BAKU, Azerbaijan, October 16. The European
Investment Bank (EIB) is providing a 50 million euros loan to
Lithuania’s largest water utility, Vilniaus vandenys, to strengthen
and modernize water and wastewater infrastructure in Vilnius,
Trend
reports.
The financing will support the company’s plans to upgrade,
digitize, and expand its water management systems, ensuring greater
efficiency and resilience for residents and businesses.
The project includes upgrades to the Viršuliškės water station,
expansion of infrastructure in the Gulbinai area, and
reconstruction of the Šalčininkai water supply station and
treatment facilities. In addition, improvements to the wastewater
network will involve the construction of new pressure pipelines
from Baravyko Street to Sietyno Street and the installation of a
balancing reservoir, measures expected to enhance water services
and bolster environmental protection across the Vilnius region.
The initiative, aligned with the urban-resilience goals of both
Vilniaus vandenys and the European Union, is scheduled for
completion by 2028.
“We continue to invest in reliable infrastructure that ensures a
consistently high level of service both in the capital and in the
regions while preparing for future challenges – from climate change
to rising water demand. All these initiatives are being implemented
while maintaining one of the lowest service tariffs in the
country,” said Vilniaus vandenys Chief Executive Officer Saulius
Savickas.
The EIB financing is supported by an InvestEU guarantee, which
promotes sustainable investment across the European Union.
“Modern water infrastructure is essential for public health,
environmental protection, and climate resilience. This loan builds
on the EIB’s longstanding partnership with Lithuania, where we
continue to support strategic investments in clean water,
sustainable transport, and digital infrastructure. We are proud to
back Vilniaus vandenys as it invests in smart technologies and
renewable energy to modernize services and help build a greener,
more resilient future,” said EIB Vice-President Karl Nehammer.
The EIB loan aligns with key InvestEU policy objectives,
advancing EU priorities and supporting the implementation of water
and environmental legislation.
With a 20-year maturity, the financing will represent a
substantial part of Vilniaus vandenys’ overall investment
portfolio, complemented by the company’s own funds and additional
EU program support.
“The planned investments require significant funding and will
allow new neighborhoods to connect, ensure a reliable supply of
high-quality water, improve wastewater management, and reduce
environmental impact. Around half of the loan will be allocated to
smart city solutions,” said Simonas Klimavičius, Head of Finance at
Vilniaus vandenys.
The EIB’s investment marks another step in Lithuania’s broader
effort to enhance sustainable infrastructure and strengthen climate
resilience through modern, digitalized water management
systems.