European Investment Bank offers loan for Irish electricity overhaul

The electricity industry in Ireland is set to be overhauled after the European Investment Bank (EIB) agreed to lend €235 million (£201 million) to the Electricity Supply Board (ESB).

Improvements to air quality appear to be in the offing as the project will see more emphasis placed on renewable energy sources such as wind power.

The EIB funding will provide around 50 per cent of the necessary investment for the €470 million initiative, which is scheduled to take two years to complete.

As well as boosting distribution links to wind farms and integrating sustainable electricity sources, the venture will see a new smart metering programme rolled out in the country.

"The European Investment Bank is committed to supporting improvements to energy supply and climate action in Ireland and welcomes ESB's efforts to tackle energy challenges across the country," commented EIB vice-president Plutarchos Sakellaris.

Irish energy minister Pat Rabbitte recently promised tariff supports for offshore wind energy will be introduced by Christmas.

Posted by Claire Manning