Estonia. AS Tallinna Vesi

The loan has been provided for Tallinna Vesi’s 2023-2025 investment programme, which aims to improve Tallinn’s existing wastewater management and stormwater collection infrastructure.

The project aims to modernise approximately 45 kilometres of Tallinn’s dated wastewater networks. Additionally, it will extend the stormwater collection system and upgrade the wastewater treatment plant with a specific emphasis on boosting energy and operational efficiency through real-time system control.

The investment programme also includes an overhaul of the wastewater treatment plant and the refurbishment of its biological process. A minor yet essential component of the programme involves setting up a small, combined heat and power unit, which will harness biogas to provide the plant with both heat and power.

Previously, NIB has signed loan agreements with Tallinna Vesi in 2019, 2014 and 2009.

AS Tallinna Vesi, the water utility of Tallinn, is Estonia’s largest water company. The company operates the city’s water and wastewater treatment plants, including the Ülemiste and Paljassaare facilities, and manages a supply network spanning over 2,300 km. It provides essential drinking water and wastewater disposal services to roughly 470,000 people in Tallinn and surrounding areas, representing a third of Estonia’s population. The City of Tallinn is the primary shareholder, OÜ Utilitas is a minor stakeholder, and the remaining shares are listed on the Nasdaq Tallinn stock exchange.

Productivity
The refurbishment of outdated and inefficient sections of the wastewater network will enhance system maintenance and efficiency. The broader scheme, including the stormwater collection system expansion and wastewater treatment plant upgrades, will substantially improve the company’s overall efficiency, targeting energy savings in particular.

The works are anticipated to reduce the frequency and severity of faults and bursts, leading to improved service provision and smaller downtime. The integration of digitalisation will allow real-time control and supervision of the network, bolstering operational efficiency and aiding in long-term investment planning.

Furthermore, the investments are expected to enhance cost efficiency, potentially leading to reduced operating costs and slower tariff increases, benefiting consumers. The upgrade work will also positively impact the local economy by creating temporary construction jobs.

Environment
The wastewater investment programme ensures a high treatment level for city-produced wastewater. A secure and reliable network guarantees all wastewater is treated, preventing any bypass without proper processing.

The project includes an extension of the stormwater system to prevent wastewater and stormwater mixing. It also features the renovation of the wastewater treatment plant, focusing mainly on energy efficiency and refurbishment of the biological process.

A minor component includes installing a small, combined heat and power unit, utilising biogas to supply heat and power to the plant, utilizing energy form district heating and implementing energy efficiency improvements. Quantitative benefits include significant energy savings of 3 GWh, onsite heat and electricity generation of 12 GWh, and reduced natural gas usage by approximately 3 GWh.

Tallinna Vesi has an environmental management system policies in place to cover the environmental aspects. The utility has also mapped its greenhouse gas emissions, including all three scopes, and has publicly stated a targeted climate impact reduction plan.