Project Details
Project
iliad Group Green Financing Framework Second-Party Opinion (2024)
Client
iliad Group
Project Type
Green Bond/Loan
Industry Group
Telecommunication Services
Use of Proceeds
Renewable energy; Clean transport; Circular economy adapted products, production technologies and processes; Energy efficiency;
Location
France
Evaluation Date
Oct 2024
Evaluation Summary
Sustainalytics is of the opinion that the iliad Group Green Financing Framework is credible and impactful and aligns with the four core components of the Green Bond Principles 2021 and the Green Loan Principles 2023. This assessment is based on the following:
USE OF PROCEEDS
The eligible categories for the use of proceeds –Energy Efficiency – Networks, Energy Efficiency – Data Centres, Energy Efficiency – Buildings, Circular Economy, Clean Transportation and Renewable Energy – are aligned with those recognized by the Green Bond Principles and the Green Loan Principles. Sustainalytics considers that investments in the eligible categories will lead to positive environmental impacts and advance the UN Sustainable Development Goals, specifically SDGs 7, 9, 11 and 12.
PROJECT EVALUATION AND SELECTION
iliad Group has established a Green Finance Committee, which will be responsible for evaluating and selecting projects in line with the Framework’s eligibility criteria. The committee is chaired by the Group’s Director of Finance and Treasury and includes senior management members from the Group Treasury, Sustainability Department, Corporate Social Responsibility Steering Committee and Group Finance Department. The Group has in place an internal process for the assessment and mitigation of ESG risks associated with eligible projects. This is in line with market practice.
MANAGEMENT OF PROCEEDS
The Group Treasury will be responsible for the management of net proceeds, which will be deposited in the Group’s general account and earmarked for allocation to eligible projects through an internal tracking system. iliad intends to allocate proceeds within two years of each issuance on a best-effort basis. Unallocated proceeds will be held in cash or cash equivalents or invested in other liquid marketable instruments. This is in line with market practice.
REPORTING
The iliad Group will report on allocation of proceeds on its website on an annual basis until full allocation. Allocation reporting may include the size of the portfolio of projects per category, total amount of net proceeds allocated by project categories, balance of unallocated proceeds, breakdown of the geographic location of the projects when feasible, share of new financing versus refinancing, and the breakdown by expenditure type. In addition, iliad Group intends to report on relevant impact metrics. Sustainalytics views iliad Group’s allocation and impact reporting as aligned with market practice.