In the race to deliver on global climate ambitions, mobilising institutional and private capital for green energy investments is now more urgent than ever. In short, sustainable finance will help us to achieve sustainable growth.
Why is sustainable financing important?
As a renewable energy company, we’re committed to providing opportunities for our investors to invest in projects and activities that contribute to a more sustainable world.
We fully support the integration of credible ESG information into investment decisions. We aspire to maintain strong ESG performance by continuing to integrate sustainability into everything we do.
What are we doing?
- We exclusively deploy green and sustainable long-term financing to advance our green transformation and build-out. The proceeds allocated from these issuances are directly linked to financing our projects and enable our investors to know that their investments create direct sustainability impacts.
- We use KPI-linked products to help support and incentivise business to meet our sustainability targets.
- We strive to deliver best-in-class reporting on the sustainability impacts of allocated green bond proceeds. We align our reporting with ratings and recognised ESG frameworks, including the EU taxonomy and upcoming Corporate Sustainability Reporting Directive (CSRD).
Latest updates from 2022
- We updated our ‘Green finance framework’ to reflect our growing business by broadening the use of eligible proceeds to include onshore wind and solar.
- We issued DKK 28.4 billion in green bonds and green hybrid bonds in 2022, bringing our total issuances to DKK 62.9 billion. In 2022, we allocated DKK 8 billion, which is the largest amount allocated in one year. As a result, 4.2 million tonnes of carbon emissions can be avoided, and 4.5 million people can be powered with renewable energy.
- We continue to offer our revolving credit facility, entered into in 2021, which is linked with two strategic sustainability KPIs: our science-based emissions reduction target and our taxonomy-aligned green investments (CAPEX).
We’ll continue to only use sustainable financing instruments for all future long-term financing and explore new opportunities within sustainable finance as they emerge.
We fully welcome the increased demands for ESG information from regulatory disclosure requirements and investors, and we’ll continue to work to improve our set-up to meet key expectations.
We engage in partnerships to collaborate closely with industry peers and to stay at the forefront of regulatory developments:
- Chairmanship of Eurelectric and European Federation of Energy Traders’ working group on sustainable finance
- Corporate Forum on Sustainable Finance
We base our reporting on international frameworks to ensure it’s transparent and aligned with best practices:
- EU Sustainable Finance Taxonomy activities
- TCFD recommendations
- Green Bond Principles – ICMA (International Capital Market Association)
- Green Loan Principles – LMA (Loan Market Association), APLMA (Asia Pacific Loan Market Association) and LSTA (Loan Syndications and Trading Association)
Accountability for cybersecurity lies with our Chief Financial Officer. Accountability for P2X lies with our Head of P2X.
This programme contributes towards the following Sustainable Development Goals: