The Board of the European Investment Bank (EIB) has agreed to provide 8.4bn euros of new financing, of which 1bn euros will support sustainable development across Europe.

European Investment Bank president Werner Hoyer said: “Improving sustainable transport and strengthening clean energy are key investment priorities to enable Europe’s sustainable transition to a “net-zero” emissions economy.

“In recent weeks political leaders have called on the EIB to build on the EU Bank’s unique experience to accelerate investment to support green and sustainable development. The range of projects approved today and strategic issues discussed demonstrate our firm commitment to helping address these challenges in the years ahead and especially to support the EU’s climate action agenda and the “New European Green Deal” envisaged by Ursula von der Leyen incoming president of the European Commission.”

EIB Energy Lending Policy

The meeting also discussed the draft EIB Energy Lending Policy following a first reading at last month’s meeting. After a constructive debate, it decided to continue the discussion at the next Board meeting on November 14, with a view to reaching a final approval. The additional weeks will be used for further bilateral exchanges and technical clarifications.

“The new Energy Lending Policy is a milestone on the EIB’s road to transform itself into the EU Climate Bank. I am pleased about the important progress made today and am confident of securing a final approval in November,” said Andrew McDowell, EIB vice president responsible for energy.

The new EIB Energy Lending Policy is intended to increase support for clean energy innovation and energy infrastructure essential for long-term decarbonisation of energy supply and phase out financing for gas distribution and power generation.

The policy has been drafted following the most comprehensive public consultation ever held by the EIB.

Over the last five years, the European Investment Bank has provided more than 65bn euros of new financing for global renewable energy, energy efficiency and energy distribution investment.

Increasing the impact of business investment

The EIB agreed to 2.95bn euros of new direct and indirect financing to support business investment.

This includes local financing programmes to accelerate energy efficiency and small scale renewable energy projects in Germany, Spain and Brazil and reduce energy use by industry in Paraguay.

The EIB has approved financing to construct four new onshore wind farms near Poznan in Poland, to upgrade regional energy distribution in central Austria and to convert waste to clean energy in Hamburg.

Clean energy developments are a key pillar of European Utility Week, which takes place in Paris from Nov 12-14.