TenneT Holding B.V. (rated A3/A-) today successfully launched and priced another Green Bond issue under its green bond program of EUR 1 billion, a dual tranche of each EUR 500 million with a maturity of 8 year (coupon of 0.75%) and 12 year (coupon of 1.375%) with the support of five banks: ABN AMRO, HSBC, NatWest Markets, Rabobank and SMBC Nikko.
Investing in green energy
Today’s announcement relates to the issuance of Green Bonds for investments in the transmission of renewable electricity from offshore wind farms to the onshore electricity grid. The eight offshore projects financed with the proceeds can be viewed through green financing.
TenneT’s investments in offshore wind energy projects across the Netherlands and Germany are expected to total EUR 9 to 11 billion over the next 10 years. In the period up to 2019, TenneT is realizing over 7 gigawatts (GW) of connection capacity for offshore wind farms in the German sector of the North Sea, transmitting electricity equivalent to the annual power consumption of approx. 10 million households. By 2023, TenneT expects to have realized 3.5 GW of connection capacity in the Dutch sector of the North Sea, corresponding to the annual power consumption of close to 5 million households.