Transmission system operator TenneT last year issued a €3.85 billion ($4.2 billion) green multi–tranche bond, making it the largest ESG corporate bond issued in the Eurozone market in 2022.

This was the first transaction to be based on TenneT's updated Green Financing Framework, which is aligned with EU Taxonomy and follows as much as possible the current version of the proposed EU Green Bond Standard.

The net proceeds from the issue will be used to fund green electricity network projects, connection services, interconnectors and other projects related to the transmission of renewable electricity into the onshore electricity grid.

Environmental Finance Bond Awards judges described the bond as "very significant", with one judge praising TenneT for being aligned with EU Taxonomy and EU Green Bond Standard – to the extent possible – with a clear evaluation and selection process.

Gerard Kits, head of treasury TenneT, said: "Green financing aligns perfectly with our role in facilitating the backbone of a secure, reliable, and zero-carbon energy system, as our work contributes towards national and international climate goals, in particular our home markets in the Netherlands and Germany."

With TenneT's annual planned investments expected to grow to at least €8 billion per annum, the firm says it is committed to investing in the European energy transition over the long term.