The European Investment Bank (EIB) has signed a loan agreement worth €75 million (US$84.4 million) with regional energy utility company Lahti Energia in central Finland for the deployment of a biomass-fired CHP plant.
The new facility is set to replace the old “Kymijärvi I” coal-fired power plant by 2019 and will run on certified 100% renewable fuel. Features such as the recovery of condensation from the fuel and the recycling of ashes back into the forest as fertilizer will significantly reduce harmful emissions.
The new facility is expected to produce approximately 50 MW of electricity and 150 MW of district heat for the Lahti area.
The EIB has signed two other loan agreements with counterparts in Finland. Vice-President Jan Vapaavuori, responsible for EIB operations in Finland, said:
“The agreements signed today are good examples of where the European Investment Bank can add value for local infrastructure, services and energy generation. The Bank has continued to invest in Finland over the last few years and we are glad that Finnish citizens will soon be able to find that the EIB’s activities have concrete benefits for their daily lives.”