Hesse EUR 1bn Loan Programme for Energy Transition Projects

planned

Germany’s federal state of Hesse is initiating a guaranteed loan programme worth EUR 1 billion (USD 1.16bn) to support municipal energy suppliers seeking to invest in energy transition projects. The financing will back investments in heating networks and heat supply infrastructure, energy storage systems, renewable electricity generation plants, hydrogen and electricity grid infrastructure and projects ensuring energy supply security. The programme is open to municipal energy suppliers and municipal utilities based in or primarily operating in Hesse. Interested parties can apply from 2025 until the end of 2028, with a possible extension until 2030. Individual loans will reach up to EUR 100 million and will have a term of up to 30 years. The financing, classified as subordinate capital, will be granted by WIBank, the state development bank of Hesse. The state will secure the loans with a 100% guarantee.