All agreed loans

Norway. Lyse AS

Date of loan: 7 Dec 2009
Country: Norway
Customer: Lyse AS
Amount in NOK: NOK 450 million
Amount in EUR: EUR 53 million
Maturity: 10 years
NACE sector / loan type: Electricity, gas, steam and hot water supply
Business area: Energy and environment

Project

The loan has been provided for financing the energy company's electricity grid projects. The investments in the distribution networks and regional networks will be carried out between 2010 and 2012. The aim is to upgrade the existing grid and connect it to new clients, install back-up systems and set up an automatic monitoring system, as well as to increase the distribution capacity. The project will raise the value of the company's services, improve the electricity infrastructure and make the distribution of electricity more reliable in southern Rogaland in Norway. The distribution network is, through the Nord Pool system, integrated with that of the other Nordic countries.

Lyse Energi's core business is producing and selling energy and telecom products and building and running the infrastructure. The product range consists of current, mainly from hydropower, natural gas, heat, refrigeration, telephony and broadband.

Sustainability summary

The main environmental issues are utilisation of land, grid efficiency, waste management and generation of electromagnetic fields. For high voltage lines, Lyse compensates the property holder with a fee. Underground cables which are to be replaced are left in the ground if not immediately found. The oil is removed from oil-isolated cables that are left in the ground. Risk of oil contamination is limited and random tests have never detected any toxic substances.