Bank of China's Shanxi branch acted as lead underwriter for a 500 million yuan ($68.5 million), five-year carbon-neutral green medium-term note issued by Jinneng Holding Power Group Co., Ltd., marking Shanxi's first carbon-neutral green bond of 2026, the bank said on September 17.

Proceeds from the bond will fund clean energy power generation. The project is expected to cut carbon dioxide emissions by 1.58 million tonnes per annum (Mtpa) compared with a coal-fired plant generating the same on-grid electricity, save 620,900 tonnes of standard coal per year, and reduce soot by 26.68 tonnes, sulfur dioxide by 158.38 tonnes and nitrogen oxides by 17.42 tonnes annually.

Jinneng Holding Power Group operates across both power generation and distribution, handling distribution grid connection and sales as well as construction and operations. As the mainstay of Shanxi's power supply, the group is accelerating its shift from conventional thermal power to a multi-energy complementary system integrating wind, solar, thermal and storage.

After identifying the company's financing needs during the operation phase of its wind and solar projects, Bank of China's Shanxi branch set up a working group to coordinate with the company, assess the market and discuss project plans, securing financing at a relatively low cost.

In recent years, Bank of China's Shanxi branch has closely aligned with the province's energy revolution goals, strengthening green financial services and internal-external coordination, with its green loan scale and green bond underwriting business ranking among the top in the industry.