Project Details
Project
Pacific Life Sustainable Bond Framework Second-Party Opinion (2021)
Client
Pacific Life Insurance Company
Project Type
Sustainability Bond/Loan
Industry Group
Insurance
Use of Proceeds
Renewable energy; Green buildings; Energy efficiency; Water/waste water management; Clean transport; Access to essential services; Affordable housing;
Location
U.S.
Evaluation Date
Mar 2021
Evaluation Summary
Sustainalytics is of the opinion that the Pacific Life Sustainable Bond Framework is credible and impactful and aligns with the Sustainability Bond Guidelines 2018, Green Bond Principles 2018, and Social Bond Principles 2020. This assessment is based on the following:
USE OF PROCEEDS
The eligible categories for the use of proceeds – Green Buildings, Renewable Energy, Energy Efficiency, Sustainable Water and Wastewater Management, Terrestrial and Aquatic Biodiversity Conservation, Clean Transportation, Access to Essential Services – Education, and Affordable Housing – are aligned with those recognized by the Green Bond Principles and the Social Bond Principles. Sustainalytics considers that investments and financing in the eligible categories will lead to positive environmental or social impacts and advance the U.N. Sustainable Development Goals, specifically SDGs 4, 6, 7, 9, 11 and 14.
PROJECT EVALUATION / SELECTION
Pacific Life’s Sustainable Bond Steering Committee will be responsible for reviewing and selecting eligible projects that meet the Use of Proceeds criteria. Eligible projects will be ultimately approved by the Company’s Institutional Capital Markets Group. Sustainalytics considers the project selection process to be in line with market practice.
MANAGEMENT OF PROCEEDS
Pacific Life’s Institutional Capital Markets Group will track allocations through an internal register, and the Company intends on allocating net proceeds within 36 months of issuance. Pending full allocation, proceeds will be temporarily invested according to Pacific Life’s internal liquidity portfolio guidelines or in cash, cash equivalents or U.S. treasury securities. This is in line with market practice.
REPORTING
Pacific Life intends to report on the allocation and impact of its proceeds on the company’s website on an annual basis until full allocation. Allocation reporting will include allocated amounts on a project-portfolio basis as well the amount of unallocated proceeds. In addition, Pacific Life is committed to reporting on relevant impact metrics where feasible. Sustainalytics views Pacific Life’s allocation and impact reporting as aligned with market practice.