150 mln to upgrade and extend electricity transmission network in Hungary
EIB supports upgrade and extension of electricity transmission network in Hungary with EUR 150 million
The European Investment Bank (EIB) is providing a loan of EUR 150 million to MVM Zrt. for the capacity increase and the extension of a high-voltage transmission network, partly constituting priority axes of the Trans-European Energy Network (TEN-E) in Hungary. The project will improve the security and the diversification of the electricity supply through the development of additional internal and cross-border transmission capacity.
The EIB loan will co-finance the reinforcement and extension of the Hungarian electricity transmission network over the period 2009-2015, particularly the upgrading of the 109 km-long Martonvásár-Bicske-Györ transmission corridor, interconnecting the greater urban area of the Hungarian capital Budapest with the North-West of the country. The project also includes the construction or extension of six substations situated in various locations across Hungary.
The promoter of the project is MAVIR Zrt, the Hungarian Transmission System Operator, a subsidiary of MVM Zrt.. MVM Zrt is the leading energy group of Hungary, owned in 99.87% by the Hungarian state.
The EIB, the European Union’s bank, finances economically viable investment projects that contribute towards the integration, balanced development and economic and social cohesion of the EU Member States. Since 1990, EIB lending in Hungary (including the loans signed today) has reached almost EUR 12 billion.
In Hungary, as in the other EU Member States, the European Investment Bank supports investment projects designed to reduce disparities in regional development, strengthen economic competitiveness and improve living standards and the quality of life.