EIB Provides €220 Million to Support Grid Expansion and Energy Transition in West Mecklenburg

(IN BRIEF) The European Investment Bank has granted WEMAG a €220 million loan to finance the expansion and modernization of electricity grid infrastructure in West Mecklenburg. Covering more than one-third of WEMAG’s planned investments over the next four years, the funding will support the integration of renewable energy, electromobility, and energy-efficient technologies while ensuring a stable and affordable power supply. The agreement strengthens regional energy security and forms part of the EIB’s wider support for Europe’s energy transition.

(PRESS RELEASE) LUXEMBOURG, 10-Jan-2026 — /EuropaWire/ — European Investment Bank has approved a €220 million loan to WEMAG to support the expansion and modernization of electricity grid infrastructure in West Mecklenburg. The financing agreement was signed in the presence of Manuela Schwesig, EIB Vice-President Nicola Beer, and members of WEMAG’s Board of Directors.

The EIB loan will cover more than one-third of WEMAG’s planned power grid investments over the next four years, providing a major boost to the region’s energy transition. The funding is intended to ensure that households, businesses, and industrial users in West Mecklenburg continue to benefit from a reliable supply of renewable electricity at stable and competitive prices, even as demand and grid complexity increase.

Caspar Baumgart, Chief Financial Officer of WEMAG, said the financing strengthens the company’s ability to prepare the regional electricity grid for future requirements. He noted that expanding and digitizing grid infrastructure presents significant technical and financial challenges, particularly in rural areas, and emphasized the importance of strong partners such as the EIB in securing investments that support climate protection, economic growth, and security of supply.

WEMAG’s investment program reflects the growing pressure on electricity grids caused by the rapid expansion of renewable energy generation, especially photovoltaics, as well as rising demand from electromobility. Increasing volumes of electricity fed into the grid from large solar parks and decentralized rooftop installations are changing power flows and require more robust and intelligent infrastructure. The planned measures will help stabilize grid operations while enabling the integration of new energy-efficient technologies.

Minister-President Manuela Schwesig highlighted the cooperation between European and regional institutions, saying that the partnership between the EIB and WEMAG combines EU-level support with local expertise. She added that the investment will help ensure the electricity grid in Mecklenburg-Vorpommern remains resilient, secure, and capable of meeting future demands.

Nicola Beer, Vice-President of the European Investment Bank, said the loan strengthens not only physical infrastructure such as cables and power lines, but also the economic foundations of households and businesses in West Mecklenburg. She stressed that a stable, high-performing grid is essential for delivering affordable, renewable electricity and for enabling companies to electrify production processes, attract investment, and create jobs.

Thomas Murche, Chief Technical Officer at WEMAG, described the transformation of the power grid as a major undertaking. He said the EIB financing will enable critical infrastructure investments in rural areas, supporting long-term grid stability and ensuring that the electricity network can accommodate technologies such as rooftop solar systems, heat pumps, and electric vehicle charging stations where people live and work.

WEMAG Netz GmbH plans to invest approximately €1.2 billion in grid infrastructure across Mecklenburg-Vorpommern by 2033. The agreement was signed at WEMAG’s battery storage facility, a landmark project in the regional energy transition. Commissioned in 2014 as Europe’s largest commercial battery storage system, the facility has played a pioneering role in balancing renewable energy generation and maintaining grid stability. Today, its lithium-ion system continues to demonstrate the technical and economic viability of large-scale energy storage, symbolizing innovation and progress in sustainable energy.

The loan forms part of the EIB’s broader commitment to energy security and grid expansion across Europe. Between 2023 and 2027, the EIB plans to provide €45 billion for renewable energy and energy infrastructure projects, supporting the REPowerEU objectives and reducing dependence on fossil fuel imports. In Germany alone, the EIB invested €3.7 billion in energy projects in 2025, reinforcing its role as Europe’s largest financier of electricity grids and energy security.

Background information

About the European Investment Bank

The EIB is the long-term lending institution of the European Union, owned by the Member States. Based on its eight core policy priorities, it finances investments that pursue strategic EU objectives.

It supports projects beneficial for climate and the environment, digitalisation and technological innovation, security and defence, cohesion, agriculture and bioeconomy, social infrastructure, the capital markets union, and a strong Europe in a more stable and peaceful world.

About WEMAG

Schwerin-based WEMAG AG is a nationwide green energy supplier with regional roots and grid operations in Mecklenburg-Vorpommern and Brandenburg. Together with WEMAG Netz GmbH, it maintains 16 484 km of power lines, from residential connections to overhead wires. By investing in the grid and providing green electricity, WEMAG ensures that its customers in cities and rural areas can benefit from the energy transition – with a more reliable supply and attractive, sustainable products.

The company’s private and business customers can access electricity, natural gas and grid services, as well as planning and construction of photovoltaic and storage systems, electromobility, internet, telephone services, and digital and HD television, all from a single provider.

Founded in 1997, telecommunications firm WEMACOM operates an extensive network in West Mecklenburg, and works with partners to build fibre-optic networks for private and business customers in the region.

WEMAG is guided by regional commitment, environmental protection and sustainability. It makes major investments in renewable energy, advises on energy efficiency, and offers residents the chance to participate through Norddeutsche Energiegemeinschaft eG. Since January 2010, WEMAG has been majority-owned by the municipalities it supplies. www.wemag.com

Media Contact:

Richard Willis
r.willis@eib.org
+352 4379 – 82155

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SOURCE: European Investment Bank