Nature & Environment Oct 06, 2020

Landsvirkjun Furthers Its Commitment to Sustainable Development!

Iceland’s National Power Company is among the first companies globally to adopt a new approach to finance green assets.

As a part of their commitment to sustainable development, Landsvirkjun, the National Power Company of Iceland, has signed an agreement with US and UK institutional investors to issue $150 million senior unsecured notes in the US Private Placement (USPP) market in Green Bond format. The Green Bond market is an important way to promote the production of renewable energy. Within the transaction, Landsvirkjun also updated its Green Finance Framework (GFF) with proceeds designated to financing and refinancing green assets on the company’s balance sheet. Landsvirkjun is among the first companies globally to apply this new balance sheet approach in its GFF, cementing their commitment to renewable energy generation activities.

With this announcement, Landsvirkjun’s CFO, Rafnar Larusson, highlighted the importance of transitioning to renewable energy and away from fossil fuels in the fight against climate change. In signing this agreement, Landsvirkjun hopes to provide a valuable boost to the world’s inevitable energy transition. As Iceland’s first issuer of Green Bonds, the company is committed to continuing their efforts with this successful offering. Landsvirkjun is proud to be a part of this rapidly growing market, and as Rafnar Larusson notes, “the USPP market has proven to be a reliable funding source for Landsvirkjun. We appreciate the commitment and continued support from our current investors, as well as the interest we received from new investors,” 

Landsvirkjun is at the forefront of environmental issues, and this announcement joins rank with the company’s other initiatives that support sustainable development within society. The company is committed to reducing the environmental impact of its operations by using natural resources more efficiently, conducting carbon neutral operations, and operating in harmony with nature and the appearance of land.

Learn more about this exciting announcement on Landsvirkjun’s website, and join us in celebrating the company’s initiatives to combat climate change in the comments below!