The European Investment Bank (EIB) and Terna signed the contract for the final tranche of the €1.9 billion financing of the Tyrrhenian Link, the submarine electricity cable connecting the Italian mainland with Sicily and Sardinia.
Article continues below
At the EIB Forum in Luxembourg, a meeting took place between EIB Vice-President Gelsomina Vigliotti and CEO and General Manager of Terna, Giuseppina Di Foggia, to discuss future collaboration in support of the energy transition and REPowerEU objectives.
This final tranche of €500 million, in addition to the previous finance contracts signed on 8 November 2022 (first tranche of €500 million) and 30 March 2023 (second and third tranches, totalling €900 million), will support the construction and commissioning of the East and West sections of the Tyrrhenian Link.
By connecting Sicily and Sardinia with the Italian mainland via a 970 km, 1 000 MW double submarine cable, the Tyrrhenian Link will foster the development of renewable sources, grid reliability and promote energy security in Italy.
Terna plans to invest around €3.7 billion in total for this infrastructure, which is key for Italy’s energy security. Around 50% of the project cost will be financed by the EIB, demonstrating the strategic nature of the project.
The Tyrrhenian Link will be fully operational in 2028. Some 250 companies will be involved in its implementation, which will have a significant impact in the regions concerned.
With terms of around 22 years from each drawdown, the loans have a longer maturity and more competitive costs than those generally available on the market. This puts them in alignment with Terna's policy to optimise its financial structure.
This operation brings total EIB financing for Terna to around €3.8 billion.
A low pressure wave forming along a cold front will track across the New England coast this morning, bringing a period of rain, heavy at times for much of New England, especially for Maine today.