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In a statement issued on Thursday, Abu Dhabi National Energy Company PJSC (TAQA) reported the successful issuance of a $750 million blue bond. The instrument will support sustainable water and wastewater management projects across the group’s operations. This debut blue bond from a government-related entity in the GCC also stands as the largest ever in the EMEA region and the biggest issued by an integrated power and water utility anywhere in the world. The announcement underscores growing interest in targeted sustainable financing within the utilities sector.
The five-year notes were structured as a private placement with Standard Chartered Bank serving as the sole placement agent. International investors responded with strong demand for the offering. Notes carry a coupon rate of 5.125 per cent and have secured listings on the London Stock Exchange’s International Securities Market. Ratings from Moody’s at Aa3 and Fitch at AA align with TAQA’s existing corporate credit assessments.
According to the statement, the bond represents the first issuance under TAQA’s Green and Blue Finance Framework updated earlier this year. The update added blue instruments along with categories covering green grid infrastructure and climate change adaptation measures. Moody’s conducted a second party opinion on the framework, awarding it a Sustainability Quality Score of SQS2, categorised as Very Good. Net proceeds from the sale will exclusively finance or refinance projects deemed eligible under the framework guidelines.
With this transaction, TAQA has brought its cumulative green and blue labelled bond issuance to $2.6 billion since establishing its initial green finance framework in 2023. The group has committed close to $10 billion to energy transition initiatives in the utility space from the start of its 2030 Vision for Sustainable and Profitable Growth in 2021 through the end of 2025. This latest step continues a pattern of increasing sustainable debt utilisation evident in the company’s October 2024 dual-tranche bond sale that featured a substantial green component, prior announcements indicated.
Jasim Husain Thabet, group chief executive officer and managing director of TAQA, addressed the significance of the issuance in the statement. “Water scarcity is one of the defining challenges of our time, and it remains underfunded relative to its importance,” Thabet said. “As a vertically integrated power and water utility operating in one of the world’s most water-stressed regions, TAQA is investing across the water value chain. This includes desalination, water transmission and distribution, wastewater treatment and reuse, helping address growing pressures on water systems.”
Thabet further noted that the bond marks an important milestone aligned with Abu Dhabi’s Integrated Water Sector Strategy and its Climate Change Adaptation Plan. He pointed to the robust investor appetite as evidence of market confidence in TAQA’s strategic direction, balance sheet and the critical infrastructure it manages. The company added that it would persist in creating dependable and sustainable approaches to secure water resources for the long term. Sustainability occupies a central position in TAQA’s corporate strategy, the statement concluded, with continued heavy investment in low-carbon power, sustainable water solutions and resilient infrastructure that aids the energy transition and serves millions of customers.
