Finland. Vantaa Energy Ltd
| Date of agreement: | 20 Feb 2024 |
|---|---|
| Country: | Finland |
| Customer: | Vantaa Energy Ltd |
| Amount in EUR: | EUR 85 million |
| Maturity: | 12 years |
Financing from NIB Environmental Bond proceeds
NEB-eligible share: 100%
NEB category: Resources and waste management systems
Amount disbursed: EUR 85 million
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
The loan has been provided for Vantaa Energy Ltd for financing the construction of a new high-temperature incineration plant in Vantaa, Finland.
Vantaa Energy’s new high-temperature incineration plant is set to transform non-recyclable hazardous waste into energy. The new facility will specialise in processing a broad spectrum of non-recyclable hazardous waste from both household and industrial sources, including specifically collected items like pharmaceuticals, oily materials, solvents, and glues.
The excess thermal energy generated by the plant will be fed into Vantaa’s district heating network and used to heat homes and commercial buildings. This also supports phasing out the use of fossil fuels by replacing the use of natural gas in heating.
Fulfilment of NIB's mandate
Productivity:
The investment is significant to Vantaa Energy and expands their operations to hazardous waste treatment. The new plant will also be enhancing Finland’s capacity for handling hazardous waste.
As the primary facility in Vantaa Energy’s heat production line, it is expected to operate at full capacity most of the time, simultaneously generating base-load heat for Vantaa and Helsinki as a side stream of the operations. This development not only bolsters waste treatment options in Southern Finland but also fosters competition among service providers, potentially leading to lower waste management costs for companies.
Environment:
Vantaa Energy is building a 24 MW hazardous waste incineration plant in Vantaa, set for 2025 completion, to process about 40,000 tonnes of mainly non-recyclable waste annually. Viewed as a crucial waste management effort, its goal is to safely dispose of hazardous waste while also benefiting the district heating system by contributing 150 GWh of heat annually.
The loan project is eligible to be funded with NIB Environmental Bond proceeds within the “Resources and Waste Management Systems” category, focusing on infrastructure improvements for enhanced waste management and pollution prevention.
Sustainability summary
This is a project with a potentially extensive environmental and/or social impact (category A, read more)
This is a project with a potentially extensive environmental and/or social impact (category A, read more).
An Environmental Impact Assessment has been developed for the project and necessary environmental permit was granted in 2022.
Overall, the investment programme is not assessed to have any significant negative environmental impacts and is in compliance with NIB’s sustainability policy.
