Triodos Groenfonds has been investing in government-approved green projects for more than 25 years as part of the Dutch green tax scheme. Under this scheme, innovative green projects are eligible for an interest rate reduction, and Dutch investors can benefit from a tax advantage. However, the green scheme will be significantly scaled back on 1 January 2027 and completely abolished on 1 January 2028.
In anticipation of the end of the green tax scheme, Triodos Groenfonds will relinquish its official green status on 1 April 2026. This means that from that moment on, the portfolio can be composed in a broader and more innovative way. Projects will no longer be selected on the basis of government criteria, but on their actual sustainable impact and contribution to the energy transition. This will create more scope to invest in segments that fall outside the green scheme but are urgently needed to accelerate the energy transition in the Netherlands. Examples include investments in energy storage, circularity and energy-efficient construction. Financing will be provided on market terms, which will increase the potential for returns within the existing risk profile.
The government's fiscal step backwards therefore creates room to take a step forwards. And that step is necessary, because our society is at a standstill in many areas. The energy system in the Netherlands is barely able to cope with the rapid transition to clean energy. The construction of new homes is stalling due to the – rightly – strict nitrogen standards. The current system is also stalling in agriculture. The consequences are significant for residents, nature and the climate. To break this deadlock, a change is needed. This can only be achieved by investing in both existing and new solutions. Think of battery storage, heat networks, hydrogen projects and smart hubs, but also the use of natural building materials, organic farming and circular business models.
With this change, Triodos Groenfonds remains a leader in impact investing and offers investors the opportunity to invest in solutions that help our society move forward. The renewed positioning fits seamlessly with the current challenges surrounding energy, construction and the circular economy, and strengthens the fund's role as a driver of sustainable innovation.
With our accumulated expertise, the trust of thousands of investors and the new scope for innovation, Triodos Groenfonds is uniquely positioned to contribute to the challenges we face together in the coming years.