EBRD invests in PPC’s sustainability-linked bond issue in Greece

The European Bank for Reconstruction and Development is investing €50 million in the sustainability-linked bond issue of Public Power Corporation, Greece’s largest power producer and electricity supplier.

With a total issuance volume of €650 million, the issue will help improve PPC’s access to finance by diversifying its financing sources to a new environmental, social and governance-focused investor base.

The bond will include a sustainability performance target, with PPC committing to reduce CO₂ emissions by 40% by the end of 2022. The target translates into annual CO2 emission cuts of 9.2 million tonnes in 2022 compared to 2019. This target is expected to be met primarily by decommissioning all lignite plants by 2023 and replacing them with renewable energy capacity in a significantly accelerated programme that will add 1.3GW of mainly solar and wind power to PPC’s portfolio. 

Public Power Corporation has been listed on the Athens Stock Exchange since 2001 and its main shareholder is the Greek state (51.1%), through the participation of the Hellenic Republic Asset Development Fund and the Hellenic Corporation of Assets and Participations. The bond will be aligned with the International Capital Market Association’s Sustainability-Linked Bond Principles.