This loan with 15-year maturity will help the company to boost the generation capacity by 2.5% at both the hydropower plants.
NIB President and CEO Henrik Normann said: "NIB’s loan will help Energiselskapet Buskerud to increase the security of supply and prolong the lifetime of its hydropower plants for another 30 years."
As part of this enhancement plan, Energiselskapet Buskerud will also improve the old distribution lines from 66 kV to 132 kV and construct new substations to increase the security of supply, reduce power losses and reduce the magnetic field along the line.
The improvements in the distribution network will also increase the productivity and economic efficiency of the plants and allow the new renewable energy generation capacity to be connected to the grid.
In terms of the production of electricity, Energiselskapet Buskerud is the 10th largest hydroelectric power company in Norway and it employs about 240 people and serves about 58,000 customers.
Municipality of Drammen has a stake of 50% in the company, while the other 50% is owned by Buskerud County Municipality’s renewable investment company Vardar AS.
The international financial institution NIB is owned by eight countries including Denmark, Estonia, Finland, Iceland, Latvia, Lithuania, Norway and Sweden.
The bank finances projects that improve competitiveness and the environment of the Nordic and Baltic countries.
Image: Machine hall at Kaggefoss hydropower plant. Photo: courtesy of NIB/EB
