Masdar Channels $1.7B in Green Bond Proceeds Into Renewables, Cutting 6.3M Tons of CO₂

Energy Box
1 day ago
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Masdar's annual report details deployment of over $1.685 billion in green bond proceeds to clean energy projects by end of 2024. Image by Masdar

Abu Dhabi Future Energy Company (Masdar) has invested over $1.7 billion from its 2023–24 green bond proceeds into renewable projects around the world, according to its newly released 2024 Green Finance Report.

Renewable energy projects

The proceeds were directed toward new solar, onshore and offshore wind, and energy storage projects across the UAE, Saudi Arabia, the US, Germany, the UK, and emerging markets including Uzbekistan, Azerbaijan, and Serbia, the company said in a statement on Monday.

Masdar said its green bond deployments are already driving measurable climate benefits. For every $1 million invested, beneficiary projects avoid an estimated 3,700 tons of CO₂ emissions annually. In total, the green bond program has helped avoid more than 6.28 million tons of emissions per annum.

“Masdar’s green finance strategy is underpinned by disciplined capital allocation, robust ESG integration and transparent reporting,” said Mazin Khan, Masdar’s chief financial officer, in a statement. “We are proud to deploy bond proceeds towards greenfield projects under strict criteria, enabling clean energy progress while maintaining a high level of financial efficiency and investor confidence.”

To uphold transparency, Masdar engaged Ernst & Young to provide limited assurance on the allocation of proceeds and selected impact metrics outlined in the 2024 report, the company stated.

Sustainability efforts

Founded in 2006, Masdar has expanded its footprint to more than 40 countries, developing and investing in projects with a combined capacity of 51 gigawatts (GW). In March, the company broadened its Green Finance Framework to include green hydrogen and stand-alone battery storage projects.

Moody’s Investors Service subsequently reaffirmed Masdar’s top-tier Sustainability Quality Score of SQS1 (Excellent) in a second-party opinion, confirming the framework’s alignment with international standards such as the ICMA Green Bond Principles and the Green Loan Principles.

Investor appetite has remained strong. Masdar’s $1 billion green bond issued in May 2025 was 6.6 times oversubscribed, with allocations split 85% to international investors and 15% to those in the Middle East and North Africa (MENA) region. Since launching its green bond program in 2023, the company has raised a total of $2.75 billion.

Complementing its bond activity, Masdar also secured $6 billion in non-recourse financing in 2024 to develop 11 gigawatts of clean energy capacity across 12 projects in nine countries.