€25 million invested into Lithuanian green bond issuance
Nordic Investment Bank (NIB) has invested €25 million in subscribing to Lithuania’s first green bond issuance, made by the country’s leading energy supplier Lietuvos Energija (Lithuanian Energy). The money will go towards supporting both biomass and waste-to-energy facilities in the Baltic country, alongside a range of other renewable energy sources.
The investment comes under NIB’s €500 million facility earmarked for green bonds issued in member countries to finance projects aimed at improving the environment and mitigating climate change. With the facility, NIB is aiming to contribute to the development of the green bond market in the Nordic-Baltic region.
Lietuvos Energija’s bond issuance has already proven popular, attracting 120 investors from 25 countries. The proceeds of the issuance will go towards financing the transition to low-carbon and climate resilient growth and a sustainable economy. Investments will primarily go towards wind, waste and biomass production, and improved distribution grid efficiency.
State-owned Lietuvos Energija is the largest company in Lithuania’s energy sector. Its generation portfolio currently consists of a 1,055 MW reserve power plant and a combined cycle unit fired by natural gas, a 900 MW pumped storage hydroelectric plant, a 100 MW hydroelectric power plant, and 42 MW in wind parks. Two high efficiency waste-to-energy CHP plants are expected to become operational by 2020.