Project Details
Project
KBC Green Bond Second-Party Opinion
Client
KBC
Project Type
Green Bond/Loan
Industry Group
-
Use of Proceeds
-
Location
Belgium
Evaluation Date
Apr 2018
Evaluation Summary
Sustainalytics is of the opinion that the KBC is credible and impactful, and aligns with the four core components of the Green Bond Principles 2017. Additionally, Sustainalytics views the KBC’s green bond positively. This opinion is based on:
USE OF PROCEEDS
The eligible categories for the use of proceeds are aligned with those recognized by the Green Bond Principles. Sustainalytics considers the eligibility criteria to be aligned with market practice.
PROJECT EVALUATION/SELECTION
KBC’s internal process in evaluating and selecting projects is aligned with market best practice. KBC has a dedicated Green Bond Committee on manager level, requires compliance of borrowers with the environmental and social processes and policies of the Equator Principles, alignment of projects with KBC’s investment policies and the projects’ eligibility is reviewed by an independent auditor.
MANAGEMENT OF PROCEEDS
KBC’s processes for management of proceeds is aligned with market practice. KBC has a system to label and monitor allocated eligible assets.
REPORTING
KBC intends to report allocation proceeds in a report to investors on an annual basis. In addition, KBC is committed to reporting on the impact of the eligible assets by category, including impact indicators such as GHG savings, subject to availability of data. In Sustainalytics’ view reporting on these metrics is in line with market practice.