Ericsson Establishes Green Financing Framework to Invest in Energy Efficient Technologies

Ericsson established a green framework to promote and enable financial investments in energy-efficient technologies such as 4G, 5G, and future 6G networks, as part of the vendor's wider push around sustainability.


  • The framework has been developed following current market best practices.
  • The framework has been verified by leading independent second-party opinion provider CICERO Shades of Green.
  • This framework is a concrete step in further embedding sustainability across the company.

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Ericsson Establishes Green Financing Framework to Invest in Energy Efficient Technologies

Ericsson enables communication service providers and enterprises to capture the full value of connectivity, and at the same time, the vendor is also trying to be environmentally sustainable, considering the technology it builds and develops across the world.

As part of the same, Ericsson has established a Green Financing Framework to enable the company to issue green bonds and other green financing instruments. The proceeds will be exclusively allocated to energy efficiency and renewable energy investments.

Also Read: Airtel Readies With Ericsson Solution for Delivering 5G Offerings to Customers

Based on ICMA Green Bond Principles

The framework was created following the ICMA Green Bond Principles of 2021. CICERO Shades of Green, a major global provider of evaluations relating to green and sustainable financing with its headquarters in Norway, served as the second-party opinion provider.

Also ReadEricsson Ramps up Production in India to aid 5G Rollout, will Create 2000 Jobs in Pune

Carl Mellander, Ericsson's CFO, says: "This framework is part of our overall ambition in sustainable finance and complements our existing sustainability linked Revolving Credit Facility. Proceeds raised under the framework will include capital expenditures and R&D investments in enhanced portfolio energy performance in our existing 4G and 5G offerings as well as future 6G solutions. Extending our leadership in energy efficiency is a key priority for Ericsson and of strategic importance for our operator customers."

Also ReadTelstra Announces First 5G Data Call Using Ericsson Cloud RAN Technology

Heather Johnson, VP of Sustainability and Corporate Responsibility, says: "This framework is a concrete step in further embedding sustainability across the company, in this case strengthening our climate action and financial activities. Investments based on this framework will help drive the development and deployment of energy-efficient technology that support the Net Zero ambition not only in our own industry but enables the digital and green transition across industries and society."

With such an initiative, Ericsson wants to channel investments into developing energy-efficient technologies that support Net Zero ambition and enable digital economies to remain environmentally sustainable.

Reported By

Aparna, from a journalism background, closely follows the developments in the telecom Industry.

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