Second-Party Opinion Download

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

USE OF PROCEEDS

The eligible category for the use of proceeds – Clean transportation and supporting infrastructure – is aligned with those recognized by the Green Bond Principles and ASEAN Green Bond Standards 2018. Sustainalytics considers that the development of public clean transportation and related infrastructure will lead to positive environmental impacts by supporting low carbon mobility in Bangkok. Sustainalytics considers that the eligible projects will advance the UN Sustainable Development Goals (SDGs), especially SDG 11.

PROJECT EVALUATION/SELECTION

BTSG’s eligible projects are evaluated and selected by its dedicated Green Bond Working Group (GBWG) based on the established eligibility criteria. The GBWG consists of cross-functional representatives from the Treasury Department, Corporate Communication Department, Service Planning and MIS Department and Finance team of the project(s). The selected projects are then approved by the company’s Executive Committee. This process is aligned with market practices.

MANAGEMENT OF PROCEEDS

The proceeds of the bonds will be segregated into separate accounts within BTSG’s finance and reporting system and tracked using BTSG’s internal information systems, which is managed by its Accounting team. Pending full allocation, the unallocated proceeds will be invested in cash and cash equivalents according to BTSG’s liquidity management policies. This process is in line with market practices.

REPORTING

BTSG intends to report annually on the allocation and impact of proceeds on the company’s website until full allocation of the bonds. Allocation reporting will include the balance amount of allocated and unallocated net proceeds as well as the summary of projects while the impact reporting will include relevant impact metrics, i.e. number of passengers per year and amount of CO₂ emission reductions per year. The scope and frequency of allocation and impact reporting is aligned with market practice.