand for renewable energy in general and offshore wind in particular, Prysmian will use the EIB funds to build new production lines for extra-high-voltage submarine cables, lines for high-voltage onshore cables and other technical improvements to existing lines.
The EIB-financed investment will enable Prysmian to double its production capacity for extruded cables at its three factories in Pikkala (Finland), Pozzuoli (Italy) and Gron (France) from around 2 000 km a year to over 4 000 km a year.
This will help to meet EU targets for clean energy transmission via submarine cable solutions and long-distance interconnections, improving the integration and efficiency of renewable energy.
According to Prysmian estimates and in line with time frames and procedures that are still being defined, this investment will also promote the creation of new jobs, thereby generating major economic benefits for the countries involved.
In addition, almost half of the operations covered by the agreement will take place in cohesion regions such as Campania in Italy and Burgundy in France, thereby helping to address regional economic disparities and promoting more balanced and inclusive economic development.
The contract follows previous agreements between Prysmian and the EIB. In the past, the EIB has backed Prysmian’s research and development across Europe, helping to support its production centres of excellence while promoting clean and renewable energy with interconnections between integrated renewable resource systems via cable solutions.
“The EIB is the EU climate bank, and this financing shows our commitment to backing clean energy transmission in Europe. This agreement with Prysmian will help achieve the REPowerEU objectives by mobilising vast resources to address the most pressing energy and environmental challenges,” said Gelsomina Vigliotti, EIB’s Vice-President.
“Prysmian is playing a key role in promoting the European energy transition. We are proud that the EIB is supporting our commitment to help build additional capacity to meet the growing demand for clean energy across the continent,” added Massimo Battaini, Prysmian’s CEO.