Project Details
Project
Arçelik A.Ş. Green Financing Framework Second-Party Opinion (2021)
Client
Arçelik A.Ş.
Project Type
Green Bond/Loan
Industry Group
-
Use of Proceeds
-
Location
Türkiye
Evaluation Date
May 2021
Evaluation Summary
Sustainalytics is of the opinion that the Arçelik A.Ş. Green Financing Framework is credible and impactful and aligns with the four core components of the Green Bond Principles 2018 and the Green Loan Principles 2021. This assessment is based on the following:
USE OF PROCEEDS
The eligible categories for the use of proceeds1 are aligned with those recognized by the Green Bond Principles 2018 and the Green Loan Principles 2021. Sustainalytics considers that the eligible categories will lead to positive environmental impacts and advance the UN Sustainable Development Goals, specifically SDG 6, 7, 9, 11, and 12.
PROJECT EVALUATION / SELECTION
Arçelik’s internal process in evaluation and selecting projects is managed by the Green Financing Committee (the “GFC”). The GFC has the overall responsibility to oversee the evaluation and selection process against the criteria established in the Framework. Sustainalytics considers the project selection process in line with market practice.
MANAGEMENT OF PROCEEDS
Arçelik’s process for management of proceeds is overseen by the Treasury Department. The Company will establish a Sustainable Register to track the allocation of net proceeds from each Green Financing Instrument (“GFI”). Unallocated proceeds will be held in cash and short-term deposits, within Arçelik’s Treasury liquidity policy. This is in line with market practice.
REPORTING
Arçelik is committed to reporting on the allocation of proceeds on the Investor Relations section of corporate website on an annual basis until allocation has been fully completed. In addition, Arçelik is committed to reporting on relevant impact metrics. Sustainalytics views Arçelik allocation and impact reporting as aligned with market practice.