All agreed loans

Sweden. Norrvatten

Date of agreement: 6 Jun 2019
Country: Sweden
Customer: Norrvatten
Amount in SEK: SEK 500 million
Amount in EUR: EUR 47 million
Maturity: 30 years
NACE sector / loan type: Collection, purification and distribution of water
Business area: Energy and water

Project

The uncommitted loan facility has been granted to finance the improvement of the Görväln water treatment plant (WTP) and the extension and refurbishment of water pipelines and external facilities in the northeast of Stockholm.

The region is rapidly growing in population and investments are needed to meet the increasing demand for water.

The improvements in the Görväln WTP will increase its production capacity by 10% by 2021 and will accommodate the growth in population. Currently, the plant produces drinking water for a population of 600,000 and the renovation will allow Norrvatten to supply up to 740,000 inhabitants.

Investments in infrastructure renewal will prevent leakages and water losses, ensuring resource-efficient water supply.

The refurbishments will also enable Norrvatten to maintain its water treatment operations in compliance with increasingly stringent water quality regulations.

The projects are scheduled to be implemented during the period 2019–2023. Total investments amount to SEK 1030 million.

This is the second loan facility agreement between Norrvatten and NIB. The first loan was signed in 2015 to finance its infrastructure investment programme.

Norrvatten is a municipal federation that was established in 1926 and currently comprises 14 municipalities located in the northern part of Stockholm region. The organisation is the fourth largest water producer in Sweden.

Fulfilment of NIB's mandate

Productivity:

Norrvatten supplies drinking water to over 600,000 inhabitants, industrial users and public service providers in 14 municipalities in northern part of Stockholm region. The project will improve the quality of the public service by securing and expanding access to supplies of freshwater, while addressing the challenges related to population growth and climate change.

The investments in the Görväln WTP are expected to increase its production capacity from 200,000 m3/day to 220,000 m3/day, thus meeting the demand for fresh water of 740,000 inhabitants.

Moreover, the renovation of supporting facilities and installation of new water pipelines will improve water treatment capacity. This is essential for the drinking water supply, as the quality of untreated water has deteriorated as a consequence of climate change. In addition, investments in increasing reserve water capacity will ensure the security of supply.

Estimated impacts related to the investment:

  • Water production capacity: +20,000 m3 per day
  • Water treatment capacity: +946 litres per second
  • Reserve water supply capacity: +90,000 m3 per day

Sustainability summary

No significant sustainability issues have been identified in relation to the project.

Press release

NIB tecknar låneramavtal för förbättring av vattenförsörjningen i Storstockholm