NIB to finance key infrastructure projects in Lithuania12 July 2012
Nordic Investment Bank (NIB) and the city of Vilnius have signed an agreement for a new 20-year loan facility totalling €8.5 million ($10.4 million) for financing a municipal investment programme.
The loan will be used for financing projects of street reconstruction, upgrading infrastructure for sludge and wastewater treatment, as well as improving energy efficiency in public buildings. The loan will also help in the reconstruction of a 1.1-kilometre stretch of the Gelezinio Vilko street. The project is expected to reduce the traffic congestion problem and also improve road safety in one of the key business districts of Vilnius.
The sludge treatment project will help solve the problem of storing wastewater sludge. The utilisation of sludge will produce biogas to fuel a combined heat and power station.The rehabilitation and extension of the Vilnius water supply and sewage treatment infrastructure will connect newly developed residential areas to the municipal water networks.
The renovation of schools, clinics and other public buildings will help improve energy efficiency in the city. The total area to be renovated with the new loan is around 65,000 square metres. The project is expected to reduce the total annual use of energy for the buildings by 23 GWh.