Second-Party Opinion Download

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

USE OF PROCEEDS

The eligible categories for the use of proceeds (i) Renewable energy and (ii) Pollution prevention and control are aligned with those recognized by the Green Bond Principles 2018 and Green Loan Principles 2018. Sustainalytics considers that the ‘Eligible Green Projects’ will lead to positive environmental impacts and advance the UN Sustainable Development Goals 7 and 12.

PROJECT EVALUATION/SELECTION

ITOCHU Europe’s Sustainability Committee will select eligible projects based on Eligibility Criteria set out through the cross-departmental collaboration of ITOCHU Europe’s CSO, CFO and General Managers of related departments.

MANAGEMENT OF PROCEEDS

The process for the management of proceeds is aligned with current market practices. ITOCHU Europe commits to monitor and segregate green finance proceeds through its internal tracking systems on a quarterly basis along with ITOCHU Treasury Centre Europe plc (“ITE”). Pending full allocation, the unallocated proceeds will be invested in short term financial instruments.

REPORTING

ITOCHU Europe commits to provide allocation reporting annually through its website1 until full allocation of the proceeds and update the report in case of any material change. Regarding impact reporting ITOCHU Europe commits to report annually for the term of the green finance instrument on a best effort basis on annual GHG emission savings (in Ktonnes), MW of renewable energy production, and volumes of waste treatment or avoidance (in m3). Sustainalytics views the scope of ITOCHU Europe’s reporting to be aligned with market practices.