EPH’s updated Green Finance Framework receives Medium Green Shading from S&P

26. 5. 2025

Energetický a průmyslový holding, a.s. (“EPH”) has updated its Green Finance Framework, originally established in 2024, to reflect the integration of assets operated by Slovenské elektrárne (“SE”) following EPH’s acquisition of a controlling interest in the company. This update primarily represents the addition of nuclear and hydropower plants operated by SE, along with new battery energy storage systems (BESS) to be developed across the EPH Group. EPH solicited a Second Party Opinion on its updated framework from S&P Global Ratings, which assigned a ‘Medium Green’ shading to the framework, a recognition that EPH activities included in green financing represent significant steps towards a low-carbon future. S&P also confirmed the framework’s alignment with the ICMA Green Bond Principles, as well as with the EU Taxonomy’s substantial contribution criteria.

The inclusion of these zero-emission generation assets and BESS projects significantly broadens EPH’s portfolio of green assets. This has so far included hydrogen-aligned segments of the gas grid, electricity distribution infrastructure, district heating systems, and hydrogen-ready gas cogeneration and power plants.

 

Simultaneously, EPH is advancing its transition strategy, structured around the following key pillars:

  1. Phasing out coal, with coal capacity projected to fall below 5% of total capacity by the end of 2025
  2. Expanding and maintaining its gas-based power fleet, with increased reliance on government-backed capacity schemes designated for plants which are increasingly utilized as peaking sources
  3. Growing its base of carbon-neutral sources, including nuclear, hydro, and biomass
  4. Pursuing energy storage solutions, primarily BESS projects where EPH developed a major pipeline of projects and have reached the final investment decision for several of them
  5. Advancing hydrogen readiness across its gas power plants and gas infrastructure

 

EPH remains on course to achieve its primary emissions reduction goal: lowering the CO2 intensity of its European power generation fleet between 2022 and 2033, in line with the ‘Below 2 Degrees’ pathway of the Transition Pathway Initiative. Notably, EPH has already achieved a 29% reduction in the emissions intensity between 2022 and 2024.

“The integration of SE’s zero-emission assets into the Green Finance Framework not only expands our portfolio of green assets but also strengthens our diversification and amplifies our decarbonization impact. We are particularly pleased with the ‘Medium Green’ shading from S&P Global Ratings which we view as confirmation of the importance of our assets in the decarbonization of European energy system,” says Gary Mazzotti, EPH Board Member and ESG Officer. “Our green asset base now spans distribution networks, dispatchable generation, and zero-emission generation sources. We will continue to provide investors with a transparent link between their capital and our transition strategy.”

Filip Bělák, the Chief Financial Officer of EPH added: „The updated Green Finance Framework represents a significant step forward in our commitment to sustainable energy solutions and demonstrates the progress we are making in our transition journey. Receiving a ‘Medium Green’ shading from S&P Global Ratings and confirmation of alignment with the ICMA Green Bond Principles and EU Taxonomy substantial contribution criteria is a testament to the strides we have taken to integrate zero-emission generation assets and energy storage projects into our portfolio.”

The Green Finance Framework and the Second Party Opinion with the ‘Medium Green’ shading from S&P Global Ratings can be accessed here: https://www.epholding.cz/en/green-finance-framework/

 

Disclaimer
No representation, warranty or undertaking, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of this communication or the opinions contained therein.
This communication contains certain forward-looking statements with respect to EPH’s business. These forward-looking statements may be identified by the use of forward-looking terminology, including the terms “believes”, “estimates”, “plans”, “projects”, “anticipates”, “expects”, “intends”, “targets”, “may”, “aims”, “likely”, “would”, “could”, “can have”, “will” or “should” or, in each case, their negative or other variations or comparable terminology. Forward-looking statements may and often do differ materially from actual results. EPH’s business is subject to a number of risks and uncertainties that could also cause a forward-looking statement, estimate or prediction to differ materially from those expressed or implied by the forward- looking statements contained in this communication. The information, opinions and forward-looking statements contained in this communication speak only as of its date and are subject to change without notice. EPH expressly disclaims any obligation or undertaking to disseminate any updates or revisions to this communication, and will not publicly release any revisions it may make to the information contained herein that may consist of or result from any change in EPH’s expectations, revised targets or other objectives, any change in events, conditions or circumstances on which these forward-looking statements are based, or other events or circumstances arising after the date of this communication. As a result, undue influence should not be placed on any forward-looking statement.
No representation is made as to the suitability of any green finance instrument to fulfil environmental and sustainability criteria required by prospective investors. Each potential purchaser of green finance instruments should determine for itself the relevance of the information contained or referred to in the Green Finance Framework or the relevant documentation for such green finance instruments regarding the use of proceeds and its purchase of green finance instruments should be based upon such investigation as it deems necessary.