The European Investment Bank (EIB) has approved a €400 million loan to Czech energy supplier ČEZ to enhance and expand the country’s electricity distribution infrastructure. This loan will modernize energy services, increase green power supply, and support the Czech Republic’s transition to a sustainable energy system.
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Modernizing Czech Energy Grid with EIB Support
ČEZ will utilize the EIB funding to modernize its electricity networks, implement remote-controlled systems, and develop infrastructure to integrate renewable energy sources. This enhanced grid will allow the Czech Republic to accommodate an extra 5.5 gigawatts (GW) of renewable energy, helping the country boost energy independence and decrease its dependence on fossil fuels.
The EIB loan is in line with the European Union’s REPowerEU initiative, which seeks to accelerate the green energy transition and reduce dependence on Russian energy sources.
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Strengthening Energy Independence and Green Transition
Kyriacos Kakouris said, “This loan represents a significant investment in modernizing the Czech Republic’s electricity distribution network while accelerating the integration of renewable energy sources,”
He added, “The EIB is committed to financing projects that enhance energy resilience, support the green transition, and strengthen the Czech Republic’s energy independence. This partnership highlights the critical role we play together in driving sustainable growth and achieving the country’s energy-transition goals.
The project, set for completion by 2026, will actively contribute to the EU’s broader climate goals and energy objectives.
This €400 million loan follows a previous €790 million EIB financing agreement signed in 2022, underscoring the long-term collaboration between the EIB and ČEZ. Additionally, the EIB has provided nearly €2.8 billion to ČEZ, funding projects that enhance energy reliability, efficiency, and sustainability in the Czech Republic.