Italy’s CAP Group has secured its first green loan of €100 million (£82.85m) from the EU bank to upgrade the water infrastructure in Milan.

The financing from the European Investment Bank (EIB) will support the company’s four-year plan, which includes projects aimed at minimising losses on its more than 6,400 kilometres of water network and improving the quality of water treated and delivered.

It will also use the financing to enhance and improve more than 6,600 kilometres of sewerage network, implement circular economy projects and drastically reduce energy dependency and climate-changing emissions.

The EIB-financed investment plan covers 20 operations on the water network, 14 on the sewerage network, nine concerning wastewater treatment and one for other water-related activities.

The projects will help manage rainwater and improve the resilience of the system to climate change.

Alessandro Russo, CAP Group Chairman and Managing Director said: “This financing will enable us to apply an even more committed and determined approach to pursuing the objectives identified in our sustainability plan.

“These goals are centred on three core areas of action to address the main sustainability challenges of today and the near future: the circular economy, recovering materials and energy from waste, reducing emissions and the use of energy from non-renewable sources; protecting water resources by reducing inefficiencies and improving the quality of the water delivered; and improving the resilience of our service area.”