The European Investment Bank (EIB) and the Nederlandse Waterschapsbank (NWB Bank) have signed a €200 million loan agreement to improve flood protection and water quality in the Netherlands. Under its mandate, the EIB can lend up to 50% of the total amount to any single project, with NWB Bank providing the other half. This means that a total of €400 million will be made available for local investment schemes by Dutch water authorities.
NWB Bank will channel the financing to Dutch water authorities to finance small-scale projects primarily focusing on flood protection, wastewater treatment and water level management, for example via improvements to locks and sluices. Under the agreement, the EIB and NWB Bank have agreed on an option to increase the loan size to €400 million, potentially resulting in available funds of €800 million.
CEO of NWB Lidwin van Velden said: “The Dutch water authorities set the tone when it comes to climate adaptation and mitigation, as well as biodiversity. They are also frontrunners in limiting their own use of energy and sustainably producing it. By providing financing under attractive conditions, we bring the sustainability goals one step closer.”
The projects are expected to better protect the Netherlands from high water, but also to improve preparedness for the adverse effects of climate change, such as more frequent and prolonged droughts, because water levels can be managed more effectively. Furthermore, improvements to local wastewater treatment are expected to have benefits for public health. The planned interventions will also contribute to local employment during their construction or implementation period.
“Water management is crucial for the Netherlands in overcoming the challenges of climate change.” said EIB Vice-President Robert de Groot. “As Europe’s climate bank, partnering with the NWB who expertly serves Dutch water authorities is a natural step for the EIB in the field of climate adaptation.”
The projects to be implemented by local water authorities will feed into the Dutch Delta Plan for Biodiversity Restoration (Deltaplan Biodiversiteitsherstel), which aims to strengthen biodiversity in the Netherlands by providing good conditions for flora and fauna living in and around the water, as well as high water quality for agriculture, (sport) fishing, recreational boating and swimming. Examples include the creation of nature-friendly banks, the re-meandering of watercourses, the restoration of streams, the construction of fish passages and the ecological implementation of maintenance measures.
