Andorra la VellaThe process to obtain co-financing by the European Investment Bank (EBI) for energy transition projects is moving forward with the publication on its website of the forecast of a framework loan of 60 million euros.
The amount will be used to finance renewable energy projects. In addition, distribution of heat networks and expansions of energy supply during the period 2024-2028. The EIB continues with the evaluation process to grant co-financing. In fact, it is expected to obtain final approval during 2025 by its Board of Directors.
The process of approaching the European Union through the negotiation of thePartnership agreement has made it easier for the Principality to receive financing from the EIB. The financing option is also the result of Andorra’s international homologation work through the accession to the International Monetary Fund (IMF) and al Development Bank of the Council of Europe.
The project presented by Andorra aligns with one of the objectives of the BEI to support the mitigation of climate change outside the borders of the European Union. Andorra is the first small non-EU European state to cooperate with the EIB.
The Secretary of State for International Financial Affairs, Noelia Souqueunderline “the strong shared commitment to sustainable finance, essential in the global context of the fight against climate change“.
The Secretary of State Energy Transition, Transport and Mobility, David Fornehighlights that “a new financing lever will be opened that will make it possible to guarantee greater energy independence of Andorra and to achieve the strategic objectives that will increase self-sufficiency and guarantee a safer and more sustainable supply in a context of electrification of transport and heating“.
He also points out that “this cooperation with the EIB will strengthen the country’s commitment to an energy model based on local and sustainable sources, aligned with the objectives of the fight against climate change“.
The relevance of this first cooperation project between Andorra and the EIB, which will highlight Andorra’s ability to access high-level international financing, both in financial and technical terms, provided by the EIB”
Finally, the Secretary of State for Relations with the European Union Landry Riba emphasizes that “this project will strengthen the international projection of Andorra and shows the tangible benefits of a close collaboration with European institutions“. Likewise, he recalls that “the beginning of the talks to have access to EIB financing were carried out in parallel with the conclusion of the negotiations for the Association Agreement, a fact that contributes to the fact that Andorra can access, despite being a third country, financing from the EIB”.