Taqa, Abu Dhabi National Energy Company, has issued a $750 million Blue Bond to support sustainable water and wastewater management projects, marking the largest Blue Bond ever issued by an integrated power and water utility and the biggest in the Europe, Middle East and Africa (EMEA) region.

The five-year private placement attracted strong demand from international investors and was arranged by Standard Chartered Bank as sole placement agent.

The bond carries a coupon rate of 5.125 per cent, is listed on the London Stock Exchange’s International Securities Market, and holds credit ratings of Aa3 from Moody’s and AA from Fitch, matching Taqa’s corporate ratings.

The issuance represents the first Blue Bond under Taqa’s updated Green and Blue Finance Framework, which expands the company’s sustainable financing categories to include blue finance, green grid investments, and climate change adaptation projects.

Moody’s provided a Second Party Opinion on the framework, assigning it a Sustainability Quality Score of SQS2, rated “Very Good.”

Proceeds from the bond will finance or refinance eligible blue projects aligned with the framework, supporting Taqa’s sustainability and water management objectives.

The latest transaction brings Taqa’s total issuance of green and blue labelled bonds to $2.6 billion since launching its Green Finance Framework in 2023.

The company said it has invested nearly $10 billion in energy transition projects through the end of 2025 as part of its 2030 Vision for Sustainable and Profitable Growth, launched in 2021.

Jasim Thabet, Group Chief Executive Officer and Managing Director, Taqa, said: “Water scarcity is one of the defining challenges of our time, and it remains underfunded relative to its importance. 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 added: “This issuance marks an important milestone for Taqa and is aligned with Abu Dhabi’s Integrated Water Sector Strategy and Climate Change Adaptation Plan. The strong investor demand for the transaction reflects confidence in Taqa’s long-term strategy, our financial strength and the essential nature of the infrastructure we develop and operate. As demand continues to increase, we remain focused on developing reliable and sustainable solutions that will support water security for decades to come.”-OGN/TradeArabia News Service