Sustainable Finance Outlook Highlights

In the past 10 months of 2025, the sustainable finance market recorded USD 1.85tn in new transactions, a marginal 2% YOY decline. Energy storage is a significant focus in the sustainable bond market. Venture capital investments experienced a policy driven surge and are facing significant decline following an exit from a key market player and decreasing prices of raw materials, shifting interest away from recycling.

Renewable energy capex hits a new record. Competitiveness and security are the main arguments for fast transition. Europe will emulate China’s strategy and change whole energy system instead of the individual parts.

Europe’s Battery Energy Storage Systems (BESS) market is growing rapidly driven by renewable integration and volatility in power prices. More than 550GWh of utility-scale BESS is expected to be installed in the next ten years in Europe, requiring more than EUR 55bn in turnkey investments. Rapid deployment of BESS and sustainable storage solutions are essential to strengthen Europe’s energy reliability, affordability, and independence.

Britain’s battery storage sector is accelerating, fueled by net-zero targets, falling costs, and robust revenue models. Financial closure of Statera’s 680MW Carrington project signals investor confidence. With capacity expected to triple by 2030 and a strong pipeline of large projects, BESS is pivotal for grid stability and a prime long-term investment opportunity.

Europe’s energy transition requires significant investment and strategic use of technologies to achieve net zero emissions affordably by 2050. The E.ON Energy Playbook proposes a cost-efficient approach emphasizing electrification, flexibility, and market mechanisms to reduce system costs and investment peaks.

NOP Agrowind operates an onshore wind farm with 26 turbines, producing electricity for approximately 160,000 households. Since 2017, it has been one of the most productive wind parks in the Netherlands. To optimize grid utilization and mitigate imbalance risks, NOP Agrowind is integrating a 49 MW / 196 MWh co-located BESS. This project is notable for combining wind and storage under a single project financing structure, a first of its scale in the country.

Lina Apsheva, a sustainability communications officer at SEB, talks to specialists in the field to help you navigate the sustainable finance market. Lina and her guests discuss recent developments and forecasts for the future, and dive into specific themes within sustainable finance.

SEB flagship report Sustainable Finance Outlook provides insights and market intelligence for navigating the sustainability transition. The report includes regular updates on energy transition investment, sustainable finance markets and regulations as well as topical research.