Dutch continue search for grid company TenneT's German solution
Adds details on German interest in paragraph 7
By Bart H. Meijer
AMSTERDAM, Sept 17 (Reuters) -The Dutch government said on Tuesday it was still weighing options for the German activities of state-owned electricity grid operator TenneT IPO-TTH.AS, including a possible stock market listing.
The government said it would provide TenneT with a total of 19 billion euros ($21 billion) in loans through 2026, after the German government failed to agree on a planned purchase of the Dutch firm's German activities earlier this year.
TenneT needs capital for large investments in the grid to help with the transition away from fossil fuels.
The fresh capital comes on top of loans worth 25 billion euros promised for this year and next, as TenneT pursues a 160 billion-euro investment plan.
"The government in principle doesn't want to use Dutch taxpayer money for the German part (of TenneT)," Finance Minister Eelco Heinen wrote in a letter to parliament.
"Participation of private investors is seen as the best structural solution for TenneT Germany."
Germany, which already holds minority participations in high-voltage power grids TransnetBW EBKG.DE and 50Hertz ELI.BR, has expressed interest in also buying a 25% stake in TenneT Germany if there is an official sales process.
Heinen said he would continue talks on a stock listing or a private placement of shares with possible investors in the coming months.
Berlin asked the Netherlands in 2023 to sell the grid, Germany's largest, in a deal that would have valued it around 20-25 billion euros, as it was seen as crucial infrastructure for the country's transition to green energy.
But the sides failed to agree a deal amid Germany's budget crisis and talks were ended in June.
($1 = 0.8990 euros)
Reporting by Bart Meijer; Additional reporting by Christoph Steitz; Editing by Kevin Liffey and Mark Potter
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