European Investment Bank to finance BritNed cable

09-12-2009 The European Investment Bank has agreed to issue a EUR 150 million loan to TenneT in order to finance the construction of the BritNed cable. Together with its British counterpart National Grid, TenneT is investing approx. EUR 600 million in total in the new electricity transmission cable, which will interconnect the grids of the United Kingdom and the Netherlands.

The European Investment Bank (EIB) is the long-term lending bank of the European Union. The development and expansion of so-called Trans-European Networks (TENs) is one of the key objectives of the EIB. TENs are trans-European energy, transport and telecommunications networks that are considered essential for the social and economic integration of the European Union. The EIB has become one of Europe’s largest lending banks for projects of this kind.

Mel Kroon, CEO of TenneT: The BritNed cable provides a significant number of advantages, for producers and consumers alike. Thanks to BritNed, the international trade will increase which will result in more stable prices for electricity in both countries and furthermore improves the security of supply. BritNed represents an important physical link on the road to a strong European power supply market.

The EIB loan is intended for realization of the BritNed project. The submarine cable is currently being laid on the seabed between the Isle of Grain in the UK and the Maasvlakte industrial zone in the Netherlands. It is scheduled to be taken into operation in early 2011.
 

http://www.eib.org
http://www.tennet.org
http://www.nationalgrid.co.uk
http://www.britned.com