TenneT’s capital investments are funded primarily through debt, with TenneT being the largest EU Green Debt issuer, and by equity in order to maintain a strong credit rating. TenneT’s equity need for this decade is rising, and TenneT has noted the Dutch government’s preference for funding TenneT’s Dutch activities (currently estimated at approx. EUR 10 bn) while seeking a structural solution for the equity need in respect of TenneT’s German activities, currently estimated at approx. EUR 15 bn.

TenneT currently operates the Dutch high voltage grid as well as part of the German high voltage grid, but acknowledges that both the Dutch and German government prefer to fund, control and own their national electricity grid. Motivated by their climate ambitions and geopolitical developments, both governments are heavily focussing on infrastructure development for the energy transition.

In light of this, and TenneT’s assessment of possible scenarios, TenneT intends to engage in discussions with the German government, to explore the possibility of a full sale of TenneT’s German activities on acceptable terms. Such a transaction would enable the creation of two strong national players who would continue to cooperate in driving the energy transition.

TenneT acknowledges that its sole shareholder the Dutch government has not yet taken any final decision, and we will take the next steps in close collaboration with the government. TenneT’s focus in the upcoming discussions will continue to be on ensuring security of supply, and the interests of its employees, customers, suppliers, financiers and other stakeholders.