Second-Party Opinion Download

Sustainalytics is of the opinion that the Plug Power Green Bond Framework is credible and impactful and aligns with the intent of the four core components of the Green Bond Principles 2018. This assessment is based on the following:

USE OF PROCEEDS

Sustainalytics recognizes that Plug Power will use the proceeds of its green bond(s) for general corporate purposes, and to repurchase a portion of its previously issued and outstanding bonds, the proceeds of which were used for general corporate purposes. Sustainalytics considers that, as a “green pure-play”, the entirety of its expenditures is supporting positive environmental impacts. Plug Power’s business activity, Hydrogen Fuel Cell Systems, is aligned with those recognized by the Green Bond Principles 2018. Sustainalytics views the development and deployment of hydrogen fuel cells as generating environmental benefits and advancing the UN Sustainable Development Goals, specifically SDG Goals 7 and 9.

PROJECT EVALUATION/SELECTION

Plug Power’s Finance team is responsible for reviewing the proceeds and recommending capital expenditure and resource planning in line with the objectives of the Framework to the Company’s Board of Directors. The two parties will convene annually to review financial reporting, projects, cash position and any significant spend items. The Company’s CEO is responsible for approving any expenditures and/or resource investments up to USD 1 million; anything in excess of this amount requires Board approval. This is in line with market practice.

MANAGEMENT OF PROCEEDS

Plug Power’s Finance team will be responsible for managing the proceeds. The Company intends to allocate majority of the proceeds within the first two calendars years after issuance. Pending allocation, proceeds may be temporarily held in cash investment accounts, in cash or other short-term liquid instruments, or used to pay back a portion of the Company’s outstanding indebtedness. This is in line with market practice.

REPORTING

Plug Power intends to report on the allocation of proceeds on an annual basis. In addition, Plug Power will report on the quantity of fuel cells deployed, quantity of hydrogen stations deployed and hydrogen fuel consumed by its various fleet, where feasible. The Company has stated its intention to report on key sustainability metrics in the future. Given this commitment, Sustainalytics views the Company’s reporting to be aligned with market practice.