Snam Borrows to Build more NatGas Stations
Italian transmission system operator Snam has signed a €25mn ($28mn) loan agreement with the European Investment Bank (EIB) to build 110 filling stations for natural gas vehicles, it said June 11. Italy has more vehicles that run on natural gas than any other European country.
It wants to build 101 compressed natural gas (CNG) and 9 LNG/CNG refuelling stations for a total cost of €50mn. The loan, which as per EIB practice will amount to a maximum of half the cost of the investment, will have a fixed rate of 0.547%. This is the first EIB loan obtained by Snam for its wholly owned subsidiary, Snam4Mobility, which operates in the sustainable mobility sector.
These refuelling stations will be built as part of the company’s investment to strengthen Italy’s distribution network of natural and renewable gas (biomethane), which is one of the best technologies for sustainable mobility, both in terms of the economy and the environment. Snam4Mobility has launched six stations in Italy with 60 more under construction, and Snam expects to build a total of 300 in the coming years. Snam’s commitment to sustainable mobility is part of the Snamtec project, launched with the company’s 2018-2022 strategic plan and supported by an €850mn investment in sustainability, technological innovation and new activities relating to the energy transition.
The loan will complement the European Union’s €1.3mn contribution provided through the CEF (Connecting Europe Facility) programme, obtained by Snam4Mobility last December for the construction of 9 L-CNG refuelling stations.