Second-Party Opinion Download

Sustainalytics is of the opinion that the Hawaiian Electric Company Inc. Green Bond Framework is credible and impactful and aligns with the four core components of the Green Bond Principles 2018. This assessment is based on the following:

USE OF PROCEEDS

The eligible category for the use of proceeds – Renewable Energy Generation and Battery Storage – is aligned with those recognized by the Green Bond Principles 2018. Sustainalytics considers that the eligible category will lead to positive environmental impacts and advance the UN Sustainable Development Goals, specifically SDG 7: Affordable and Clean Energy.

PROJECT EVALUATION/SELECTION

Hawaiian Electric’s Treasury department, in consultation with internal experts and project management teams, will be responsible for determining eligible projects to be financed by the green bond proceeds. Sustainalytics considers the project selection process to be in line with market practice.

MANAGEMENT OF PROCEEDS

Hawaiian Electric intends to deposit green bond proceeds into the Company’s general account and earmark an equal amount to the net proceeds for eligible projects. The Treasury department will establish and maintain a register to record the allocation of net proceeds to eligible projects. Pending allocation, proceeds will be held in cash or cash equivalents, and managed as per the Company’s Treasury Policy. This is in line with market practice.

REPORTING

Hawaiian Electric will provide allocation and impact reporting on its public website on an annual basis. The reporting will include allocated and unallocated proceeds as well as a complete list of eligible projects. Where feasible, the report will include relevant qualitative and quantitative environmental performance metrics. Sustainalytics views the Issuer’s allocation and impact reporting as aligned with market practice.