NIB lends to upgrade Norway’s transmission grid
NIB has signed a 15-year loan with Norway’s transmission system operator Statnett SF to strengthen grid capacity, improve security of supply, and support electrification and the energy transition in Norway.
The EUR 174.3 million (NOK 2 billion) loan will co-finance Statnett’s upgrading of the 47-kilometre Surna–Viklandet transmission line from 300 kV to 420 kV, largely along the existing route southwest of Trondheim. The project will increase regional transmission capacity and enable higher north–south power flows, helping to reduce a key bottleneck in the Norwegian power system. Construction began in 2024 and is scheduled for completion in 2027.
The loan also supports the upgrade of the Frogner substation, originally commissioned in 1973. Located in Lillestrøm, just north of Oslo, the substation is an important node in the transmission network supplying the Oslo and Romerike region. The modernisation will allow the facility to manage higher load levels and increased system complexity, ensuring reliable electricity supply in a major consumption area. Construction started in 2023 and is expected to be completed in 2029.
NIB has a long-standing relationship with Statnett, with the first loan disbursed in 2007.
Cathrine Lund Larsen, CFO in Statnett said: “We appreciate the continued support from NIB. Over the years, NIB has raised significant contributions to key projects in Norway with material benefits for the Norwegian and the Nordic electricity infrastructure.”
André Küüsvek, NIB President and CEO said: “Upgrading transmission capacity is essential for electrification and for making better use of renewable power. By financing these investments, NIB helps strengthen security of supply and support a more resilient power system in Norway.”
Statnett is the transmission system operator (TSO) of the Norwegian power system, developing and operating the transmission grid which together with underlying grids connects power producers and power consumers. The Norwegian State owns the operator through the Ministry of Petroleum and Energy.
NIB is the international financial institution of Denmark, Estonia, Finland, Iceland, Latvia, Lithuania, Norway, and Sweden. The Bank finances projects that improve productivity and benefit the environment of the Nordic-Baltic region. The Bank is headquartered in Helsinki with a regional hub in Riga. NIB has the highest possible credit rating, AAA/Aaa, with S&P Global Ratings and Moody’s.
For further information, please contact
Jussi Nikkanen, Senior Banker, at +358 10 618 0351, jussi.nikkanen@nib.int
Lotta Forssell, Senior Communications Officer, at +358 10 618 0498, lotta.forssell@nib.int
