Highlights

• E.ON prepares for €43 billion in investments, with €35 billion set aside for Energy Networks.
• The Green Financing Framework is pursuant to ICMA, LMA, and the EU Taxonomy Regulation.
• Moody’s assigns SQS1 Excellent, which confirms sustainability alignment in the financing structure.

E.ON has launched its new Green Financing Framework, which will act as the basis for raising funds linked to sustainable energy investments.

The company plans to invest €43 billion between 2024 and 2028, with €35 billion channelled into Energy Networks. These investment areas need regular financing, and the new framework replaces an earlier Green Bond Framework from 2021.

The updated version is pursuant to the ICMA Green Bond Principles, the LMA Green Loan Principles, and the EU Taxonomy Regulation, thereby linking the company’s strategy with Europe’s sustainability policies.

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The framework zeroes in on Energy Networks, E.ON’s largest asset class, in line with the EU Taxonomy.

Eligible network activities now spread across Germany, Sweden, the Czech Republic, and Poland, which extends the geographical reach beyond earlier scopes.

As the operator of Europe’s largest distribution grid, E.ON plays a central part in connecting renewable power sources and digital energy systems. This creates the foundation for a more climate-friendly energy system that serves households and businesses on a large scale.

E.ON says that its annual funding has already leaned heavily toward green bonds, with over 70 percent issued in this category since 2023. The new Green Financing Framework continues this direction. It also widens the range of financing tools to include instruments such as Schuldschein loans, not just green bonds.

Also, the company’s Green Finance Impact Reporting now includes KPIs for biodiversity and grid efficiency, which increases transparency on environmental outcomes connected to the investments.

Also Read: UK Govt Says UK Taxonomy Is Ineffective for Green Transition

The framework has received a Second Party Opinion from Moody’s, which gave it the top SQS1 Excellent sustainability score. Moody’s assessed that the activities financed under the framework align with the EU Taxonomy, placing the framework in line with high-quality sustainability standards in the European financial system.

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Source: E.ON