Second-Party Opinion Download

Sustainalytics is of the opinion that the Aquafin Green Finance Framework is credible and impactful and aligns with the four core components of the Green Bond Principles as well as the Green Loan Principles 2018. This assessment is based on the following:

USE OF PROCEEDS

The eligible category for the use of proceeds, Sustainable Water and Wastewater Management, is aligned with those recognized by the Green Bond Principles and the Green Loans Principles 2018. Sustainalytics considers that the eligible category will lead to positive environmental impacts and advance the UN Sustainable Development Goals, specifically SDG goal 6 (Clean water and sanitation), goal 7 (Affordable and clean energy), goal 11 (Sustainable cities and communities) and goal 14 (Life below water).

PROJECT EVALUATION/SELECTION

All projects carried out by Aquafin are assigned to it by the Flemish Government. These projects are proposed by the Flemish Environmental Agency. Projects are accounted for by the Green Finance Committee, which is responsible for managing eligible green assets and liabilities. The Committee meets at least annually to review and revise the list of eligible assets and liability as necessary. This process is aligned with market practice.

MANAGEMENT OF PROCEEDS

Aquafin has established a Green Finance Committee, which consists of its CFO, a member of its Finance/ Treasury Team, CSR Coordinator and head of the Environmental Department. This Committee will be responsible for the allocation of proceeds and will ensure that Aquafin’s Green Assets always exceeds or matches the amount of Green Liabilities. Unallocated proceeds will be held or invested by Aquafin in its treasury liquidity portfolio, in cash or other short term and liquid instruments or used to pay back outstanding debts. This is in line with market practice.

REPORTING

Aquafin intends to provide allocation and impact reporting. The reports will be made available on its website on, an annual basis, and will provide information on allocation as well as impact metrics such as - the types and amount of green finance instruments issued under the Framework, amount of unallocated proceeds, volume of wastewater treated, amount of sludge treated and disposed etc. Sustainalytics views Aquafin’s allocation and impact reporting as aligned with market practice.