European logistics specialist CTP has secured €200 mln in financing from the European Investment Bank (EIB) for the roll-out of its large-scale programme of solar panel installation across its European business park portfolio.
The 10-year unsecured loan will contribute to accelerating the energy transition, strengthen the security of power supply, and boost climate action.
Richard Wilkinson, group chief financial officer, CTP, said: 'The backing of the European Investment Bank is testament to the robust business strategy we have in place to deliver on the large-scale installation of solar PV across our portfolio, and allows us to obtain long-term unsecured financing at attractive conditions.
'Sustainable financing is the way forward, and we are proud to add the European Investment Bank as a new financial partner in this.'
The funding is part of the EIB’s dedicated contribution to REPowerEU, the plan designed to end Europe’s dependence on fossil-fuel imports, and has been offered at attractive terms.
CTP, which has a portfolio of 10.9 million m2 (GLA) across the CEE, with a growing focus on Western Europe, in markets like Germany, Austria and the Netherlands, is targeting rapid growth in the generation of renewable energy across its portfolio and has established its own energy company to oversee a programme of solar PV installation.
Since 2020 CTP has ensured that all its industrial and logistics buildings are ‘solar ready’.
The developer and operator targets a 15% YoC return on its solar investments and ended 2022 with 38MWp of installed PV capacity on roof space and is on target to add an additional 100MWp during 2023.
Peter Ceresnik, chief operating officer, CTP, said: 'CTP has long been a pioneer in the development of sustainable industrial and logistics space and we now applying the same long-term vision and ambition to renewable energy.
'The European Investment Bank’s financing will accelerate our plans to maximize the solar potential of our portfolio and help us meet our medium-term goal of installing 400MWp by 2026.
'It will also help us achieve our longer-term vision for our parks to become energy positive, meaning they can produce and share excess renewable energy, benefitting not only our clients and the local communities where we operate, but also the planet.'
Medium term goals
The EIB financing will support CTP’s medium-term goal of reaching 400MWp by 2026. Where onsite renewable energy is not currently available, CTP partners with energy suppliers to provide clients with 100% renewable energy.
CTP plans to nearly double its portfolio to 20 million m2 by the end of the decade and over the longer-term CTP plans to create completely energy independent industrial parks—where all energy used onsite is created within the park and excess energy is supplied into the local electricity grid.
Lilyana Pavlova, EIB Vice-President, said: 'There is enormous untapped potential for renewable energy in central and eastern Europe. With loans like the one to CTP we help countries in the region to break away from fossil fuels, lower their dependency on energy imports and ultimately bring down electricity prices for everybody’s benefit - a transition that makes economic and social sense.'