ACWA Power Considering Green Bonds Issuance Next Year

  • ACWA Power plans to issue green bonds for its projects from next year.
  • The developer also plans to raise about $1.2 billion for an IPO.

ACWA Power says it is considering issuing green bonds from next year to finance some of its clean energy projects. The company has already deployed five projects certified for green finance. These projects will cumulatively require about $10 billion in financing.

ACWA’s CEO Paddy Padmanathan stated: “from a bond perspective, you need to have operating assets to be able to show revenues then to do the bond. So, we will get there. “With this portfolio itself, there is a lot of opportunities for us to be looking at green bonds, and we definitely will be looking at it into 2022 and beyond.”

The Saudi-based developer had earlier announced its intention to raise about $1.2 billion from an initial public offering (IPO), a move that many say would be the country’s largest since that oil giant Aramco. In addition, ACWA and a consortium recently secured financing for their Sudair Solar PV project, a  1.5GW plant, the first under its Public Investment Fund’s (PIF) renewables programme.

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