The European Investment Bank (EIB), Natixis Corporate & Investment Banking (Natixis CIB), and Sunprime Holdings have signed a project-finance agreement worth up to €507 million in Milan to support Project Sophocles, a major renewable energy programme in Italy. The initiative will fund the construction and operation of around 200 rooftop and ground-mounted solar photovoltaic plants with a combined capacity of 290 MWp, alongside 350 MW of battery-energy storage systems (BESS), making it one of Italy’s largest integrated solar and storage portfolios. The EIB alone will provide up to €271 million in financing.
By combining distributed solar generation with large-scale battery storage, Project Sophocles is designed to improve grid flexibility, strengthen renewable energy integration, and enhance the resilience of Italy’s electricity system. Once operational, the programme is expected to generate around 416 GWh of renewable electricity annually, enough to supply power to more than 160,000 Italian households. Over its lifetime, the project is projected to avoid approximately 2.86 million tonnes of CO₂ emissions compared with fossil-fuel-based electricity generation.
Sunprime Holdings, an Italian independent power producer with established expertise in distributed solar and storage, will lead the project as promoter. The company’s earlier EIB- and Natixis-backed project progressed smoothly and remained on budget, reinforcing confidence in its delivery model. Project Sophocles further expands this partnership and supports Sunprime’s strategy to scale decentralised renewable energy generation across Italy, with the company aiming to have 750 MWp of solar capacity and 1,400 MWh of battery storage in operation by 2027.
The project portfolio will be organised into six to twelve cross-collateralised clusters, each supported by the required grid-connection infrastructure. Revenue streams are expected to come from Italy’s Fer-X Contract for Difference mechanism for solar generation, as well as tolling agreements, capacity-market participation for battery assets, and wholesale electricity market revenues. The battery-storage component will provide essential grid services such as frequency regulation, peak shaving, and congestion management, reducing dependence on gas-fired power generation and contributing to improved air quality.
Most of the installations will be developed on industrial rooftops and existing commercial surfaces, which helps minimise land-use impacts while making efficient use of already developed areas. The programme also carries notable socio-economic benefits, with construction expected to create around 1,400 person-years of temporary employment and operations supporting approximately 120 permanent full-time equivalent jobs. By spreading distributed renewable energy projects across several Italian regions, the initiative is also expected to support local industries, supply chains, and greater energy-cost resilience for businesses.
The financing operation is backed by the InvestEU Guarantee, which is intended to mobilise public and private investment in strategic sectors across Europe. Project Sophocles directly supports Italy’s 2030 National Energy and Climate Plan and aligns with the REPowerEU strategy to reduce dependence on fossil fuels and accelerate the green transition. The investments are scheduled to be implemented between 2026 and 2028, including in several Italian cohesion regions where green investment and economic convergence remain key priorities.
Natixis CIB played a central role in the transaction, acting as Sole Underwriter, Structuring MLA, Bookrunner, Hedging Bank, Green Loan Coordinator, and Agent Bank. Overall, the deal highlights a strong public-private financing model for scaling renewable energy and battery storage in Italy, while reinforcing the country’s broader transition toward a cleaner, more flexible, and more secure energy system.
