A new EUR 40 million, 10-year European Investment Bank (EIB) loan to An Post was formally announced in Dublin yesterday by Richard Bruton T.D., Minister for Communications, Climate Action and the Environment; Andrew McDowell, European Investment Bank Vice President, and David McRedmond, CEO, An Post.
The investment will enable more than 750 fully electric vehicles to be used for local deliveries across the country and digital customer services to be upgraded across the retail network, including 950 modernised post offices.
Minister for Communications, Climate Action and the Environment, Richard Bruton T.D. said: “One of the challenges of climate action is the need to mobilise capital for new, sustainable technologies. Today’s announcement allows an Post to be a leader in putting sustainability at the core of their business.”
Andrew McDowell, European Investment Bank Vice President responsible for Ireland said: “As a leading European postal services provider, An Post is demonstrating how support for local communities and climate action can be at the core of a sustainable business. For that reason, I am very pleased to confirm a new EUR 40 million loan from the European Investment Bank – the EU Bank – to finance its greener delivery fleet and to accelerate use of innovation and digitalisation to enhance access to financial services and improve mails, parcels and e-commerce services for customers”.
David McRedmond, An Post CEO said: “This ground-breaking contract demonstrates confidence in An Post’s transformation and digital strategy for the Irish economy, business of all sizes and local communities. It enables us move faster and be smarter in changing from the old world of letters and cash to the new digital world of e-Commerce and financial services.
The Strategy being implemented at An Post has brought a turnaround from losses of €12.4m in 2016 to profit of €41.2m in 2018. The transformation is continuing. We will achieve a similar or better performance in 2019, exceeding our targets for the year and delivering continued growth in e-Commerce fulfilment and financial services. Sustainable plans are in place for 2020.
Attracting the support of the EIB enables further investment and ensures that we stay ahead of the massive societal and commercial changes across the globe. We’ve taken big steps already to modernise and digitalise our Retail and Mails and Parcels business. We’re committed to our Sustainable Development Goals and working for the common good”.
Investing in state of the art digital technology
An Post customers will also benefit from high-performance automated parcel sorting and replacement of paper forms with app-based technology as part of broader digitalisation and innovation investment to cater for the growing e-commerce parcel business.
Source: Post and Parcel