Sustainable finance

The group's financing strategy is aimed at providing the most efficient solutions both in terms of economics as well as with respect to creating a positive impact.

Regarding sustainable financing, taking into consideration market conditions and business strategy at any point in time, the company is using two alternative formats: one format in which the use of funds is committed to specific areas or objectives within the sustainable agenda, and the other format where the determination of the financing cost is linked to ACCIONA's sustainable performance improvements.

Financing the sustainable agenda

At present, this format of financing, whether sourced from the capital markets or the banking market, involves the commitment to invest the funds raised in projects that contribute directly to the achievement of objectives linked to the sustainable agenda. These investments are mainly related to the development of renewable energy, access to water and sanitation, infrastructure for sustainable mobility or circular economy, and adaptation to climate change.

 

The company develops business opportunities capable of generating interest in the investment market. Given this growing interest, ACCIONA has developed in 2019 a new green financing framework - reviewed by Sustainalytics - that expands the portfolio of eligible green projects, compared to the previous framework - also reviewed by Sustainalytics -, based on the contribution of the company to a low carbon economy.

 

The financing transactions in this format are carried out under a framework, consistent with the with the European Union Green Bond Standard (EU-GBS) produced by the EU Technical Expert Group (TEG) on Sustainable Finance (June 2019). The EU-GBS is a voluntary standard proposed to issuers that wish to align with best practices in the market. It is designed to be globally relevant and accessible to issuers located both inside and outside the EU. It builds on market best practices such as the Green Bond Principles (GBP) published by the International Capital Markets Association (ICMA) and the Green Loan Principles (GLP) administered by the Loan Market Association (LMA).

 

ACCIONA’s Green Financing Framework has been reviewed by Sustainalytics, which issued a Second-Party Opinion confirming the alignment of the Framework with the Green Bond and Green Loan Principles.

 

 

    Green transactionsAmount (million)Maturity

    Loans

    Bankia Loan AUD 165M

    AUD 165

    December-22

    ING Loan AUD 100M

    AUD 100

    July-24

    Bankia Loan USD 55 M

    USD 55

    December-21

    Unicredit Loan EUR 50 M

    EUR 50

    January-22

    Sydicate facility (Chile) USD 200 M

    USD 150

    October-24

    EMTN

    XS2060619876 due October 2021

    EUR 164.8

    October-21

    XS2202837121 due July 2023

    USD 30

    July-23

    XS2122902468 due February 2024

    EUR 139.8

    February-24

    XS2343532417 due January 2025

    EUR 116.2

    January-25

    XS2327979675 due April 2025

    RON 62

    April-25

    XS2327979758 due April 2026           

    PLN 80

    April-26

    XS2036691868 due August 2026

    EUR 174

    August-26

    XS2318337149 due March 2027

    EUR 80

    March-27

    XS2327979832 due April 2027           

    PLN 25

    April-27

    XS2343370412 due May 2027           

    JPY 10,000

    May-27

    XS2300169419 due February 2028

    EUR 19

    February-28

    XS1684805556 due December 2030

    EUR 118

    December-30

    XS2309352891 due March 2031

    JPY 10,000

    March-31

    XS2343361007 due May 2031           

    USD 90

    May-31

    XS1525867104 due November 2031

    EUR 40

    November-31

    XS2357748016 due June 2034              

    EUR 70

    June-34

    XS2248078136 due October 2035

    EUR 92

    October-35

    XS2267085616 due December 2039

    EUR 120

    December-39

    Other transactions

    Schuldschein 2016

    EUR 78.5

    Various

    Schuldschein 2019

    EUR 167

    Various

    NSV due October 2034

    EUR 50 

    October-34

    NSV due March 2035

    EUR 30

    March-35

    Private Schuldschein

    EUR 40

    Various

    ACCIONA reports annually on the projects to which the financing instruments for the sustainable agenda received are assigned. In compliance with its green financing framework, the company has requested an independent review of the impact indicators of these projects. The instruments, projects and associated indicators, as well as the independent assurance report, regarding the funds received until December 31 2020, are published in Annex II of the Integrated Report 2020.

    Financing with improvement ESG objectives

    This format of financing incorporates in its economic conditions objectives of improving ACCIONA's sustainable performance, across environmental, social and governance (ESG) dimensions. The fulfillment of these objectives is periodically evaluated by international rating agencies, or in the case of specific indicators, by independent auditors.

     

    To this end, ACCIONA and ACCIONA ENERGÍA have a Sustainability-Linked Financing Framework, reviewed by DNV GL, which issued a second-party opinion (SPO) confirming its alignment with the Sustainability-Linked Bond Principles published by the International Capital Markets Association (ICMA) and the Sustainability-Linked Loan Principles administered by the Loan Market Association (LMA).

    The Sustainability-Linked Financing Frameworks have been structured on the basis of an innovative "double impact" ESG scheme that links the cost of financing to the achievement of corporate sustainability objectives and - for the first time - to commitments to generate positive local impact.

     

     

      "ESG" TransactionsAmount (million)Maturity

      Sindicate Loan EUR 800 M ACCIONA

      EUR 800

      May-26

      Chile Bilateral Loan USD 15 M + CLP 10,000 M

      USD 30 

      May-22

      Syndicate ESG Loan EUR 2,500 M ACCIONA Energía

      EUR 2,500

      May-26

      THE EUROPEAN COMMISSION TAXONOMY FOR SUSTAINABLE FINANCE

      The active involvement of financial markets in financing the sustainable economy is indispensable for the European Union’s plans to move towards a low-carbon economy.

      For an activity to be classified as taxonomic, apart from meeting the technical selection criteria, it must also satisfy a minimum of social safeguards and must not contradict any of the other four objectives sought by the regulation: water protection, transition to a circular economy, control of pollution and healthy ecosystems.

      For the second year in a row, in 2020, ACCIONA carried out a classification of its activities using the criteria in the most recent version of the European taxonomy (draft Delegated Act at the end of 2020), so that 85% of CAPEX, 84% of EBITDA and 47% of the company’s sales meet the requirements established in relation to the mitigation of climate change.

      Values within the requeriments set by the EU

      85 %

      Capex

      84 %

      EBITDA

      47 %

      REVENUES

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