EIB Provides €500m in Loans to Strengthen Climate Adaptation and Flood Protection in Germany

EGLV is currently undertaking a wide range of projects aimed at adapting regional water infrastructure to climate change and improving flood resilience.

The European Investment Bank (EIB) has approved €500 million in promotional loans to support large-scale climate adaptation and flood protection projects in Germany’s Emscher-Lippe region, reinforcing efforts to protect communities from the growing impacts of climate change.

The funding will be provided to the region’s two water management associations — Emschergenossenschaft and Lippeverband (EGLV) — and will finance projects ranging from river restoration and dyke rehabilitation to upgrades of pumping stations and flood retention infrastructure.

Loan Agreements Signed in North Rhine-Westphalia

The loan agreements were signed on Friday, 16 January, by EIB Vice-President Nicola Beer and Prof. Dr Uli Paetzel, Chair of the Executive Board of EGLV, at the historic Hof Emscher-Auen site in Castrop-Rauxel, near Dortmund.

With a 30-year maturity, the loans are designed to ensure that the substantial investments required for climate adaptation and flood protection can be implemented without placing excessive financial pressure on local communities, thanks to favourable interest rates and flexible repayment structures.

Strengthening Protection Against Flooding and Extreme Weather

EGLV is currently undertaking a wide range of projects aimed at adapting regional water infrastructure to climate change and improving flood resilience. These include:

• River restoration measures to improve natural water flow and retention

• Rehabilitation and expansion of dykes

• Upgrades to pumping stations and retention basins to prevent flooding in urban areas

The projects are expected to provide enhanced protection for several hundred thousand residents, particularly in densely populated districts vulnerable to heavy rainfall and flooding.

“For many years, our long-term financing has been invested in the water systems of the Emscher-Lippe region — first in modern wastewater treatment systems and environmental protection, and now in climate adaptation and flood protection,” said Nicola Beer, EIB Vice-President.

“This will provide better protection against heavy rainfall and flooding, help municipalities avoid high future repair costs, and ensure that — thanks to flexible, low-interest loans — investment costs remain manageable for local residents.”

Keeping Charges Affordable for Residents

Prof. Dr Uli Paetzel said the EIB loans will enable EGLV to implement capital-intensive projects quickly while spreading costs fairly over time.

“The loans from the European Investment Bank will allow us to roll out these high-investment projects for the benefit of the community, while spreading the financial contributions from our members over several decades,” he said.

“This will help shield residents, as wastewater charges can be adjusted gradually over an extended period rather than rising sharply.”

From River Restoration to Climate Resilience

The new funding builds on a decades-long partnership between the EIB and EGLV focused on improving water quality and environmental conditions in the Ruhr region.

Following the successful ecological restoration of the Emscher River and the development of a modern wastewater treatment system, the focus has now shifted to preventive flood protection and climate adaptation.

The measures are expected to:

• Reduce flood risks in urban and industrial areas

• Protect private property and public infrastructure

• Lower long-term costs by prioritising prevention over post-disaster repairs

Long-Term Investment for Intergenerational Benefits

The EIB said its long-term, flexible financing structures allow infrastructure investments to be spread evenly across generations, ensuring that today’s climate adaptation efforts do not overburden current residents while safeguarding future communities.

Since 2011, the EIB has supported the Emscher restoration project with €2.1 billion in promotional loans, helping transform what was once known as “Germany’s dirtiest river” into a symbol of ecological recovery and improved quality of life.

Continued Commitment to Germany’s Water Sector

The EIB’s support for flood protection in the Emscher-Lippe region forms part of a broader national investment strategy.

Over the past decade, the Bank has provided more than €3.3 billion in long-term financing for water sector projects across Germany, including in:

• Augsburg

• Berlin

• Halle

• Hamburg

• Cologne

as well as projects in the federal states of Saxony and Lower Saxony.

The new loans underline the EIB’s continued commitment to climate resilience, sustainable infrastructure, and environmental protection in Germany and across Europe.