40. Other financial fixed assets

In the consolidated financial statements, expected credit losses from loans and receivables involving consolidated associates are eliminated. This also applies to loans and receivables involving the consolidated associate with regard to the company’s financial statements. When valuing the associate according to the changes in equity method, the associate is regarded as a collection of assets and liabilities rather than an indivisible asset. The effect of expected credit losses on loans and receivables involving associates is also eliminated.

The conditions in the current financing arrangements stipulate that no contractual or structural subordination of existing loans in relation to new external financing may occur. To avoid 'structural subordination', external financing is contracted by Enexis Holding N.V. The necessary funds for the business operations or investments in the energy grids are lent to Enexis Netbeheer B.V. by Enexis Holding N.V. as a back-to-back loan under the same conditions.

For the relevant conditions, see note 30 ‘Financing policy and risks associated with financial instruments’.

Loans to group companies increased by €502 million. This increase was mainly caused by Enexis Holding N.V. lending the amount of the green bond with a nominal value of €500 million issued in 2024 to Enexis Netbeheer B.V. In addition, in 2024, Mijnwater Warmte Infra B.V. made an additional draw of €7 million under the current account facility with Enexis Holding N.V. 

The loans to associates pertain to drawdowns by EDSN B.V. under the current account facility with Enexis Holding N.V. 

The fair value of the loans to group companies (including the current portion) amounted to €3,305 million at year-end 2024 (2023: €2,734 million).

Changes in other financial fixed assets, including the current portion, are as follows: