REDWOOD
CITY, Calif., Dec. 20,
2023 /PRNewswire/ -- Equinix, Inc. (Nasdaq:
EQIX), the world's digital infrastructure company®,
today announced the full allocation of $4.9
billion in investment-grade green bonds to advance its
progress toward its near-term science-based target to become
climate neutral by 2030 and improve the operational eco-efficiency
of its business. Since 2020, six bond offerings have been issued,
and as of the end of June 2023, all
bonds have been fully allocated.
Over the last five years, the bond offerings supported 172 green
building projects across 105 sites, 33 energy efficiency projects,
and two Power Purchase Agreement (PPA) projects. The PPAs support
225 megawatts of renewable energy capacity which are expected to
mitigate or avoid 383,300 metric tons of CO2e annually—the
equivalent to emissions from more than 85,296 gasoline-powered
passenger vehicles driven for one year.
Equinix has developed a Green Finance Framework based
on the Green Bond Principles and Green Loan Principles, a
set of guidelines that promote transparency and integrity in, and
advance the standardization of, green debt disclosures. The
Framework aims to increase Equinix's focus on protecting the
environment and addressing global climate change through greenhouse
gas emissions reductions, increasing resource efficiency, and
driving corporate transparency and accountability.
In line with the International Capital Market Association's
Green Bond Principles (GBP) 2018 and the Loan Syndications and
Trading Association's Green Loan Principles (GLP) 2020, Equinix is
allocating 100% of the Green Financing net proceeds to a portfolio
of Eligible Green Projects which showcase how Equinix is building
and operating sustainably, including Green Buildings; Renewable
Energy; Energy Efficiency; Sustainable Water and Wastewater
Management; Waste Management; and Clean Transportation.
"Equinix considers green bonds a valuable tool to raise capital
and finance large projects that can increase the sustainability of
our business. Our green bonds demonstrate Equinix's continued
commitment to design, build and deliver the most reliable, secure
and sustainable data center and digital infrastructure possible in
order to benefit our customers, the communities in which we
operate, our investors, and the planet," said Katrina Rymill, SVP Corporate Finance &
Sustainability, Equinix. "Through the allocation of our green
bonds, we continue to be able to directly align our financing needs
with our sustainability strategy."
Equinix publishes its Green Bond Allocation and Impact Reports
annually to provide transparency on progress. The 2023
report can be accessed via Equinix's Annual Sustainability
Report.
Highlights/Key Facts
- In 2021, Equinix set ambitious climate targets to address its
proportional share of greenhouse gas (GHG) emissions. Equinix is
the first data center company to commit to being climate neutral
globally by 2030, aligned to a science-based target (SBT) for
emissions reductions across its global operations and supply chain.
As reported in its 2022 Sustainability Report, Equinix reached 96%
renewable energy coverage across its global portfolio, achieved an
operational annual average PUE of 1.46, and reduced its Scope 1 and
2 carbon footprint by 23% since 2019. The company continues to
progress on various decarbonization and resource efficiency
efforts.
- Use of proceeds from green bonds issued by Equinix have been
allocated toward initiatives including:
- Equinix's Co-Innovation Facility (CIF) in Ashburn, VA, which provides a platform for
trialing and showcasing advanced power, cooling and control
methodologies—such as fuel cells and liquid cooling—for use in its
future data centers. The facility, located in Equinix's DC15
International Business Exchange™ (IBX®) data center, allows the
company to work with key innovative suppliers to develop prototype
approaches, such as direct-to-chip liquid cooling. Last week the
company announced plans to expand support for advanced liquid
cooling technologies—such as direct-to-chip—to more than 100 of its
IBX data centers in more than 45 metros around the world.
- Equinix's MU4 IBX data center, located in Aschheim,
Germany, is designed for optimal
efficiency and includes technologies for hybrid cooling and an
Aquifer Thermal Energy Storage (ATES) system for efficient storage
and recovery of thermal energy. The building also has a green
façade and partially planted roof aimed at enhancing biodiversity
while acting as additional natural insulation and cooling. Equinix
is also exploring options to share the site's waste heat with
external consumers.
- Entering PPAs with developers to help build new renewable
energy resources on the grids where Equinix operates, can enable
the company to grow its business responsibly. This includes
projects like the Rush Springs wind farm, a 125-megawatt wind farm
in Grady and Stephens Counties,
OK, where Equinix made a 15-year commitment. The projects are
expected to deliver average annual avoidance of more than 218,600
metric tons of CO2e relative to the energy grid in the region.
- The redesign of the chilled water production system at LD5,
located in Slough near
London. The new system enables the
site to harness low outside temperatures during colder months and
lowers energy consumption. This project has the potential to result
in an average annual avoidance of more than 2,600 metric tons of
carbon dioxide equivalent (MTCO2e) due to reduced electricity
demand.
- For the first time, Equinix achieved the highest-ranking score
of the CDP's prestigious 2022 "Climate Change A List," a leading
environmental rating system focused on climate-related transparency
and action, recognizing the company's transparency and performance
around addressing climate risks. Less than 2% of global reporting
companies were named to the A-list in 2022, further demonstrating
Equinix's leadership position. The company has also been recognized
by the U.S. EPA every year since 2015 on its list of Top 100 Green
Power Partners, which highlights corporate contributions to helping
advance the development of the nation's green power market, and
Equinix's commitment to reach 100% clean and renewable energy
across its portfolio.
- Equinix has continued to advance its green initiatives through
its participation in the Climate Neutral Data Centre Operator Pact
and Self-Regulatory Initiative. The Pact marks the first time the
data center industry has come together to solidify its commitment
to ensure that European data centers are carbon neutral by 2030,
among other environmental priorities.
Additional Resources
- Envisioning a More Sustainable Future, Step by Step [blog]
- Equinix Green Finance Framework 2023 Green Bond Allocation and
Impact Report
- 2022 Green Bond Allocation and Impact Report
- 2021 Green Bond Allocation and Impact Report
About Equinix
Equinix (Nasdaq: EQIX) is the world's digital infrastructure
company®. Digital leaders harness Equinix's trusted
platform to bring together and interconnect foundational
infrastructure at software speed. Equinix enables organizations to
access all the right places, partners and possibilities to scale
with agility, speed the launch of digital services, deliver
world-class experiences and multiply their value, while supporting
their sustainability goals.
Forward-Looking Statements
This press release
contains forward-looking statements that involve risks and
uncertainties. Actual results may differ materially from
expectations discussed in such forward-looking statements. Factors
that might cause such differences include, but are not limited to,
risks to our business and operating results related to the current
inflationary environment; foreign currency exchange rate
fluctuations; increased costs to procure power and the general
volatility in the global energy market; the challenges of
acquiring, operating and constructing IBX® and xScale® data centers
and developing, deploying and delivering Equinix products and
solutions; unanticipated costs or difficulties relating to the
integration of companies we have acquired or will acquire into
Equinix; a failure to receive significant revenues from customers
in recently built out or acquired data centers; failure to complete
any financing arrangements contemplated from time to time;
competition from existing and new competitors; the ability to
generate sufficient cash flow or otherwise obtain funds to repay
new or outstanding indebtedness; the loss or decline in business
from our key customers; risks related to our taxation as a REIT and
other risks described from time to time in Equinix filings with the
Securities and Exchange Commission. In particular, see recent and
upcoming Equinix quarterly and annual reports filed with the
Securities and Exchange Commission, copies of which are available
upon request from Equinix. Equinix does not assume any obligation
to update the forward-looking information contained in this press
release.
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SOURCE Equinix, Inc.