These indicators are periodically verified by an external body, and Enel publishes the figures in the annual financial and sustainability reports.
In 2022, installed renewables capacity accounted for 63.1% of the total, thereby surpassing the target for a minimum threshold of 60%. In particular, this includes the achievement of the targets contained in the first sustainability-linked bonds issued by Enel Finance International in 2020 on the GBP market.
In 2022, the Group continued pursuing a development strategy oriented towards sustainable finance with structured transactions amounting to the equivalent of more than €23 billion.
More specifically, the Group, through its financial subsidiaries Enel Finance International and, for the first time, Enel Finance America, issued sustainability-linked bonds in a variety of markets and currencies in the amount of about €12.1 billion.(42)
In May 2022, Enel and Enel Finance International increased the amount of the current Sustainability-Linked Revolving Credit Facility, the world’s largest sustainable credit facility linked to SDG 13, from €10 billion to €13.5 billion.
In April 2022, Enel Finance International renewed the commercial paper program linked to the KPI for “Scope 1 GHG emissions Intensity relating to Power Generation” less than or equal to 148 gCOO2eq/kWh by 2023 or less than or equal to 140 gCO2eq/kWh by 2024 and increased it from €6 billion to €8 billion.
In addition, Enel has signed agreements with multiple financial counterparties for sustainable guarantees and derivatives, both of which are linked to the Group’s ability to reach its sustainability goals in subsequent years.
Finally, in February 2023, Enel Finance International launched a sustainability-linked bond in two tranches for a total of €1.5 billion. For the first time in the world, this new issue united an indicator connected with the EU taxonomy with another connected with the United Nations Sustainable Development Goals (SDGs), while also including targets for full decarbonization.
In the area of public finance, the Group supports the economic recovery plan and intends to become a strategic partner in the implementation of the Green Deal and the Recovery Plan at both the European and national levels. The goal is to drive a sustainable, rapid and effective recovery through a broad pipeline of shovel-ready projects focused on decarbonization, electricity grids and electrification, aimed at accelerating the green and digital transition of the European economy with a significant impact in terms of GDP, employment and reduction of CO2 emissions, in full alignment with the European taxonomy.
To this end, the Group has identified potential initiatives for about €4.3 billion in investment over the period 2023-2030, with relative impact by way of both the Ownership and the Stewardship models. These initiatives focus on green hydrogen, renewables and storage, revitalization of the photovoltaic manufacturing industry, smart grids, grid resilience and charging infrastructure for electric mobility. The Group has also promoted partnerships with public and private entities, both with a view to the decarbonization and electrification of energy consumption through the expansion of electric bus fleets, the transition to green ports and the promotion of energy efficiency in public buildings.
Furthermore, in the context of subsidized loans from international and national financial institutions, the Group is leading an innovation process aimed at accelerating the mobilization of capital to support sustainable growth through the use of sustainability-linked financial instruments. More specifically, in 2022, the Group received subsidized loans totaling €1.8 billion that, following the path taken in our private-sector financing, include sustainability-linked mechanisms connected with SDG 13. Some of the main transactions include the first sustainability-linked financing agreement between Denmark’s Export Credit Agency EKF and Enel Finance America for a total of $800 million.
In the coming years, Enel will continue to make use of sustainable finance tools, with the aim of achieving a ratio between sustainable borrowing and the Group’s total debt of about 70% by 2025.