EIB helping to transform Italy’s Railways with €500 million green bond
Italy is embarking on a transformative journey in its railway sector, courtesy of a significant €500 million agreement between the European Investment Bank (EIB) and Ferrovie dello Stato Italiane S.p.A. (FS).
This monumental deal symbolizes a significant stride toward sustainable mobility and improved rail service quality, particularly in the Campania and Lazio regions.
The Essence of the Agreement
At the heart of this agreement is the acquisition of 102 state-of-the-art electric regional trains. These vehicles, which will be split into high-capacity POP and medium-capacity ROCK types, are not just any trains. They embody the pinnacle of modern railway technology, boasting the ERTMS, Europe’s most advanced rail signalling system.
Furthermore, these trains are designed with paramount considerations for accessibility, safety, and traveller infotainment.
Green Impact and Environmental Considerations
The environmental footprint of these trains is remarkably low, thanks to energy-efficient technologies such as natural ventilation engines, light-alloy casings, LED lighting, climate-control sensors, and smart parking functionalities.
In a nod to sustainability, a remarkable 95% of the materials used in these trains are recyclable.
Financial Framework and Sustainable Finance
This investment is underpinned by a green bond, a financial instrument that epitomizes the shift towards eco-friendly investments. The EIB’s commitment to sustainable finance is evident, as this agreement marks their third purchase of FS green bonds, bringing the total to €1.05 billion.
This approach aligns with the broader EU Green Bond Standard and the EU taxonomy for sustainable activities.
EIB and FS: Pioneers in Green Finance
The EIB, known as the EU climate bank, and FS have shown a steadfast commitment to green finance. This partnership has been further cemented by this deal, which not only advances Italy’s railway infrastructure but also contributes to the broader climate transition.
It’s worth noting that the EIB was the pioneer in launching the first green bond in 2007, and since then, it has issued a staggering €69 billion in green bonds across 23 currencies.
Conclusion: A Sustainable Path Forward
This landmark agreement between the EIB and FS Italiane is more than just a financial transaction. It represents a paradigm shift in how transportation infrastructure is envisioned and implemented.
By mid-2027, when these new electric trains roll out, they will not only enhance the travel experience in Italy but also stand as a testament to the potential of sustainable mobility and green finance.
