Earlier this month, Ronesans Enerji announced its Green Finance Framework to drive sustainable development in Turkey. A collaboration between financial investment institution Ronesans Holding and TotalEnergies, the joint venture aims to push forth proactive green finance projects.
The framework aims to hone in on specific sustainable goals, including green hydrogen production, reducing greenhouse gas emissions, and increase resource efficiency.
Emre Hatem, Ronesans Holding board member and Energy Group president, outlined the goals of the initiative: "Since its establishment, Rönesans Enerji has only invested in green energy and will continue to grow with a 100% green energy portfolio in the future. At Rönesans Enerji, we plan to invest in bringing 2000MW of green energy capacity online by 2028. By bringing our current projects under construction and development online, we aim to reach an installed capacity of over 700 MW by the end of 2026 in the first phase. Over the next five years, we aim to achieve approximately 7% to 10% of the green energy investments targeted in Türkiye's National Energy Plan.”
The initiative complies with Turkey’s Capital Markets Board (CMB) for green debt investments, is backed by ING as a sustainability advisor, and is aligned with Green Bond Principles of the International Capital Market Association (ICMA), Green Loan Principles of the Loan Market Association (LMA), Loan Syndications and Trading Association (LSTA), and Asia Pacific Loan Market Association (APLMA). The framework is one of the first to incorporate guidelines form the CMB, widening recognition of the board.
İpek Ilıcak Kayaalp of the Board of Directors of Rönesans Holding commented: "We are committed to building a better, more sustainable future. We continue our journey with determination, aiming to set an example in every sector in which we operate."
She added that collaboration is a key aspect of their strategy: “We are actively working with 40 different international banks worldwide to finance our investments under favourable conditions. To date, we have invested over EUR 8 billion in Türkiye, with more than 90% of this investment realised in collaboration with these banks. The first item foreign creditors review is the ESG report, where Rönesans Enerji secured this report last year. With the Green Finance Framework we have published, we will gain easier access to green finance instruments that support renewable energy, furthering our contribution to Türkiye's sustainable future."
Other countries have established green finance frameworks, such as the UK’s Mobilising Green Investment: 2023 Green Finance Strategy, the Monetary Authority of Singapore’s Green Finance Industry Taskforce established in 2021, Hong Kong’s green finance exchange, and Stockholm’s green finance initiative that launched in 2017.
Green finance and sustainable development will be the topic of discussion at Finextra’s annual Sustainable Finance Live conference, taking place at Events@No6 in London on October 8. To learn more about the agenda and register for the event, see here.