TORONTO, June 25,
2024 /CNW/ - Ontario Power Generation (OPG)
released its Sustainable Finance Framework ("the Framework") today,
replacing OPG's Green Bond Framework (2021). The Framework
will permit funding of a broader range of clean energy technologies
as well as initiatives to create opportunities for Indigenous
communities and businesses.
The Framework provides opportunities to facilitate Indigenous
communities and businesses participating in OPG's projects and
initiatives through procurement, training, education and
employment. Introducing social categories focused on Indigenous
Reconciliation in this framework will enable established bond
investors and OPG to further commitments to engage and work with
Indigenous communities, businesses, and organizations to advance
Reconciliation.
In addition, under the Framework, net proceeds from OPG's
sustainable bond issuance may now finance a broader array of
projects and programs, including:
- New nuclear projects, such as small modular reactors and large
new nuclear, in addition to maintenance or refurbishment of
existing facilities
- Renewable energy projects like hydro refurbishment, solar, wind
and hydrogen production
- Energy efficiency and management solutions such as energy
storage and clean fuel storage
- Clean transportation initiatives such as zero-emissions
vehicles, and
- Developing climate adaptation and resilience capabilities for
flood protection and extreme weather.
BMO and RBC Capital Markets acted as Co-Sustainable Structuring
Agents for OPG's Sustainable Finance Framework.
Key facts
- This Framework replaces OPG's Green Bond framework (2021) which
introduced funding for the refurbishment and maintenance of
existing nuclear facilities.
- OPG was the first Canadian utility to issue green bonds in
Canada and together with its
subsidiaries is the largest corporate issuer in Canada (as of March 31,
2024), with more than $3
billion to date.
- OPG is working on leading edge of clean energy technologies,
including:
- Deploying North America's
first grid-scale small modular reactor, the first of a fleet of
four OPG and partners will build at the
Darlington New Nuclear
Project site, pending regulatory approval.
- Developing hydrogen production facilities across the
province through its subsidiary, Atura
Power.
- S&P Global Ratings, a leading provider of
independent, research-based evaluations of green bond and
sustainability financing frameworks completed a second-party
opinion on OPG's Sustainable Finance
Framework. This evaluation indicated OPG's
Framework is aligned with certain International Capital
Market Association Principles. Refer to the second-party
opinion on OPG's Investor Relations webpage for more
details.
Quotes
"As Canada's largest corporate
green bond issuer, expanding our eligible use of proceeds from
these bonds recognizes growing demand for clean electricity and
OPG's commitment to advancing economic Reconciliation with
Indigenous Nations and communities," said Aida Cipolla, OPG's Chief Financial Officer and
Corporate Services Officer. "Partnerships will be key to achieving
economy-wide decarbonization and lasting environmental
benefits."
About OPG
As one of North America's
largest, most diverse electricity generators, OPG invests in local
economies and employs thousands of people across Ontario and the US. OPG and its family of
companies are leading the development of new clean technologies,
refurbishment projects, and electrification initiatives to power
the growing demand of a clean economy. Learn more about how the
company is advancing these initiatives while prioritizing people,
partnerships, and strong communities by reading OPG's Climate
Change Plan, Reconciliation Action Plan,
and Equity, Diversity, and Inclusion (ED&I)
strategy.
Follow us on X (Twitter): @opg
SOURCE Ontario Power Generation Inc.