EIB Supports Iberdrola with €120 Million Loan to Accelerate Spain’s Renewable Energy and Grid Innovations

EIB Supports Iberdrola with €120 Million Loan to Accelerate Spain’s Renewable Energy and Grid Innovations

(IN BRIEF) The European Investment Bank (EIB) has provided a €120 million loan to Iberdrola to advance research, development, and innovation projects in Spain’s energy sector, with a total investment of €250 million. The projects will focus on renewable energy generation, grid digitalization, and solutions for self-supply and electric mobility, all aimed at accelerating decarbonisation and electrification. The funds will also enhance cybersecurity and resilience in power grid management. This initiative aligns with Iberdrola’s 2024-2026 strategy to promote energy innovation and decarbonisation, with a particular focus on regions with lower-than-average incomes. The EIB continues to prioritize energy security, having provided over €21 billion in financing for such initiatives in 2023.

(PRESS RELEASE) LUXEMBOURG, 22-Oct-2024— /EuropaWire/ — The European Investment Bank (EIB) has entered into a financing agreement with Iberdrola, securing a €120 million loan aimed at advancing innovation in Spain’s energy sector. This funding will support a variety of research, development, and innovation (RDI) initiatives that target the electrification and decarbonisation of the economy. Key areas of focus include renewable energy generation, the digitalisation of power grids, and the development of self-supply and electric mobility solutions for consumers. The total investment for this ambitious project is expected to reach €250 million.

This collaboration aims to boost renewable energy projects by investing in technologies such as solar photovoltaics, wind energy, and hydropower. Additionally, it supports innovative approaches in agrivoltaics and combined power, as well as efforts to decarbonise demand through solutions like green hydrogen and heat pumps. A significant portion of the funding will also focus on improving the integration and management of renewable energy, enhancing energy efficiency, and optimizing storage throughout the energy value chain.

A crucial component of the investment will go towards the digital transformation of power grids. Projects will explore advanced data management, power electronics, and smart grid technologies, while also addressing the need for cybersecurity and resilience in grid operations. In the retail sector, the loan will promote the development of tailored solutions designed to encourage self-supply and electric mobility among customers.

These innovation efforts are integral to Iberdrola’s strategic plan for 2024-2026, which aims to accelerate the company’s decarbonisation goals and contribute to the broader electrification and digitalisation of the global economy. Furthermore, the investment will have a significant social and territorial impact, with an estimated 27% of the total funds directed toward regions with lower-than-average income levels in the European Union, reinforcing economic and social cohesion.

This loan agreement reflects the EIB’s ongoing dedication to energy security and innovation. In 2023 alone, the EIB Group allocated over €21 billion in financing for energy security initiatives across Europe, including €4.5 billion specifically in Spain. These efforts are pivotal in advancing Europe’s transition towards sustainable energy and reducing dependence on fossil fuel imports.

Iberdrola, as a leader in energy innovation, continues to drive forward with an energy model rooted in electrification and clean technologies. The company has committed to doubling its investment in research, development, and innovation by 2030, with plans to allocate more than €4 billion towards renewable energy, smart grids, digital transformation, and green hydrogen. This strategy not only supports global decarbonisation efforts but also strengthens energy security, competitiveness, and job creation along the energy value chain. Recognised by the European Commission as the world’s top private electric company for R&D investment in its 2023 Industrial R&D Investment Scoreboard, Iberdrola remains at the forefront of innovation in the energy sector.

Background information

About the European Investment Bank

The European Investment Bank (ElB) is the long-term lending institution of the European Union, owned by its Member States. It finances sound investments that further EU policy objectives. EIB projects bolster competitiveness, drive innovation, promote sustainable development, enhance social and territorial cohesion, and support a just and swift transition to climate neutrality.

The European Investment Bank Group (EIB Group), consisting of the European Investment Bank (EIB) and the European Investment Fund (EIF), reported total financing signatures in Spain of €11.4 billion in 2023, approximately €6.8 billion of which went to climate action and environmental sustainability projects. The EIB Group signed a total of €88 billion in new financing in 2023.

About Iberdrola and its commitment to sustainable financing and a carbon-free nation

Iberdrola is continuing to move forward with its sustainability strategy, which is based on electrifying the economy through clean energy, and which focuses on combating climate change and creating wealth and jobs in the regions where it operates.

At the end of the first quarter of 2024, the company had green or sustainability-linked financing of more than €56 billion, including over €21.3 billion of green bonds.

Media Contact:

Maite Cordero
m.corderomunoz@eib.org
+34 606 66 82 62

Press Office

press@eib.org
+352 43791

SOURCE: European Investment Bank