PGE gains approval from the Board of Directors of the European Investment Bank to support financing of Baltica Offshore Wind Farm

The European Investment Bank (EIB) has issued a preliminary credit decision for the PGE Group’s Baltica offshore wind project. The total financing package amounts to €1.4 billion. It is a significant step in securing the optimal financing structure to build PGE’s first offshore wind farms in the Baltic Sea.

The project will consist of several phases, with one tranche to be released under the Project Finance formula of 350 million euros for each of the Baltica phases – Baltica 2 and Baltica 3 – as well as one tranche to be released based on guarantees from financial institutions, banks or export credit agencies.

Accelerating the energy transition is a priority, which is why the EIB and the European Commission have set up the RePowerEU initiative to make the European Union independent of Russian energy resources and develop the EU’s energy sector toward renewable energy. The Baltica OWF fits perfectly with these goals.

Obtaining a preliminary credit decision from the European Investment Bank is a significant step for financing the construction of the largest offshore farm in the Baltic. The presence of a recognized international bank in the financing of the project is a signal that we are a reliable partner for financial institutions, the projects we conduct meet the highest standards, and the interest of the financial sector in cooperation with PGE in the area of offshore wind energy is really high – said Wojciech Dąbrowski, President of the Management Board of PGE Polska Grupa Energetyczna.

EIB Vice President, Prof. Teresa Czerwińska said: “Diversification of energy sources and independence from fossil fuels are key tasks for Poland and for the European Union. The Baltica Offshore Wind Farms are a very important project to achieve these goals. Supporting the energy transition is a priority for the EIB as it accelerates green economic development and creates new jobs.”

PGE is constructing the Baltic offshore wind farm together with their Danish partner Ørsted. The project, with a total capacity of approx. 2.5 GW consists of two phases – Baltica 2 with a capacity of approx. 1.5 GW, which is scheduled for delivery in 2027, and Baltica 3 with a capacity of approx. 1 GW, which is scheduled to be operational by the end of this decade.