Project Details
Project
PSI Sustainable SA Sustainable Framework Second Party Opinion (2025)
Client
PSI Sustainable SA
Project Type
Green Bond/Loan
Industry Group
Financials
Use of Proceeds
Renewable energy; Clean transport; Green buildings; Natural resources/land use management; Water/waste water management;
Location
Luxembourg
Evaluation Date
Oct 2025
Evaluation Summary
PSI Sustainable SA has developed the Sustainable Framework dated October2025, under which it intends to issue securities (bearer debenture bonds)through compartments to fund projects in seven environmental categories, globally.
We have assessed the overall Sustainability Contribution of the Framework as Strong, based on the average Sustainability Contribution of the Framework’s seven use of proceeds categories. As per our methodology, we have applied equal weighting across categories.
PSI intends to finance environmental expenditures in Renewable Energy, Clean Transportation, Building Efficiency, Land Use and Marine Resources, Waste and Pollution Control, Information and Communication Technology and Transport Infrastructure and Accessibility.
Investments in solar, wind, hydropower projects along with zero emissions vehicles and associated infrastructure and energy efficient data centres will strongly support the transition to a low carboneconomy.Under Waste Pollution and Control, PSI may financeand refinancethe construction and improvementof recycling facilities,mechanical recyclingofspecific materialslike plastics, recycling of e-waste, anaerobic digestion of biowaste, and related waste management systems. These investments, though interim in the case of single use plastics, are expected to substantiallyimprove recycling practices, advance circular economy goals, and reduce environmental impacts. PSI will fund the construction and renovation of residential and non-residential buildings that meet global sustainability certifications and achieve 20% improvements in energy efficiencies. Additionally,buildings constructed after 1 January 2024 will not rely on fossil fuels,hence overallthese investments are expected to substantially advance sectoral decarbonization. Additionally, PSI will finance certified reforestation and sustainable agriculture projects to enhance biodiversity and ecosystem resilience, though the overall impact of agriculture schemes on soil, chemicals, efficiency and emissions varies. Financing for livestock will prioritize farms with decarbonization targets, supporting the transition to sustainable food systems, though livestock farms remain inherently emissions intensive.Overall, these investments are expected to build resilient forests and strongly promote sustainable farming
We have assessed the Framework as Alignedwith the Green Bond Principles 2025
We have assessed the overall Sustainability Contribution of the Framework as Strong, based on the average Sustainability Contribution of the Framework’s seven use of proceeds categories. As per our methodology, we have applied equal weighting across categories.
PSI intends to finance environmental expenditures in Renewable Energy, Clean Transportation, Building Efficiency, Land Use and Marine Resources, Waste and Pollution Control, Information and Communication Technology and Transport Infrastructure and Accessibility.
Investments in solar, wind, hydropower projects along with zero emissions vehicles and associated infrastructure and energy efficient data centres will strongly support the transition to a low carboneconomy.Under Waste Pollution and Control, PSI may financeand refinancethe construction and improvementof recycling facilities,mechanical recyclingofspecific materialslike plastics, recycling of e-waste, anaerobic digestion of biowaste, and related waste management systems. These investments, though interim in the case of single use plastics, are expected to substantiallyimprove recycling practices, advance circular economy goals, and reduce environmental impacts. PSI will fund the construction and renovation of residential and non-residential buildings that meet global sustainability certifications and achieve 20% improvements in energy efficiencies. Additionally,buildings constructed after 1 January 2024 will not rely on fossil fuels,hence overallthese investments are expected to substantially advance sectoral decarbonization. Additionally, PSI will finance certified reforestation and sustainable agriculture projects to enhance biodiversity and ecosystem resilience, though the overall impact of agriculture schemes on soil, chemicals, efficiency and emissions varies. Financing for livestock will prioritize farms with decarbonization targets, supporting the transition to sustainable food systems, though livestock farms remain inherently emissions intensive.Overall, these investments are expected to build resilient forests and strongly promote sustainable farming
https://mstar-sustops-cdn-mainwebsite-s3.s3.amazonaws.com/docs/default-source/spos/psi-sustainable-sa-green-finance-framework-second-party-opinion---final.pdf?sfvrsn=10cc3fcd_1