EIB invests €16m in Swedish windfarm

9 March 2016 (Last Updated March 9th, 2016 18:30)

The European Investment Bank (EIB) is investing €16m to construct Langmarken onshore windfarm in Värmland County, Sweden.

The European Investment Bank (EIB) is investing €16m to construct Langmarken onshore windfarm in Värmland County, Sweden.

This will be the first project of EIB in Sweden under European Fund for Strategic Investments (EFSI).

Mirova and Eolus are the other co-investors in the onshore windfarm.

The EIB and Mirova-Eurofideme 3, a renewable energy fund managed by Mirova, have signed an agreement to acquire the Langmarken wind project.

The two companies will own 90% of shares in the windfarm, while Eolus will have the remaining 10%.

"It will contribute to the achievement of European and Swedish targets for renewable energy generation and CO2 emissions reduction."

Construction and management of the 20MW windfarm will be performed by Nordics windpower developer Eolus.

The deal includes six Vestas V126-3.3MW wind turbines, with an additional two having been acquired by the City of Malmö and the local Kalmar County Council.

Construction of the facility has already started and once commissioned, it will be linked to the national grid through a local substation operated by Kristinehamns Energi AB. The plant is expected to be commissioned by the first quarter of 2017.

EIB vice-president for operations in Sweden Jan Vapaavuori said: "We are glad to cooperate with Mirova and support the Langmarken wind project, as it will contribute to the achievement of European and Swedish targets for renewable energy generation and CO2 emissions reduction.

"This first EIB project in Sweden under the investment plan for Europe is only a start of the EFSI rollout in this country, within which we have been developing new financial products aiming to extend the EIB's risk capacity and market reach."

Mirova Renewable Funds head Raphael Lance said: "It is our opinion that windpower in Sweden is one of the most attractive long-term plays in European renewables. It adds another very competitive asset to Mirova-Eurofideme 3's portfolio, which already comprises six wind, solar and hydro investments, primarily in France and in Sweden."