The European Investment Bank (EIB) is lending Distributie Energie Electrica Romania (DEER), the distribution operator within the Electrica Group, 200 million euros to upgrade its electricity distribution network covering 40 percent of Romania and serving approximately 4 million households and businesses.

The loan, which can be disbursed in euros or lei, will support DEER in better serving its customers, improve energy efficiency, and facilitate the connection of renewable energy sources.

“Our investment reduces the risks of supply interruptions and contributes to energy efficiency and sustainability,” said EIB Vice-President Ioannis Tsakiris. “Electrica’s smarter and more resilient infrastructure will mean smoother operations for served businesses, better living conditions for people, and generally a greener environment for all.”

The electricity network in Romania is in urgent need of investment to address aging infrastructure in the face of growing demand for electricity. The operation aligns with the RePowerEU plan to support affordable, secure and sustainable energy for Europe, and contributes to the Bank’s objectives for cohesion and climate action.

“In times when we require funding for our ambitious development, the EIB’s support is a clear sign to the market that we are reliable and competitive,” said Electrica Chief Executive Officer Alexandru Chirita. “We are also happy to contribute to the energy and climate plans of Romania and the EU.”