25 Jun 2020
EUR 135 million
Industries and services
|Date of agreement:||21 Oct 2019|
|Customer:||Nivos Energia Oy|
|Amount in EUR:||EUR 10 million|
|NACE sector / loan type:||Electricity, gas, steam and hot water supply|
|Business area:||Energy and water|
Financing from NIB Environmental Bond proceeds
NEB-eligible share: 17%
NEB category: Blue Bond project and & several other NEB categories
Amount disbursed: EUR 1.7 million and 1.35 million
Note: For loans in other currencies than EUR, the equivalent in EUR is based on the exchange rate effective for the disbursement. Read more about the NIB Environmental Bonds
The loan has been provided to Nivos Energia Oy for financing the company’s renewable energy and water investment programme in the municipality of Mäntsälä during 2018–2022.
The investment programme includes the construction of a biogas plant at Knehtilä, an organic cereal farm in the rural community of Palopuro, ca. 50 kilometres north of Helsinki. Biomass from green manuring leys from the farm’s crop rotation, combined with horse and chicken manure, will be processed to biogas, to be used for farm machinery and local sale for passenger cars. Knehtilä farm is part of a network of organic agricultural producers and processors, and the new biogas plant will support the cooperative’s food production system by ensuring energy and nutrient self-sufficiency.
Further, the programme includes the recovery of waste heat produced by a data centre in Mäntsälä for use in the local district heating system.
Other energy-related investments concern the construction of a new power connection between the residential areas of Hikiä and Kapuli, and the cabling and reinforcing of Nivos’ distributions network. In addition, charging stations for electrical vehicles will be installed in the municipality.
The water-related investment programme involves the improvement and upgrade of wastewater collection and treatment, as well as the expansion of drinking water infrastructure.
Nivos Energia Oy is fully owned by Nivos Oy, a 100% municipality-owned utility operating in the municipality of Mäntsälä, north of Helsinki. Nivos distributes electricity and district heating, and provides drinking water and wastewater services. The company further supplies natural gas and biogas, and offers broadband services and solar panels.
The new power line between Hikiä and Kapuli will add a third connection between the electrical grid and Nivos’ distribution network. The connection is therefore expected to improve the security of supply in the region. This is especially relevant to Kapuli, where the construction of new businesses and residential buildings will increase power consumption. The investment in the cabling of existing power lines will improve the security of supply and help to reduce the response times in case of network failures.
The construction of a biogas production facility will allow Knehtilä farm and its agricultural cooperative to locally recycle the nutrient flows generated in production processes and provide a low-carbon energy supply, contributing to the cooperative’s self-sufficiency. The investment supports sustainable food production and circular economy. It is also expected to reduce operational costs at the farm, due to reduced fertilizer and energy costs.
Recovery of waste heat from the data centre in Mäntsälä significantly contributes to the decarbonisation of the municipal district heating. Additional vehicle charging stations in the municipality promote the use of electrical vehicles.
Water-related investments aim at maintaining a functioning water supply and wastewater treatment.
Indicators for the expected annual impacts related to the investment:
No significant sustainability issues have been identified.