NIB finances electricity distribution network investments in Finland

NIB and the Finnish Leppäkoski Group Oy have signed a 10-year loan agreement to finance the investments in developing the electricity distribution network in the Pirkanmaa and Satakunta area during 2021-2024.

The EUR 10 million investment programme aims to improve the security of power supply and meet the demands of future electricity usage.

The investment projects include replacing some of the overhead lines with underground cables as well as the replacement of old transformer points. Increased use of underground cables instead of overhead lines makes the network both more energy efficient and weatherproof. Thus, the investment project will improve security of supply by reducing the likelihood of electricity downtime caused by, for instance, the impact of the Nordic climate and weather.

Besides strengthening the existing network, the investment is expected to enable Leppäkoski Group to have more small-scale renewable installations (mainly solar panels) integrated into their network. In 2019, there were 300 small-scale solar power generators in the network and this amount is expected to double in 2020.

In 2019, the company distributed 373 GWh of power to 26,000 households and 4,000 businesses in the Pirkanmaa and Satakunta regions. The length of Leppäkoski Group’s distribution network is currently 4,280 kilometers.

Established in 1919, Leppäkoski Group is an energy company providing electricity, district heat, natural gas and other energy solutions in the Pirkanmaa and Satakunta area. The group consists of the parent company Leppäkoski Group Oy and its fully-owned subsidiaries Leppäkosken Sähkö Oy, Leppäkosken Lämpö Oy, Leppäkosken Energia Oy and Grid.vc Oy.

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 Standard & Poor’s and Moody’s.

For further information, please contact

Mr Sebastian Påwals, Director, at +358 10 618 0527, sebastian.pawals@nib.int

Ms Iiris Anttalainen, Communications Unit, at +358 10 618 0258, iiris.anttalainen@nib.int