Verizon Allocates $1B from Fourth Green Bond Issuance

Verizon published its Green Bond Impact Report, which details the use of the nearly $1 billion generated by its fourth green bond offering in March 2022.

Verizon made history in February 2019 as the first American telecommunications company to issue a green bond. Its issuance of four green bonds continues to set the standard for the industry.
Verizon devoted the entirety of the net proceeds from its fourth green bond to Virtual Power Purchase Agreements (VPPAs). The VPPAs cover 850 megawatts (MW) of renewable energy production in seven states. Approximately 71% is derived from wind energy and 29% from solar energy.

The full allocation consists of two new long-term Virtual Power Purchase Agreements (VPPAs) with Apex Clean Energy for nearly 300 megawatts (MW) of renewable energy. These agreements include a wind project with a capacity of up to 80 MW in the ISO New England market, which is anticipated to become operational by the end of 2024, and another wind project with a capacity of up to 200 MW in the Midcontinent Independent System Operator (MISO) market, which is anticipated to become operational by the middle of 2024.

Verizon has signed 26 Virtual Power Purchase Agreements (VPPAs) totalling nearly 3.3 gigawatts (GW) of renewable energy capacity since 2019. In addition, seven renewable energy facilities related to Verizon’s VPPAs are operational, with a total capacity of over 800 MW.

Citizen Verizon’s strategy for conducting business in a way that is good for the environment, the economy, and society is reflected in Verizon’s portfolio of VPPAs.

“As one of the largest corporate green bond issuers in the U.S. and as a leader in green finance and diversity in the capital markets with our Green Financing Framework, we are proud that our actions are contributing to greener power grids across the nation,” said Matt Ellis, executive vice president and chief financial officer at Verizon. “As a result of our $4 billion in green bonds, we are on track to exceed our target to source or generate renewable energy equivalent to 50 per cent of our total annual electricity consumption by 2025, and we have set a new target to source renewable energy equivalent to 100 per cent of our annual electricity usage by 2030.”

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