The European Investment Bank (EIB) has approved a financing package of up to €400 million for Energie AG Oberösterreich to support the expansion of hydropower in Upper Austria. The company plans to invest over €600 million in two key projects: a new pumped storage power plant in Ebensee and a planned run-of-river hydropower plant in Roitham/Traunfall.
The Ebensee pumped storage power plant will function as a green battery, stabilizing the grid by balancing fluctuations from wind and solar energy while ensuring a secure power supply. Financing agreements totaling €320 million for the Ebensee project were signed at EIB headquarters in Luxembourg.
Marking the largest investment in Energie AG Oberösterreich’s history, the Ebensee project represents a milestone in Upper Austria’s energy transition. Additionally, the EIB has granted preliminary approval for €80 million in financing for the Traunfall run-of-river power plant, which will replace three aging hydropower facilities. The final financing agreements for the Traunfall project are expected to be signed in 2025, pending approval by Energie AG Oberösterreich’s Supervisory Board.
“Rapidly expanding renewable energy is crucial for decarbonizing the economy. The hydropower plants by Energie AG Oberösterreich are another important step toward a climate-neutral energy supply and will help reduce Europe’s dependence on oil and gas imports,” stated EIB Vice-President Thomas Östros.
Energie AG Oberösterreich has set an ambitious course for carbon reduction across its operations. “We are investing €4 billion by 2035 to expand renewable energy and grids, alongside major investments in green hydrogen production,” said Leonhard Schitter, Chair and CEO of Energie AG Oberösterreich.
“The transformation of the energy sector requires significant investment. Securing future financing under optimal conditions is crucial. With the EIB as a strong partner, we are well-positioned to meet this challenge,” added Andreas Kolar, CFO of Energie AG Oberösterreich.
This initiative aligns with the EU’s REPowerEU plan, which aims to accelerate Europe’s transition away from fossil fuels. Under REPowerEU, the EIB can finance a greater share of total project costs, exceeding the usual 30-50% threshold.
Furthermore, the investment supports Austria’s National Energy and Climate Plan, which aims to achieve 100% renewable electricity generation by 2030.