Financing arrangements by NIB for Fingrid’s investments in grid infrastructure and transmission connections to wind parks

Avance advised Fingrid Oyj, the Finnish transmission system operator, in relation to a 20-year 100m€ term loan financing made available by Nordic Investment Bank for the purposes of financing investments in the grid infrastructure and transmission connections to wind parks in Finland. The financing will be used for Fingrid’s long-term investment plan to strengthen the transmission grid in Finland. The planned investments will increase transformer capacity, reduce transmission losses and increase security of supply, and will include strengthening the transmission grid infrastructure in Northern Karelia, upgrading nineteen 110 kilovolt (kV) substations and six 400/110 kV substations, renewing the Olkiluoto 400 kV switchyard and doubling the capacity of the Isoniemi and Hirvisuo substations, as well as constructing new transmission connections to wind parks, enabling estimated 1,400 MW in total of wind power generation capacity to the network in the northern part of Finland.

Fingrid Oyj is a public limited liability company responsible for the electricity transmission in the high-voltage transmission system in Finland. The transmission system encompasses over 14,000 kilometres of 400, 220 and 110 kilovolt transmission lines and more than 100 substations. The power system is part of the inter-Nordic power system, and connected to Continental Europe, Russia and Estonia. Fingrid is majority owned by public organizations, namely the Finnish State and the National Emergency Supply Agency, with a number of financial and insurance institutions as minority owners.

Fingrid press release: