Norway. Eidsiva Energi AS
| Date of agreement: | 07 Sep 2021 |
|---|---|
| Country: | Norway |
| Customer: | Eidsiva Energi AS |
| Amount in NOK: | NOK 500 million |
| Amount in EUR: | EUR 49.73 million |
| Maturity: | 10 years |
| NACE sector / loan type: | Post and telecommunications |
Financing from NIB Environmental Bond proceeds
NEB-eligible share: 23%
NEB category: Transmission, distribution and storage systems
Amount disbursed: EUR 11.5 million
This project has been financed with the proceeds of NEBs issued under the previous framework
Note: For loans in other currencies than EUR, the equivalent in EUR is based on the exchange rate effective for the disbursement. Read more about the NIB Environmental Bonds
Project
NIB provides the loan to finance part of Eidsiva Energi’s investments to increase the number of active fibre optic broadband network clients from 75,000 to approximately 100,000 in Innlandet County during the period 2022-2024.
The project is an extension of the company’s previous fibre investment programmes, co-financed by NIB, for the rollout of fast fibre optic broadband networks for 2017–2020 and 2020-2021, to reach a target of 75,000 active clients. The scope of the objective has since been increased due to high demand. The fibre penetration in Innlandet County is among the lowest in Norway.
Eidsiva Energi AS is Norway’s largest electrical grid company and has been a customer of NIB since 2007. The company holds a 42.8% ownership stake in the power production company Hafslund E-CO Vannkraft. Eidsiva Energi’s other business areas include fibre broadband and district heating. The company operates its broadband and fibre business via two subsidiaries: the wholly owned Eidsiva Fiberinvest AS and the 90.1%-owned Eidsiva Bredbånd AS. Eidsiva is 50% owned by Hafslund AS, while Innlandet Energi Holding AS owns 49.41%, and the Municipality of Åmot owns the remainder.
Fulfilment of NIB's mandate
There is a significant variation of broadband access between municipalities in Norway and a high potential for improving access especially in Innlandet County, where the penetration rate is among the lowest. The investment will provide new digital infrastructure and services by expanding coverage and increasing capacity and speed.
Norway is a digitally mature market, and a substantial proportion of the population has access to internet. Nevertheless, a broadband infrastructure is required to keep pace with the rapid and extensive digitalisation in society to take full advantage of the opportunities offered. The intensity of internet usage is set only to increase, as seen over the past year by the accelerated global transition towards a digital universe which has highlighted the importance of access to a high-speed internet connection.
Sustainability summary
The project is not expected to have any significant environmental impacts.
