District heating cables. Photo: Østfold Energi

District heating cables. Photo: Østfold Energi

21 Dec 2011

NIB finances Norwegian Østfold Energi's investments in renewable energy

NIB and the Norwegian energy company Østfold Energi have signed a loan totalling NOK 179 million (EUR 23 million) for financing investments in wind and hydropower production, and district heating plants.

The 12-year maturity loan will help finance two district heating plants, rehabilitation of five hydropower dams, the construction of the second phase of a wind farm and the building of a new hydropower plant.

"Long-term lending to projects that increase the production of renewable energy at the cost of energy production based on fossil fuels is part of NIB's environmental mandate. The loan also helps to strengthen the competitiveness of an energy company in our member country, which is in line with the second pillar of the Bank's mandate to strengthen competitiveness and enhance the environment," says Johnny Åkerholm, NIB President and CEO.

Østfold Energi is an energy producer working to develop its activities within renewable energy. The company owns several hydropower plants, is a co-owner of a wind farm, owns two waste-to-energy plants and is involved in the planning and construction of district heating projects.

The Nordic Investment Bank (NIB) is the common international financial institution of the eight Nordic and Baltic countries. NIB provides long-term financing to the energy, environmental, transport, logistics and communications, and innovation sectors for projects that strengthen competitiveness and enhance the environment. 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

Vidar Omholt, Senior Manager Origination, at +358 10 618 0286,

Nina Monsen, Senior Communications Specialist, at +358 10 618 0291,