The European Investment Bank (EIB) has signed a €190m loan agreement with Lietuvos Energija for the greenfield construction of a new combined-heat-and-power (CHP) plant in Vilnius in Lithuania.

The project will consist of a biomass-fired and a waste-to-energy-fired CHP plant with total capacity of 88MW of electricity and 227MW thermal.

EIB said the project is expected to “lower municipal waste landfilling, decrease energy prices as well as cut emissions and improve the security of energy supply in the country”.

The loan is guaranteed under the Investment plan for Europe, which aims to help remove obstacles to investment and provide visibility and technical assistance to projects.

During construction of the project about 750 person-years of employment will be generated, while a further 75 permanent jobs will be created to run the facilities, EIB said.

Image: Wikimedia Commons/Ashley Fenton