Second-Party Opinion Download

Sustainalytics is of the opinion that the Citicore Power, Inc. Green Financing Framework is credible and impactful, and aligns with the four core components of the Green Bond Principles 2021, the Green Loan Principles 2021 and the ASEAN Green Bond Standards 2018. This assessment is based on the following:

USE OF PROCEEDS

The eligible categories for the use of proceeds – Renewable Energy, Environmentally Sustainable Management of Living Natural Resources and Land Use, and Sustainable Water and Wastewater Management – are aligned with those recognized by the Green Bond Principles, the Green Loan Principles and the ASEAN Green Bond Standards. Sustainalytics considers that investments in the eligible categories will lead to positive environmental impacts and advance the UN Sustainable Development Goals, specifically SDGs 6, 7 and 15.

PROJECT EVALUATION / SELECTION

Citicore Power, Inc.’s Sustainability Financing Committee, chaired by the CEO, is responsible for evaluating and selecting projects in line with the Framework’s eligibility criteria. Citicore’s internal process of assessing, identifying and mitigating environmental and social risks is applicable to all allocation decisions made under the Framework. Sustainalytics considers these risk management systems to be adequate and the project selection process in line with market practice.

MANAGEMENT OF PROCEEDS

Citicore’s Treasury team will be responsible for the allocation and tracking of proceeds internally using a green finance register. Citicore intends to allocate net proceeds to eligible projects within three years of issuance. Pending full allocation, net proceeds may be used for the payment of outstanding debts  or will be temporarily invested in cash, cash equivalents or other liquid instruments in accordance with Citicore’s liquidity management policy. This is in line with market practice.

REPORTING

Citicore intends to report on the allocation of proceeds on its website annually until full allocation. Allocation reporting may include the total amount of proceeds allocated to eligible green projects with a breakdown of allocation by project sub-category, allocation by geography, the share of financing versus refinancing and the balance of unallocated proceeds. In addition, Citicore is committed to reporting on relevant impact metrics such as GHG emissions. Sustainalytics views the allocation and impact reporting as aligned with market practice.