Project Details
Project
Rabobank Sustainable Funding Framework Second-Party Opinion (2023)
Client
Rabobank
Project Type
Green Bond/Loan; EU Taxonomy Assessment;
Industry Group
Banks
Use of Proceeds
Renewable energy; Green buildings;
Location
Netherlands
Evaluation Date
May 2023
Evaluation Summary
USE OF PROCEEDS
The eligible categories for the use of proceeds – Renewable Energy and Green Buildings – are aligned with those recognized by the Green Bond Principles. Sustainalytics considers that the eligible categories will support the global transition to a lowcarbon economy and advance the UN Sustainable Development Goals, specifically SDGs 7 and 11.
PROJECT EVALUATION AND SELECTION
Rabobank’s Sustainable Funding Committee will be responsible for the evaluation and selection of assets and projects in line with the eligibility criteria. Rabobank will undertake environmental and social risk assessments that adhere to its internal policies, the Equator Principles and applicable laws and regulations for all allocation decisions. Sustainalytics considers the risk management systems to be adequate and the project evaluation and selection process to be in line with market practice.
MANAGEMENT OF PROCEEDS
Rabobank’s Group Treasury department will be responsible for the management of proceeds on a portfolio basis and track the allocation of proceeds using its internal information management systems. Rabobank intends to allocate all the proceeds within 36 months of issuance. Pending full allocation, proceeds will be temporarily held in Rabobank’s treasury liquidity portfolio in cash or other short term liquid instruments. Sustainalytics considers this process to be in line with market practice.
REPORTING
Rabobank commits to report on the allocation of proceeds and corresponding impact on its website on an annual basis until full allocation. Allocation reporting will include, on a best effort basis, the amount of proceeds allocated to eligible green assets, the number of eligible green assets, the balance of unallocated proceeds, the amount or share of financing and refinancing, the geographic location of eligible green assets and the alignment of eligible green assets with the EU Taxonomy. Sustainalytics considers Rabobank’s allocation and impact reporting commitments to be aligned with market practice.