NIB finances AB Klaipėdos energija infrastructure expansion and modernisation
NIB and AB Klaipėdos energija have signed a EUR 32 million uncommitted credit facility for the company’s investment programme for 2025–2028. The programme aims to renew and modernise infrastructure to enhance the sustainable use of renewable energy in heat production, supply and other operations. NIB’s financing has a maturity of 20 years, providing long-term capital.
“These investments support the transition of cities in western Lithuania to a more sustainable and resilient energy system,” said André Küüsvek, NIB President & CEO. “They bring value by delivering both environmental and economic benefits.”
“The implementation of the investment programme, based on the company’s long-term strategy, will significantly contribute to achieving its strategic objectives. One of these goals is to increase the reliability and efficiency of heat supply and production operations. Another important objective is to reduce environmental impact by decreasing natural gas consumption while increasing the share of renewable energy sources in heat production,” commented Rolandas Baltuonis, CEO of AB Klaipėdos energija.
NIB’s financing will enable the renewal of heat networks in the cities of Klaipėda and Gargždai, reduce network losses, modernise production and heat supply equipment, improve operational processes, upgrade infrastructure and buildings, and renew other long-term assets essential for the company’s operations.
As part of the company’s 2025–2027 investment programme, active expansion of operations is also planned. This includes investments in connecting new consumers to the network, as well as expanding and digitalising the hot water supply business. The expansion of the district heating network will enable more efficient use of existing infrastructure, reducing maintenance costs for consumers through increased overall heat consumption. It will also contribute to lower emissions and promote more sustainable heating solutions in the Klaipėda region.
Currently, more than 90% of the heat supplied to AB Klaipėdos Energija’s customers is produced from renewable sources. In its efforts to further increase the share of renewable energy sources (RES) in heat supply, the company is continuously exploring ways to expand fossil-fuel-free heat production capacity. Through the consistent implementation of its investment programme, AB Klaipėdos energija is assessing the technical possibilities of significantly increasing the RES share in its production by 2028, including potential investments in combined heat and power (CHP) generation or other heat production technologies based on alternative renewable sources.
AB Klaipėdos energija is the primary supplier of thermal energy in Klaipėda and Gargždai, serving more than 76,000 consumers and supplying more than 800 GWh of heat produced by the company and purchased from other producers per year.
NIB is the international financial institution of Denmark, Estonia, Finland, Iceland, Latvia, Lithuania, Norway, and Sweden. The Bank finances projects that improve productivity and benefit the environment of the Nordic-Baltic region. The Bank is headquartered in Helsinki with a regional hub in Riga. NIB has the highest possible credit rating, AAA/Aaa, with S&P Global Ratings and Moody’s.
Contacts:
Kersti Talving, Senior Banker, +358 10 618 0245, kersti.talving@nib.int
Vytautas Brazaitis, Senior Communications Officer, +358 10 618 0235, vytautas.brazaitis@nib.int
