(PRESS RELEASE) ARNHEM, Netherlands, 9-Mar-2020 — /EuropaWire/ — TenneT Holding B.V. and The European Investment Bank (EIB) sign EUR 250 million loan agreement to finance the western section of TenneT’s “Zuidwest 380 kV” project. The EIB financing will support the construction of a new 380 kV transmission line – combined with a 150 kV line for part of the route – from the substation at Borssele to a new substation at Rilland. This will enable the transmission of rapidly growing amounts of offshore wind energy to users in the Netherlands and beyond. The Zuidwest 380 kV project also supports increased connectivity of European electricity markets as a whole.
The ongoing growth of offshore wind power generation capacity off the Dutch southwest coast, part of the 1.4 GW Borssele Wind Farm Zone, is one of the main reasons for the enhancement. Once the wind farms are in operation and facilitating the transfer of sustainable, offshore electricity to demand centres, the new grid connection will allow for the avoidance of congestion on the high voltage grid.
“The Netherlands’ ambitious targets for renewable energy generation require more investment in the transmission network. That’s why the EIB, as the EU Climate Bank, is pleased to support this project,” commented EIB Vice-President, Andrew McDowell.
“The switch from traditional fossil fuels to renewable energy sources is one of the biggest challenges the world is currently facing. It is an immense task for transmission system operators. This project in the southwest of the Netherlands will support us in maintaining our strong track record in the availability of our electricity grids. At the same time, this connection facilitates the integration of sustainable offshore wind energy into the Dutch electricity system,” said TenneT CFO, Otto Jager.
The EIB has raised its total lending commitment to TenneT to EUR 1.8 billion, and this transaction again underlines the strong relationship between the EIB and TenneT. The upgrade and expansion of TenneT’s electricity transmission networks in the Netherlands and Germany as well as interconnectors are supported by The EIB.
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SOURCE: TenneT Holding B.V.