Financial position
Development in debt position
The development in the net debt position during 2022 is shown below.
Development in net debt position
The net debt position rose by €806 million to €3,293 million at year-end 2022 (31 December 2021: €2,487 million). This rise is a direct result of much higher investments in 2022 in relation to the cash flow from operating activities.
Net debt position
Net debt position
€ million | 31 December 2022 | 31 December 2021 | ||
Long-term interest-bearing debt | 3,000 | 2,630 | ||
Short-term interest-bearing debt | 426 | 481 | ||
Lease liabilities | 123 | 123 | ||
Gross debt | 3,549 | 3,234 | ||
Cash and cash equivalents | 205 | 624 | ||
Total cash and cash equivalents and investments | 205 | 624 | ||
Net debt in accordance with the annual financial statements (IFRS) | 3,344 | 2,610 | ||
50% of the subordinated perpetual bond loan | 248 | 248 | ||
50% of the convertible shareholders loan | -299 | -299 | ||
Receiver / paid deposits | - | -72 | ||
Net debt on the basis of Alliander's financial policy | 3,293 | 2,4871 | ||
- 1 Amended due to change in definition.
Alliander has an EMTN programme worth €5,000 million. This was previously €3,000 million but was increased as of 15 July 2022. As at 31 December 2022, the carrying amount of the outstanding bonds was €2,090 million (nominal value €2,100 million). Alliander has two euro commercial paper (ECP) programmes totalling €1,500 million, which can be used to issue short-term debt instruments. In addition to the standard ECP programme there is also a separate programme to issue green ECP debt instruments. In the latter case, the funds obtained are used to finance assets that are further specified in the Green Finance Framework. At year-end 2022, €300 million in ECP loans were outstanding (2021: nil).
Interest-bearing debt
The repayment schedule for the interest-bearing debt as at year-end 2022 was as follows:
Repayment schedule for interest-bearing debt
The amounts scheduled for repayment in 2024, 2026, 2027, 2030 and 2032 mainly relate to bond loans. The other amounts relate to the repayment of shareholder loans and other loans.
Available green financing capacity
Alliander has arranged five green financing facilities since 2016, including four green bond loans. The proceeds of these financing facilities have been used to fund various assets that are defined in more detail in the Green Finance Framework of August 2022. (https://www.alliander.com/nl/green-finance-framework/). These assets and financing facilities are accounted for in separate reports (https://www.alliander.com/nl/investor-relations/financiering/groene-obligaties/). A summary referred to as the allocation table is part of these reports. This summary details the size and composition of Alliander N.V.’s green asset portfolio and green financing facilities.
The allocation table at year-end 2022 is included.
Allocation table: use of funds available from green financing facilities
€ million | Net carrying amount | Weighting factor | Weighted sum |
Renewable energy | 3.653 | 41% | 1.498 |
Smart meters | 504 | 100% | 504 |
Fibre optic network | 47 | 100% | 47 |
Total energy efficiency | 551 | 100% | 551 |
Sustainable buildings | 64 | 100% | 64 |
Total green asset portfolio | 2,113 |
€ million | Instrument (ISIN) | Date of issue | Maturity date | Principal sum |
Green bond loan | XS1400167133 | 22 | 22 | 300 |
Green bond loan | XS2014382845 | 24 | 24 | 300 |
Green, privately placed bond loan | XS2152901315 | 8 | 8 | 100 |
Green bond loan | XS2187525949 | 10 | 10 | 500 |
Green bond loan | XS2531420730 | 9 | 9 | 500 |
Total green financing | - | - | - | 1,700 |
The table shows that the net carrying amount of green assets at 31 December 2022 was €2,113 million. This represents an increase of €285 million since 31 December 2021. As a result, €413 million in green financing capacity was available as at year-end 2022. A new long-term green financing was arranged in 2022: a green bond for a nominal amount of €500 million.
The weighting factor for the renewable energy asset category as at year-end 2022 has been set at 41% (source: energieopwek.nl). This relates to the share of renewable energy generation in the total electricity production capacity in the Netherlands. Rather than using green financing for our entire electricity grid, we have decided to invest these funds solely in the part used to transmit green electricity.