NIB finances TVO’s safety investments in nuclear power in Olkiluoto, Finland
The Nordic Investment Bank (NIB) has signed an investment loan agreement of EUR 75 million with Teollisuuden Voima Oyj (TVO). The loan finances key investments aimed at maintaining and improving safety measures and ensuring the possible extended operational lifetime of two nuclear power plant units, Olkiluoto 1 and Olkiluoto 2 in Finland. The term of the loan is 10 years.
The investment project encompasses two major initiatives: the replacement of the I&C and monitoring systems at Olkiluoto 1 (OL1) and Olkiluoto 2 (OL2) plant units, as well as the modernisation of the reactor steam separators at both units. The possible extension of the service life of the plant units, as well as an increase of their thermal power, has also been accounted for in the investment plans.
Both plant units currently produce a net electrical output of 890 megawatts and are a vital part of Finland’s national strategy to achieve carbon neutrality by 2035. Nuclear energy is essential for maintaining stable base-load electricity production, especially as the country integrates more intermittent renewable sources like wind and solar.
“This financing reinforces our role in supporting the Nordic-Baltic region’s energy security and diversity of energy sources. By modernising critical nuclear power infrastructure, we help ensure reliable energy production that meets future demands while contributing to the carbon-neutral ambitions to move away from fossil energy sources,” says André Küüsvek, NIB President & CEO.
“This important financing increases the stability of TVO’s overall financing structure. Long term loan from the Nordic Investment Bank supplements very well our capital market driven debt financing scheme,” says Lauri Piekkari, Senior Vice President, Treasury and Risk Management at TVO.
The Olkiluoto nuclear power plant is the most significant producer of electricity in Finland. Last year, Olkiluoto produced about 28 percent of all electricity consumed in Finland. Teollisuuden Voima Oyj (TVO) is a non-listed public limited liability company. TVO’s majority shareholder is Pohjolan Voima Oyj. TVO is a joint venture of Pohjolan Voima.
NIB is an international financial institution owned by eight member countries: Denmark, Estonia, Finland, Iceland, Latvia, Lithuania, Norway and Sweden. The Bank finances private and public projects in and outside the member countries. NIB has the highest possible credit rating, AAA/Aaa, with the leading rating agencies S&P Global Ratings and Moody’s.
For further information, please contact
Sebastian Påwals, Director, at +358 10 618 0527, sebastian.pawals@nib.int
Iiris Anttalainen, Communications, at +358 10 618 0258, iiris.anttalainen@nib.int
