The European Investment Bank (EIB) and UniCredit Bank Austria are providing finance for the 143MW repowering of a wind farm in Austria.
The banks are supplying total funding of €107.4m, with EIB’s share backed by a guarantee from the European Fund for Strategic Investments – the financial pillar of the Investment Plan for Europe.
The project is located in the municipalities of Gols and Monchhof in Burgenland and is expected to reach completion at the end of 2021.
It will comprise 26 turbines and will be run by Puspok Group, a family business based in Burgenland that has been developing and operating wind farms in Austria since the late 1990s.
EIB is loaning €71.6m and UniCredit Bank Austria of €35.8m.
UniCredit Bank Austria board member Susanne Wendler said: “With this fresh start after the coronavirus crisis, we now have a unique opportunity to join forces and drive the Austrian economy’s transition to a sustainable, climate-friendly system.
“Banks bear a particular responsibility in this task because the business decisions we make are capable of generating far greater leverage than those of any other sector.”
EIB vice-president responsible for operations in Austria Andrew McDowell said: “Austria is emphatically pursuing its changeover to a sustainable, competitive and secure energy supply.
“The development of wind power is playing an important role in this energy transition.
“We are therefore very pleased to welcome the cooperation with the Puspok Group and the construction of a new wind farm in the state of Burgenland, which has been a trailblazer for wind power in Austria.
“As the EU climate bank, we have made the transition to renewable sources of energy a key policy objective and a priority sector for our financing.”
Puspok Group managing partner Lukas Puspok said: “This repowering project triples the energy produced over the same surface area, testifying to the technological and economic progress made in the use of wind power in the last 20 years.
“This marks a milestone in Austria’s path towards achieving its climate goals. Further major efforts are needed to address the climate crisis.
“A long-term positive framework for the development of renewables must finally become a reality.”