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Second-Party Opinion Download

Project Details


KPN Sustainability-Linked Finance Framework Second-Party Opinion (2021)


Koninklijke KPN N.V.

Project Type

Sustainability Linked Bond or Note

Industry Group


Use of Proceeds




Evaluation Date

Oct 2021

Evaluation Summary

Sustainalytics is of the opinion that the KPN Sustainability-Linked Finance Framework aligns with the Sustainability-Linked Bond Principles 2020 and Sustainability Linked Loan Principles 2021. This assessment is based on the following: 

Selection of Key Performance Indicators (KPI)

KPN Sustainability-Linked Finance Framework includes one KPI: Value chain CO2e emissions (scope 3, see Table 1). Sustainalytics considers the KPI chosen to be very strong based on its high materiality and relevance to the sector, the clear and consistent methodology used, which is externally defined and verifiable, and its ability to be externally benchmarked. 

Calibration of Sustainability Performance Targets (SPTs)

Sustainalytics considers the SPTs to be aligned with KPN’s sustainability strategy. Sustainalytics further considers the SPTs to be highly ambitious based on their alignment with KPN’s historical performance, with best practice among its peers and with a science-based 1.5°C scenario. 

Bond/Loan Characteristics

KPN will link the financial characteristics of its sustainability-linked instruments to achievement of the SPTs. Failure to achieve the SPTs at the target observation date will trigger an adjustment to the coupon rate or a higher repayment amount. A financial penalty will also be applicable if KPN fails to calculate and report on the SPTs in a timely and satisfactory manner. 


KPN commits to report on an annual basis on its performance on the KPI in its integrated annual report and/or corporate responsibility report available on its website. KPN further commits to disclose on its website relevant information that affect KPI performance. The reporting commitments are aligned with the Sustainability-Linked Bond Principles and Sustainability-Linked Loan Principles. 


KPN commits to have external limited assurance conducted on its KPI performance at the communicated SPTs deadline, which is aligned with market expectations.