3 Jul 2020
EUR 60 million
Financial institutions and SMEs
|Date of agreement:||4 Apr 2007|
|Customer:||E.ON Sverige AB|
|Amount in SEK:||SEK 500 million|
|Amount in EUR:||EUR 53.6 million|
|NACE sector / loan type:||Electricity, gas, steam and hot water supply|
|Business area:||Energy and water|
The loan totalling SEK 500 million is aimed at financing the replacement of 17,000 kilometres of weather-sensitive uninsulated overhead power distribution lines with underground cables to improve the ability of the power distribution grid in Sweden to resist hurricane winds. The hurricane "Gudrun" in 2005 caused severe damage to the grid, especially in southern Sweden. When in 2007 the storm "Per" hit Sweden's west coast, approximately 300,000 households were left without electricity. The company is set to invest more than SEK 10 billion in making the grid safer. Some 2,600 kilometres of regional networks will be broadened to a width of 35-40 metres to prevent disruption caused by falling trees. E.ON Sverige is the third largest power utility in Scandinavia with core markets in southern and central Sweden.
E.ON's project to switch from overhead power lines to underground cables will have low and manageable environmental impacts. Low voltage uninsulated overhead power lines in rural districts are susceptible to interruptions from falling trees, which are often caused by strong winds or heavy snow loads. The new underground cables are mainly placed along existing roads to facilitate maintenance and minimise the environmental impact. E.ON Sverige is certified in accordance with ISO 14001 and 9001.