Sustainable Bond Allocation Report
2025
31st of March 2026
Sustainable Bond Allocation Report 2025 Content
01
General Information
page 2 Sustainable Bonds Summary Sustainable Finance Framework EU Taxonomy Fact sheet Risk Management02
Allocation Reporting
page 4 Overview03
Impact reporting
page 5 Sustainable Buildings Energy efficiency Renewable energy Clean transportation Sustainable Water04
Bonds Specific Reports
page 10 Bond 2026, BE0002611896 Bond 2029, BE6327721237 Bond 2027, BE6332786449 Bond 2030, BE6332787454 Bond 2031, BE636215219901
General
Information
Sustainable Bonds Summary
As of 31 December 2025, VGP has issued the following five Bonds. The bond #5 is the only bond issued under the sustainable finance framework as published in March 2025. Bonds #2-4 were issued under the previous green finance framework as published in 2021.
# | Original Amount (€) | Amount outstanding (€) as of 31. 12. 2025 | Total proceeds allocated (€) | % of amount outstanding | Issue (date) | Maturity (date) | Coupon (%) | ISIN code |
1 | 190,000,000 | 190,000,000 | 211,562,685 | 111% | 19. 09. 2018 | 19. 03. 2026 | 3.5 | BE0002611896 |
2 | 600,000,000 | 579,900,000 | 643,145,370 | 111% | 08. 04. 2021 | 08. 04. 2029 | 1.5 | BE6327721237 |
3 | 500,000,000 | 320,100,000 | 395,695,828 | 124% | 17. 01. 2022 | 17. 01. 2027 | 1.625 | BE6332786449 |
4 | 500,000,000 | 500,000,000 | 606,424,034 | 121% | 17. 01. 2022 | 17. 01. 2030 | 2.25 | BE6332787454 |
5 | 576,000,000 | 576,000,000 | 668,744,652 | 116% | 02. 04. 2025 | 31. 01. 1931 | 4.25 | BE6362152199 |
Please note that for all tables in this document the order of the bonds as highlighted above is followed. So when speaking of bond #5, it refers to the 2031 bond of € 576 million outstanding.
In previous years, VGP fully allocated the outstanding green bonds (#2,#3,#4) under the prevailing green bond framework. With the publication of the revised framework in March 2025, the allocation of all bonds currently with issued capital outstanding have been published under this revised framework (including the bond which was issued in 2018).
Please note that this allocation report is based on the balance sheet data as of 31 December 2025 and the financial and operational performance data for the full year 2025.
VGP issued a bond on 9 January 2026 with a nominal amount of € 600 million, paying a coupon of 4 per cent p.a. and maturing on 16 January 2032. An amount equal to the net proceeds from the issuance of the Bonds will be used to finance and/or refinance a portfolio of eligible assets in accordance with the VGP Sustainable Finance Framework and as such will be reported in the allocation report 2026 (to be published early 2027).
Sustainable Finance Framework
Sustainable Finance is considered one of the main enabling levers of VGP's financing plan. To reinforce the link between the Group's financial and sustainable strategy, VGP issued a Green Finance Framework in 2021. The framework was then updated in March 20251.
S&P has issued a Second Party Opinion (SPO) confirming the solidity of the Sustainable Finance Framework, attesting its alignment with the ICMA and LMA principles. The agency has assigned a "Light Green" rating.2
The framework covers the following five categories of Eligible Projects contributing to several Sustainable Development Goals:
The Sustainable Finance Framework is available on VGP website: vgp-sustainable-finance-framework.pdf
The S&P Second Party Opinion (SPO) as issued over the 2025 allocation report is available on the VGP website and can be found under the Debt section on the VGP Investors website.
EU Taxonomy Fact sheet
These Green Bonds support and strengthen the implementation of VGP's sustainability strategy focused on Energy Transition and Circular Economy, pursuing the climate change mitigation environmental objective as referred to in Article 9 of Regulation (EU) 2020/852.
VGP has taken into account the technical screening criteria ("TSC") for substantial contribution to the six environmental objectives of the EU Commission stemming from the Delegated Acts of the EU Taxonomy Regulation to draft the eligibility criteria for Eligible Green Projects defined below when applicable. Furthermore, VGP commits to providing in each allocation reporting the share of the amount equivalent to the net proceeds that have been allocated to projects fully aligned with the EU Taxonomy Regulation (including the TSC for substantial contribution, the Do No Significant Harm ("DNSH") criteria and the Minimum Social Safeguards ("MSS").
EU Taxonomy Tables
Please refer to separate excel sheets available on the VGP Investors website1 for the detailed allocation of the proceeds for each group of projects in accordance with EU Taxonomy.
Risk Management
Regarding VGP's risk management strategy for its projects, it is deeply embedded in the compa-ny's business processes through its Risk Management and internal controls system.
The risk management and control systems have been set up to achieve the following objectives:
achievement of operational goals and strategy;
operational excellence;
reliability of and timely financial reporting, and;
compliance with applicable laws and regulations.
Please note that the comprehensive list of the material risks the Group faces and the related mitigation measures are included in:
the 2024 Annual Report2
the 2025 Annual Report available upon publication on the VGP IR website3, and
in the most recent Information Memorandum4
Allocation tables excel sheet
VGP_NV_AR_2024_en_print.indb
Not yet published on the date of the publication of this allocation report
VGP-Information-Memorandum-14012026.pdf
02
Allocation Reporting
Overview
There is in total € 2.166 billion of bond issuance considered in this report spread over 5 bonds - see sustainable bonds summary section
In total € 2.406 billion of eligible proceeds have been allocated to the bonds, each of them achieving individually an allocation of >100% of the amount outstanding as of 31/12/2025:
# | Original Amount (€) | Amount outstanding (€) as of 31.12. 2025 | Total proceeds allocated (€) |
1 | 190,000,000 | 190,000,000 | 211,562,685 |
2 | 600,000,000 | 579,900,000 | 643,145,370 |
3 | 500,000,000 | 320,100,000 | 395,695,828 |
4 | 500,000,000 | 500,000,000 | 606,424,034 |
5 | 576,000,000 | 576,000,000 | 668,744,652 |
2,166,000,000 | 2,525,572,569 |
These proceeds have been allocated to the five categories as identified in the Sustainable Finance Framework 2025. The aforementioned allocation is split along these five categories in the following way:
In respect of EU Taxonomy have all bonds been allocated to at least 100% of the net proceeds to EU Taxonomy aligned projects:
Use of proceeds category (€) | 1 | 2 | 3 | 4 | 5 |
New Construction - 7.1 | - | 176,389,808 | 52,666,368 | 327,782,216 | 579,968,174 |
In Use - 7.7 | 211,562,685 | 466,755,562 | 342,942,652 | 275,472,206 | 67,206,899 |
Total EU Taxonomy aligned | 211,562,685 | 643,145,370 | 395,609,020 | 603,254,422 | 647,175,074 |
Non EU Taxonomy aligned | - | - | 86,808 | 3,169,612 | 21,569,579 |
Total | 211,562,685 | 643,145,370 | 395,695,828 | 606,424,034 | 668,744,652 |
In respect of the overall capital expenditure, 95% of the projects under construction as of Dec 2025, are aligned to be verified for EU Taxonomy New Construction - 7.1. This means these projects comply with the previous land use, biodiversity DNSH, and materials circularity principles, as well as the climate risk mitigation requirements embedded in the EU Taxonomy New Construction requirements.
In respect of the type of expenditure allocated to the various bonds. The proceeds have contributed to finance the Group EU taxonomy aligned and eligible capital and operating expenditures. Please see the table below for details.
EU Taxonomy alignment - Type of expenditure in reporting year | 1 | 2 | 3 | 4 | 5 |
Total aligned Capex expenditure this reporting year financed through this bond issue (€) | 425,395 | 2,010,750 | 1,332,272 | 7,377,465 | 404,706,255 |
Total aligned Capex expenditure this reporting year (€) | 622,662,204 | 622,662,204 | 622,662,204 | 622,662,204 | 622,662,204 |
% of aligned amount financed through the Bond out of the total aligned amount | 0% | 0% | 0% | 1% | 65% |
Evidently, the bond issued in March 2025 contributed most to financing of the Capital Expenditure in the course of 2025 (65%). The remainder of the bonds has been allocated to assets which were realized prior to 2025 and labelled as 'refinancing':
Use of proceeds category (€) | 1 | 2 | 3 | 4 | 5 |
Renewable Energy | - | 11,372,196 | 37,656,502 | 60,127,981 | 68,554,030 |
Energy Efficiency | - | 3,874,047 | 693,780 | 2 835,995 | 6,187,246 |
Sustainable Water and Waste Management | 81,648 | 1,766,310 | 200,466 | 661,608 | 442,743 |
Sustainable Buildings | 211,481,038 | 626,097,034 | 356,787,426 | 542,727,275 | 593,294,008 |
Clean Transportation | - | 35,783 | 357,654 | 71,175 | 266,626 |
Total | 211,562,685 | 643,145,370 | 395,695,828 | 606,424,034 | 668,744,652 |
Total portfolio - Financing vs Refinancing (€) | 1 | 2 | 3 | 4 | 5 |
Financing | 425,395 | 2,010,750 | 1,332,272 | 7,377,465 | 404,706,255 |
Refinancing | 211,137,290 | 640,380,062 | 356,707,055 | 550,235,097 | 232,656,396 |
Total | 211,562,685 | 642,390,812 | 358,039,326 | 557,612,562 | 637,362,651 |