Sweden: Electrolux receives EIB loan to increase energy efficiency of white goods
(Source: European Investment Bank)
- The EIB has signed a €250 million loan with Electrolux to support research, development and innovation (RDI) for more energy-efficient white goods and small electric home appliances.
- Electrolux will carry out the RDI at several of its European sites, including in Italy, Sweden and Germany.
- The loan is the fourth EIB operation with Electrolux, after earlier support for the company in the early 1990s and 2015.
The European Investment Bank (EIB) signed a €250 million loan agreement with AB Electrolux in Stockholm today. The Swedish white goods and home appliances manufacturer will use the financing to boost its research and development in the areas of energy efficiency and digitalisation. The financing signed today is the fourth EIB operation with Electrolux and comes after a similar facility signed in 2015, which also highlights the need for continuing innovation in areas such as energy efficiency in the face of climate change.
“We have ambitious targets to be climate neutral by 2030 and we appreciate the ongoing support from the EIB to help us achieve this. From how we source our materials, to coming up with innovations that allow both ourselves as a business and anyone who buys our products to have as low an impact on the planet as possible is central to us,” says Jonas Samuelson, CEO of Electrolux.
EIB Vice-President Thomas Östros stated: “European know-how is an important commodity in today’s world. Apart from supporting improved environmental performance of its products, this financing is expected to also benefit end-users, who will spend less in using the appliances. Energy efficiency is a very important part of limiting climate change and is too often overlooked, so I’m glad we can support Electrolux on this.”
An in-house study by Electrolux showed that 85% of total CO2 emissions in the life cycle of white goods are produced during the use of the products, highlighting the need for sustainability by supporting the development of products with improved environmental performance, such as appliances with reduced water and energy consumption. Electrolux will also study solutions to minimise plastic waste from its products and promote their recycling. The RDI investments are expected to benefit consumers via lower energy bills and water consumption.
In 2020, the EIB made in excess of €2 billion available for Swedish projects. The EIB borrows money on the capital markets and lends it to projects that support EU objectives, with about 90% of all loans being granted within the European Union.
AB Electrolux, headquartered in Stockholm, is a Swedish multinational home appliance manufacturer. The group employs around 48 000 people and sells approximately 60 million home appliances per year across 120 markets worldwide.