Norfolk Southern Corporation released a report on projects funded by the $500 million in green bonds issued by the company in 2021. The report provides a comprehensive overview of the funded projects, as well as expected environmental and social benefits.
Norfolk Southern was the first Class I railroad in North America to issue green bonds. The company allocated $496 million in net proceeds from its green bonds to fund eligible projects, as defined under Norfolk Southern’s Green Financing Framework. Projects include:
- $275.6 million to fund DC to AC locomotive power conversions: Modernizing an existing locomotive avoids approximately 200 tons of total carbon emissions versus producing a new AC locomotive. This also improves fuel efficiency up to 25%.
- $99.5 million in intermodal facility improvements: Will further support efforts to shift millions of tons of freight onto the railroad to decongest our nation’s highways.
- $10.9 million to further locomotive fuel management initiatives: This directly supports Norfolk Southern’s science-based target to reduce carbon emissions intensity 42% by 2034.
- $3.4 million to build upon the company’s nature-based solutions that restore and protect vital stream and wetland ecosystems.