Second-Party Opinion Download

Sustainalytics is of the opinion that the ITOCHU Europe Green Finance Framework is credible and impactful and aligns with the four core components of the Green Bond Principles 2021 and the Green Loan Principles 2021. This assessment is based on the following:

USE OF PROCEEDS

The eligible categories for the use of proceeds – Renewable Energy and Pollution Prevention and Control – are aligned with those recognized by the Green Bond Principles and the Green Loan Principles. Sustainalytics considers that investments in the eligible categories are expected to contribute to reducing GHG emissions and environmental pollution in Europe and advance the UN Sustainable Development Goals, specifically SDGs 7 and 12.

PROJECT EVALUATION / SELECTION

ITOCHU Europe’s Sustainability Committee will manage the internal process for evaluating and selecting projects. ITOCHU Europe’s environmental and social risk management processes are applicable to all allocation decisions made under the Framework. Sustainalytics considers these risk management systems to be adequate the project selection process in line with market practice.  

MANAGEMENT OF PROCEEDS

ITOCHU Europe’s Corporate Planning Division will monitor and track the allocation proceeds by using an internal reporting system. Unallocated proceeds will be temporarily held as cash, cash equivalents or invested in short-term financial instruments. ITOCHU Europe aims to complete the full allocation of proceeds within 36 months of issuance. This is in line with market practice.  

REPORTING

ITOCHU Europe intends to report on the allocation of proceeds on its website on an annual basis until full allocation. In addition, ITOCHU Europe is committed to reporting on relevant impact metrics. Sustainalytics views ITOCHU Europe’s allocation and impact reporting as aligned with market practice.