EDF signed two €300 million sustainability-indexed revolving credit facilities (RCF) which incorporate a pricing adjustment based on EDF’s sustainability performance linked to CO2 emissions and energy efficiency. One facility was signed with the Group Crédit Agricole led by Crédit Agricole CIB including LCL and Crédit Agricole d’Ile-de-France, another one with Societe Generale CIB.
Both RCF incorporate an adjustment mechanism that links the cost of the facilities to three of EDF’s sustainability KPIs: direct CO2 emissions, customers’ use of online consumption monitoring tools (as a proxy of EDF’s success in getting French residential customers actively engaged on their consumption) and electrification of its light vehicle fleet.
With these agreements following on from three previous sustainability-linked loans signed in 2017, 2018 and 2019, EDF confirms that responsible finance instruments play a central role in its financing strategy. RCFs with an ESG indexation now represent a total of over €5 billion, i.e. around 45% of EDF Group credit lines.
Xavier Girre, Senior Executive Vice-President, CFO of EDF, said: “These two new facilities demonstrate EDF’s strong commitments in terms of corporate social responsibility by strengthening the link between its sustainability performance and financing strategy. With over €5 billion of sustainability-linked credit facilities and €4.5 billion in outstanding Green Bonds, sustainable finance instruments have become ever more core to EDF’s financing.”
Laurent Capès, Senior banker at Crédit Agricole CIB, said: “Credit Agricole group is very proud of supporting EDF in its sustainability finance strategy by providing this sustainability-indexed revolving credit facility of €300 million. This transaction, involving Crédit Agricole CIB, LCL and Credit Agricole d’Ile-de-France, demonstrates the willingness of both groups to actively participate to a more sustainable environment.”
Carl Bassili, Senior Banker at Societe Generale CIB commented: “Societe Generale is delighted to support EDF in its strategy of developing sustainable finance in the context of the energy transition. Societe Generale is strongly committed to meet its clients' rising needs in the field of Sustainable and Positive Impact Finance. The Bank aims at contributing EUR 100 billion to energy transition between 2016 and 2020.“