Since 2017, all new Ørsted bonds have been issued in a green format, and we are committed to exclusively deploy green and sustainable financing going forward. Outstanding green bonds currently account for more than 70 per cent of Ørsted’s total bond portfolio.
This green finance framework (the ’framework‘) is developed in alignment with the 2021 Green Bond Principles and 2021 Green Loan Principles. It is further intended to be aligned with the anticipated EU Green Bond Standard and consequently the EU taxonomy, as they come into effect. The framework has received the highest possible grading – a dark green shading – from CICERO Shades of Green.
Ørsted’s framework includes green bonds, green loans, and other types of debt instruments to finance green eligible projects as defined in our Framework. The May 2022 update of our framework replaces Ørsted’s previous green finance framework dated April 2019. With this update, we are broadening the eligible use of proceeds to include onshore wind projects and solar PV projects in addition to offshore wind projects.
Our framework provides the basis of all allocations and impact reporting in our annual ‘Green bond impact report' which reports on allocated proceeds and project impacts in the form of avoided emissions, energy generated, and people powered from the projects.