Second-Party Opinion Download

Sustainalytics is of the opinion that the MLP 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 – Green Buildings, Renewable Energy, Clean Transportation, Energy Efficiency, Environmentally Sustainable Management of Living Natural Resources & Land Use – 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 15.

PROJECT EVALUATION AND SELECTION

MLP’s ESG Committee will be responsible for evaluating and selecting projects in line with the Framework’s eligibility criteria. The committee consists of representatives from the Group’s finance, treasury, operations, legal, internal audit and ESG departments. MLP has a process in place, which will be conducted by the committee, to identify, address and monitor environmental and social risks associated with the projects financed. Sustainalytics considers the project selection process to be in line with market practice.

MANAGEMENT OF PROCEEDS

MLP has communicated to Sustainalytics that the committee will also oversee the management and allocation of proceeds in a green bond register, using a portfolio approach. MLP intends to allocate proceeds within 36 months of the respective issuance date. Pending full allocation, proceeds will be temporarily held in accordance with the Group’s liquidity policy, including cash, sovereign debt secutiries and other tradable assets. This is aligned with market practice.

REPORTING

MLP commits to reporting on the allocation and impact of proceeds, via an annual report, which will be published on its website until full allocation. Allocation reporting will include the total amount of allocated net proceeds, breakdown of allocated net proceeds per relevant eligible category, share of financing versus refinancing and balance of unallocated proceeds at the end of the reporting period (if any). In addition, MLP intends to report on relevant impact metrics. Sustainalytics views MLP’s allocation and impact reporting to be in line with market practice.