Caisse des Dépôts
15/01/2021

The Bank Banque des territoires and the EIB launch the "Clean Buses" Platform, an innovative investment programme dedicated to the greening of the Territories' bus fleets

  • #ODD11
  • #Caisse des Dépôts et Consignations

The European Investment Bank (EIB) and La Banque des Territoires are each investing €100 million in an investment platform designed to finance the energy transition of bus fleets in the French territories.

Managed by La Banque des Territoires, this platform will offer innovative financing to local authorities and mobility organising authorities wishing to green their bus fleet and thus reduce their climate impact. The "Clean Buses" platform is part of the Caisse des Dépôts' recovery plan and its action in favour of environmental transition. The EIB's participation is guaranteed by the European Strategic Investment Fund (SIEF), the central pillar of the Investment Plan for Europe.

Eric Lombard, Chief Executive Officer of Caisse des Dépôts and Ambroise Fayolle, Vice-President of the EIB, signed an agreement on the creation of a common platform called "Clean Buses".

This platform is part of the cooperation between the two institutions, initiated in 2013. Endowed with €200 million - half from the Bank of the Territories and half from the EIB - this platform1 will be operationally managed by the teams of the Investment Department of the Bank of the Territories. The funds provided by the EIB are guaranteed by the SIEF, the central pillar of the Investment Plan for Europe.

This initiative reinforces the commitment of the Bank of the Territories and the EIB to the "Green Pact for Europe", which aims to make the European Union the first greenhouse gas neutral economy by 2050. This operation is fully in line with the ambitions to support the greening of mobility, a major pillar of the ambitions of the "Climate Plan" and the Bank of the Territories' recovery strategy.

The objective of the platform is to support the beneficiaries (mainly local authorities and mobility organising authorities) in greening their bus fleet (electric buses in particular) by proposing an innovative financing offer: the performance bond. This instrument finances up to 100% of eligible project costs (acquisition cost of buses and associated recharging infrastructures) and offers beneficiaries a regulated interest rate, which changes inversely with the variation in the price of electricity. This feature allows beneficiaries to secure all or part of their risk on the energy bill of electric buses, linked to the evolution of the price of electricity, which is a determining factor in the overall economic balance of greening a fleet.

The platform thus offers beneficiaries an innovative financing solution that is closely linked to the economic and operational reality of the asset financed and to the financial constraints of the beneficiary (quantum financed, duration of the loan requested, amortisation profile), in order to enable them to control the overall cost of acquiring a clean bus fleet as effectively as possible.

This agreement is good news for the greening and modernisation of public transport systems in France. With the support of the Investment Plan for Europe, €200 million will be made available through a new platform that offers flexible financing solutions to local and regional authorities to make their bus fleet more sustainable. Particular attention will be paid to electric-powered vehicles and their charging stations, thus contributing to achieving our goal of climate neutrality by 2050.
Paolo Gentiloni, European Commissioner for the Economy
We welcome the creation of a new co-investment platform with the EIB in connection with one of the flagship themes of the Bank of the Territories' Climate Plan. The performance bond proposed by this platform responds to one of the major challenges of the energy transition for local authorities, in the service of more sustainable day-to-day mobility.
Eric Lombard, Chief Executive Officer of Caisse des Dépôts