Project Details
Project
Oxley Holdings Limited Green Finance Second-Party Opinion
Client
Oxley Holdings Limited
Project Type
Green Bond/Loan
Industry Group
-
Use of Proceeds
-
Location
Singapore
Evaluation Date
Jan 2019
Evaluation Summary
Sustainalytics is of the opinion that the Oxley Holdings Limited (Oxley) Green Finance Framework is credible and impactful, and aligns with the four core components of the Green Bond Principles 2018, and the Green Loan Principles 2018. This assessment is based on the following:
USE OF PROCEEDS
The seven green categories for the use of proceeds – (i) Green Buildings, (ii) Renewable Energy, (iii) Energy Efficiency, (iv) Clean Transportation, (v) Pollution Prevention and Control, (vi) Sustainable Water and Wastewater Management, and (vi) Climate Change Adaptation - are aligned with those recognized by the Green Bond Principles 2018 and Green Loan Principles 2018. Sustainalytics considers the Eligible Green Projects to have positive environmental impact and to advance the UN Sustainable Development Goals, specifically 6, 7, 11, 12, and 13.
PROJECT EVALUATION/SELECTION
Oxley’s project selection process involves initial project identification by a working group consisting of various business representatives, including representatives from the project management team, and the finance department, followed by review and approval by the Sustainability Steering Committee or the company’s Executive Committee. Sustainalytics considers this to be in line with market practice.
MANAGEMENT OF PROCEEDS
Oxley will track the net use of proceeds through an internal register. The proceeds of transaction will be earmarked for allocation to Eligible Green Projects. Pending allocation, the proceeds will be held in accordance with Oxley’s general liquidity guidelines for short-term investments. This is in line with market practice.
REPORTING
Oxley intends to disclose the information on its website, annual report, or sustainability report on an annual basis. The allocation reporting will include the aggregate amount allocated to Eligible Green Projects, as well as the balance of unallocated proceeds, and impact reporting will include relevant metrics. Sustainalytics views Oxley’s allocation and impact reporting as aligned with market practice.