Project Details
Project
ICO ( Instituto de Crédito Oficial ) Green Bond Second-Party Opinion
Client
ICO ( Instituto de Crédito )
Project Type
Green Bond/Loan
Industry Group
-
Use of Proceeds
-
Location
Spain
Evaluation Date
Mar 2019
Evaluation Summary
Sustainalytics is of the opinion that the ICO 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 categories for the use of proceeds – renewable energy, energy efficiency, clean transportation, pollution prevention and control, 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. Sustainalytics considers that lending to projects within these areas will lead to positive environmental impacts and advance the UN Sustainable Development Goals.
PROJECT EVALUATION/SELECTION
ICO’s team in charge of sustainable finance will be responsible for the project selection process, with additional information being provided by relevant reporting areas. Sustainalytics consider this to be in line with market practice.
MANAGEMENT OF PROCEEDS
The proceeds of the green bond(s) will be managed by ICO’s treasury. Pending full allocation, proceeds will be held in cash, cash equivalents, or money market instruments. Sustainalytics consider this to be in line with market practice.
REPORTING
ICO has committed to annual reporting of both allocation and impact until full allocation of the bond. Allocation reporting will be provided at the category level, while impact reporting will include relevant quantitative metrics. Sustainalytics considers this to be in line with market practice.