Project Details
Project
Digital Realty Green Bond Framework Second-Party Opinion
Client
Digital Realty
Project Type
Green Bond/Loan
Industry Group
-
Use of Proceeds
-
Location
U.S.
Evaluation Date
May 2018
Evaluation Summary
Sustainalytics is of the opinion that the Digital Realty Green Bond Framework is credible and impactful, and aligns with the four core components of the Green Bond Principles 2017. This assessment is based on the following:
USE OF PROCEEDS
The eligible categories for the use of proceeds, green buildings, energy and water efficiency, and renewable energy, are aligned with those recognized by the Green Bond Principles. Sustainalytics considers these categories to have clear positive environmental impacts.
PROJECT EVALUATION/SELECTION
The responsibility for project selection and evaluation belongs to the Chief Financial Officer, General Counsel, and other senior management in coordination with the company’s sustainability department. This is in line with market practice.
MANAGEMENT OF PROCEEDS
Digital Realty will allocate an amount equivalent to the net proceeds of the green bond to eligible projects, and has a clear system to track proceeds to eligible projects The disclosure and processes to manage and track proceeds are in line with market practice.
REPORTING
Digital Realty intends to report on the allocation of proceeds on its website, on an annual basis until proceeds have been fully allocated. The company is committed to reporting a list of eligible projects funded, as well as the allocation of proceeds and environmental certifications and benefits on a category basis. In Sustainalytics’ view reporting on these metrics is in line with market practice.