France: Derichebourg receives EUR 130m loan from European Investment Bank under the Juncker Plan
19 July 2019
Derichebourg announced today the signature of a EUR 130m loan contract with the European Investment Bank designed to contribute to the long-term financing of a multiannual investment programme in France in the fields of recycling and the circular economy. Under this multiannual programme the investments will chiefly entail improving the rate of recovery of the materials treated, adapting waste disposal crushers to best available techniques (water treatment, smoke capture, noise abatement), and reducing consumption of fossil fuels (trucks and handling gear).
The EIB loan is being provided under the European Fund for Strategic Investments (EFSI), which is at the heart of the Investment Plan for Europe, also known as the "Juncker Plan". This demonstrates the EU bank’s commitment to focusing even more on financing energy transition. This is the Bank’s first loan in France to a company operating in the circular economy, which is now a priority for the EIB, as illustrated by the signature on 18 July of a EUR 10bn lending programme for financing the circular economy in the EU, in partnership with five European development banks (Caisse des dépôts, KfW, BGK, CDP, ICO).
European Commissioner for Economic and Financial Affairs, Taxation and Customs Pierre Moscovici said: “I welcome this agreement as it moves us a step further towards a more sustainable Europe. Thanks to the Juncker Plan, Derichebourg will be able to develop a financing programme that will improve its services in recycling and the circular economy. This is a first in France! ”
“This maiden financing operation by a major private-sector player in recycling is doubly important for us”, stated EIB Vice-President Ambroise Fayolle. “It matches our determination to strengthen the EU bank’s climate action policy whilst at the same time making a leading European industrial group, Derichebourg, more competitive.”
“Our core activities will evolve over the coming years: there is greater demand in society for recycling and the circular economy, but operators also have bigger constraints owing to the new regulations governing this demand, which requires investment for us to adapt and remain a state-of-the-art technology player. The maturity of the loans proposed by the European Investment Bank is a good solution”, said Daniel Derichebourg, CEO of the Derichebourg Group.
The EIB is participating in the World Circular Economy Forum, on 3-4 June in Helsinki, the largest conference on circular economy that brings together around 2,000 business leaders, policymakers and experts to present best practice from around the world.
After its first year of operation, the Joint Initiative on Circular Economy provided €2.7 billion of long-term financing for projects that will help accelerate the transition towards a circular economy. This initiative launched by the six largest public financial institutions in the EU aims to finance at least €10 billion of investments to support the circular economy over five years (2019-2023).
More than 200 people gathered on 25 October 2018 at European Investment Bank’s first circular economy conference held in Copenhagen and organized by the EIB Institute. The conference brought together leading representatives and stakeholders from government, local authorities, industry and the financing sector to share knowledge and lessons learnt related to the following important areas: (1) plastics in the circular economy; (2) the circular bio-economy; and (3) the circular economy in cities.