Project Details
Project
Bogota’s Sustainable Mass Transit Securitization (TMAS) Sustainability Bond Second-Party Opinion (English)
Client
BONUS Gestión de Activos S.A.S. (BONUS)
Project Type
Sustainability Bond/Loan
Industry Group
-
Use of Proceeds
-
Location
Colombia
Evaluation Date
Mar 2019
Evaluation Summary
Sustainalytics is of the opinion that Bogota’s Sustainable Mass Transit Securitization (TMAS) Sustainability Bond Framework is credible and impactful, and aligns with the Sustainability Bond Guidelines 2018. This assessment is based on the following:
USE OF PROCEEDS
The eligible categories for the use of proceeds, clean transportation and affordable basic infrastructure, are aligned with those recognized by both the Green Bond Principles and Social Bond Principles. Sustainalytics considers the procurement of buses for bus rapid transit lines to have positive environmental and social impacts and to advance UN Sustainable Development Goal 11: Sustainable Cities and Communities.
PROJECT EVALUATION/SELECTION
The net proceeds of the bond will be used exclusively to finance the acquisition of buses for four specified BRT corridors in Bogota. Sustainalytics considers this disclosure to be in line with market practice.
MANAGEMENT OF PROCEEDS
The net proceeds of the bond will be deposited into a trust fund, under the terms that they be used exclusively for the acquisition of buses; an authorized agent will monitor the allocation. Sustainalytics considers this to be in line with market practice.
REPORTING
Annual allocation and impact reporting will be provided, including the average amount allocated per contract and relevant quantitative environmental and social indicators. An annual external review will be carried out by a third party. Sustainalytics considers this to be in line with market practice.