Masdar Reports 38% Growth in Clean Power Generation, Reaching 40.2 TWh in 2025

UAE-based renewable energy developer Masdar increased clean electricity generation by 38% in 2025, producing 40.2 terawatt-hours (TWh) from its operating projects compared with 29.2 TWh in the previous year. According to its 13th Annual Sustainability Report, released on 23 September 2026, the company's renewable electricity generation helped avoid an estimated 19.5 million tonnes of carbon dioxide equivalent (CO2e) emissions during the year.

The report also shows significant expansion in Masdar's global renewable energy portfolio, with capacity in operation or under construction rising approximately 40% to 45.8 gigawatts (GW). Including secured projects and developments approaching final investment approval, the company's total portfolio reached 66.5 GW by the end of 2025. The findings reflect Masdar's continued international expansion as it works towards its target of reaching 100 GW of renewable energy capacity by 2030.

 

Clean Electricity Generation Reaches 40.2 TWh

 

Masdar's operating projects generated an additional 11 TWh of clean electricity in 2025 compared with the previous year. The company estimates that its renewable power generation avoided 19.5 million tonnes of CO2e by displacing electricity that would otherwise have been supplied by more carbon-intensive sources. Avoided emissions represent an estimated benefit relative to alternative generation and should be distinguished from reductions in Masdar's own operational greenhouse gas inventory.

The increase reflects both the performance of existing projects and changes in the company's global operating portfolio. Masdar included Saeta Yield and TERNA ENERGY within its sustainability reporting boundary for the first time in 2025, expanding its coverage of wind and solar assets across Spain, Portugal, and Southeastern and Central Europe. This change is important when interpreting year-on-year performance, as part of the reported growth reflects the inclusion of additional assets rather than increased output solely from previously reported projects.

 

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Global Renewable Energy Portfolio Expands to 66.5 GW

 

Masdar's renewable energy capacity in operation or under construction increased from approximately 32 GW to 45.8 GW during 2025. A further 20.7 GW of secured projects and developments approaching final investment approval brought its total portfolio to 66.5 GW. The distinction between operating, construction-stage and secured capacity is important, as the total portfolio figure includes projects that have not yet begun generating electricity.

Several developments contributed to the company's international expansion. These included the start of power generation at the 476 MW Baltic Eagle offshore wind farm in Germany, the inauguration of the 250 MW Nur Bukhara solar project in Uzbekistan and the securing of financing for the 2 GW Al Sadawi solar project in Saudi Arabia. Mohamed Jameel Al Ramahi, Chief Executive Officer of Masdar, said the company's priority was "not simply on scale, but on building a stronger, more competitive global energy business."

 

Solar and Battery Storage Project Targets Round-the-Clock Clean Power

 

The report highlights progress on Masdar's large-scale renewable energy and battery storage development in Abu Dhabi. The project combines a planned 5.2 GW solar photovoltaic facility with a 19 gigawatt-hour (GWh) battery energy storage system, designed to deliver 1 GW of continuous clean electricity. Construction commenced during 2025 as Masdar sought to demonstrate how solar generation and storage could provide a more predictable electricity supply.

The project is intended to address a major challenge associated with variable renewable energy: maintaining reliable electricity delivery when solar or wind generation changes. Battery storage can absorb electricity during periods of high renewable output and release it when generation declines, improving the ability of renewable energy projects to meet demand. However, the Abu Dhabi development remains a project under construction, and its planned continuous power delivery has not yet been demonstrated through full commercial operation.

 

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US$1 Billion Green Bond Attracts Strong Investor Demand

 

Masdar continued to expand its sustainable financing activities during 2025, issuing a US$1 billion green bond in May following an update to its Green Finance Framework in March. The issuance attracted investor orders totalling US$6.6 billion, making it 6.6 times oversubscribed, with international investors purchasing approximately 85% of the bonds. The transaction increased Masdar's total outstanding green bonds to US$2.75 billion.

The company also maintained investment-grade credit ratings of AA- from S&P, A1 from Moody's and AA- from Fitch. Moody's reaffirmed its SQS1 (Excellent) assessment of Masdar's updated Green Finance Framework, while the company's Sustainable Fitch ESG score increased from 71 to 74 out of 100. Together, these developments indicate continued access to international capital markets as Masdar finances renewable energy projects and expands its portfolio.

 

Biodiversity and Social Initiatives Support Sustainability Strategy

 

Beyond renewable energy generation, Masdar reported additional environmental and social initiatives across its operations. The company conducted 23 biodiversity surveys, maintained three conservation partnerships and used its Integrated Biodiversity Assessment Tool to assess environmental risks across its portfolio. At Uzbekistan's Zarafshan Wind Farm, AI-powered bird detection technology recorded no fatalities among the target species monitored, according to the company.

Masdar also delivered more than 100 community initiatives across eight countries during 2025. Women represented 30.2% of its workforce and 20% of management positions, while its Emiratization rate reached approximately 46%, excluding international operations. Employees across the company's operations received 250,000 hours of health, safety and environmental training, reflecting wider efforts to incorporate social and environmental considerations into its expanding renewable energy business.

Masdar's 2025 results demonstrate the scale of its global renewable energy expansion and the growing role of international financing in supporting large clean energy portfolios. Higher electricity generation and the addition of new projects have strengthened its operating platform, while investments in battery storage could improve the reliability of renewable electricity supply.

As the company progresses towards its 100 GW target for 2030, the next measure of performance will be how effectively its development pipeline translates into operational capacity, verified environmental benefits and sustainable long-term returns. The distinction between installed capacity, future projects and actual electricity generation will remain central to evaluating that progress.

 

Source: Masdar