Electricity North West has published its Green Financing Framework outlining how it will use green finance to power future investment in projects with clearly defined environmental benefits.
David Brocksom, chief financial officer at Electricity North West, said: “Transforming the energy system in the way we need to, means transforming our own business and leading the way in both how we run the network and how we finance it.
“The core of what we do is planning for the future. Our forecasts show that there will be a million electric vehicles on the North West’s roads by 2030 and a huge growth in renewable energy. It’s our job to ensure the network can support this green growth. This means that the work we do – and the investments we make – are for positive environmental purposes.
“Our new Green Financing Framework sets out how we can develop and identify eligible projects, giving investors clarity that they are aligned with the best market principles and international principles governing sustainable financing.”
Projects that will be financed or refinanced under the Framework include investments to increase the amount of renewable electricity generation that is connected to the network, use smart technologies to improve the network’s energy efficiency, and to improve biodiversity.
All eligible spend from any funds as part of the Green Financing Framework will fit into one of the following seven categories set out in the International Capital Market Association’s Green Bond Principles: renewable energy; energy efficiency; pollution prevention and control; green buildings; climate change adaptation; environmentally sustainable management of living natural resources and land use; and clean transportation.
Mr Brocksom added: “Through this Framework, investors can be assured that investment in our business will lead to long-term environmental benefits by enabling the transition away from fossil fuels and helping drive the North West’s journey to Net Zero.”
The Framework has been independently assessed by consultants DNV which has issued a second party opinion confirming that Electricity North West’s Green Financing Framework aligns with the International Capital Market Association’s Green Bond Principles 2021 and the Loan Market Association’s Green Loan Principles 2021. The Framework also includes mapping to the United Nations’ Sustainable Development Goals and the EU taxonomy on Green Finance.
