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Climate change

Climate change is one of the most pressing challenges of our time

Science informed the Paris Agreement goal to limit global warming to 1.5°C as our best chance to avoid the worst and irreparable impacts of climate change. In 2024, global temperatures crossed that threshold for the first time – a single year above 1.5°C does not mean the Paris Agreement’s goals are unattainable but serves as a critical warning. 

Global warming projections over this century state that with the implementation of current policies the world can face 2.8°C of warming above pre-industrial era.

The challenge is immense, but so is our opportunity. The power sector holds the key – accelerating renewable energy and electrifying transport, buildings, and industry. Progress is happening faster than ever, but we must act boldly and move even faster to avoid a permanent overshoot of 1.5°C.

Together, we can power a sustainable future. The time to act is now.

Accelerating the energy transition
Renewable energy accounted for only around 20% of EDP’s generation portfolio in 2005 and increased to 90% in 2025, an achievement backed by strong investment in renewables and major progress in phasing out coal.
These efforts reflect EDP’s firm commitment to the energy transition and to driving a cleaner, more sustainable energy future. At the heart of this strategy sits a global investment plan focused on boosting long-term sustainable growth by scaling renewables and strengthening electricity networks, reinforcing EDP’s decarbonisation path toward net zero by 2040.

Our commitments to the energy transition

>90%

renewable generation in 2026-2028

100%

Growth CAPEX in Renewables & Networks in 2026-2028

Net Zero

by 20240

Net Zero by 2040

Our decarbonization path towards Net Zero, building on past progress and driving further change

EDP is reinforcing its path for a more decarbonized portfolio towards Net Zero, by investing in renewables & Networks and aligning objectives with suppliers, while deploying smart and green client solutions.

Science based targets initiative

EDP’s mid-term (2030) and long-term (2040) emission reduction targets are validated by the Science-Based Target initiative (SBTi) under the Net Zero Standard.

Accelerating our climate transition

A strategy aligned with the need to decarbonize the sector

Reducing GHG emissions is crucial to protect and restore planetary health. EDP has been doing it by accelerating renewable energy and decarbonizing operations, and will continue to do so.

Built upon the commitment to become Net Zero by 2040, and building on a comprehensive internal work by the Net-Zero Acceleration Task Force, EDP put in place its Climate Transition Plan in 2023, marking a significant step towards a sustainable future.

Aligned with the Task Force on Climate-Related Financial Disclosures (TCFD), CDP (Technical Note on Reporting Transition Plans), the UN's High Level Expert Group recommendations and following other best practices standards, the Plan sets the baseline of EDP's strategy for this decade under a broader pathway for a net-zero goal, identifies priority actions, and points out main challenges. 

Addressing emissions sources through critical levers and actions, the Climate Transition Plan lays out the mitigation efforts to ensure EDP’s strategy and business model are compatible with the transition to a sustainable economy aligned with 1.5ºC. 

Acting beyond mitigation in the value chain

EDP’s Net Zero commitment approved by SBTi requires compensation of residual emissions by 2040 in line with the Net Zero Standard. By 2040 onwards EDP will need to offset residual emissions which cannot be mitigated, through carbon removals. 

While international and national rules are not completely stabilised and credibility standards are taking shape, EDP is assessing the business strategy for offsetting residual emissions in line with the SBTi Net Zero Standard, to ensure that the use of carbon credits is done in compliance with high-integrity and additionality requirements.

Global partnerships and dialogues to advance action

EDP actively contributes and supports global partners committed to support the business community to respond to climate change and progress on the energy transition. 

The reality of climate change is clear - global temperatures climb higher, extreme weather events challenge infrastructure, and new risks redefine the energy sector. Along with mitigation, climate adaptation is key to safeguard business continuity and ensure the resilience of our operations, supporting the energy transition.

At EDP, adaptation is not optional; it’s fundamental to our business, to our people, and to the communities we impact. 

Adapting today to secure tomorrow

Climate Adaptation and Resilience Report

EDP’s Climate Adaptation and Resilience Report 2025 showcases our global commitment to a sustainable, climate-ready energy future. Discover how innovation, science, and partnerships are building resilient infrastructures and protecting communities against climate change.

Adaptation is embedded in our strategy

Strengthening our ability to anticipate risks, protect assets, and deliver a safe and reliable service to customers
  • Diversifying technologies and geographies
  • Enhancing energy flexibility
  • Promoting hybridization
  • Developing grids automation
  • Partnering to improve climate modelling
  • Invest in climate-resilient infrastructures
  • Adequate teams and processes
  • Improve energy management
  • Promote collaboration among stakeholders

 

EDP remains committed to assessing climate risks and assuring that the most exposed infrastructures are safeguarded through comprehensive climate adaptation plans. To support these plans, a building blocks’ structure will frame a global adaptation plan, and the initiatives in place for a time-response approach.

EDP’s commitment by 2028 is clear: to have climate adaptation plans for all infrastructure exposed to material climate risk. This commitment is critical to maintain operational resilience, minimizing disruptions, and ensuring long-term sustainability in an increasingly volatile climate.

At EDP, we have the right tools for fighting climate change

Embedding climate adaptation into daily operations requires internal processes to promote operational efficiency, along with innovative, forward-looking solutions shaped by both experience and continuous exploration. What we learned in the past, and what we continue to learn, place us on the right track for what we can do in the future.

Examples of adaptation opportunities:

Flood-resilient infrastructures

The Aldaia substation in Valencia remained operational during severe flooding, thanks to climate risk-informed design.

Extreme temperature management

Upgrades to wind turbines and thermal management systems reduce shutdowns and improve reliability.

Water scarcity solutions

Innovative technologies like hydroscrews and turbine upgrades improve energy generation even during dry seasons.

Material upgrades

Fibreglass poles and polymeric crossarms in Brazil’s distribution networks enhance durability and reduce maintenance.

Nature-based solutions

Partnerships with ForestWise and reforestation projects in Portugal and Spain reduce wildfire and landslide risks.

Digitalisation and AI

Tools like the Water Board platform and Protheus decision support system use AI and advanced analytics to optimise weather forecasts, planning and resilience.

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