The European Investment Bank (EIB) has signed a €100 million (£86m) finance contract with Italy’s Dolomiti Energia Group to support the energy company’s 2021/24 development plan.

The financing will support the company’s projects to expand, modernise and upgrade electricity distribution networks, install smart and second-generation meters, renew and improve the performance of existing hydropower plants, make street lighting more efficient and improve the operational efficiency of water networks.

Around 335,000 people are expected to benefit from the electricity grid and more than 78,000 from the water network.

The investment is in line with Italian and European energy and environment policies for achieving the objectives of the energy transition, decarbonisation and sustainable networks.

Miguel Morgado, EIB Director for loans in Italy, Malta and the Balkans said: “As the climate bank, the EIB is ever more committed to supporting projects linked to combating climate change. The investment plan presented by Dolomiti Energia Group and to be implemented by 2024 includes actions in various sectors and aims to improve the efficiency and resilience of the services offered in the Autonomous Province of Trento.

“We are therefore very pleased to be able to assist a company with a strong connection to the local area and people.”