Second-Party Opinion Download

Sustainalytics is of the opinion that the Tinde Sparebank Green Bond Framework is credible and impactful and aligns with the four core components of the Green Bond Principles 2021. This assessment is based on the following:

USE OF PROCEEDS

The eligible categories for the use of proceeds – Green Buildings, Clean Transportation, and Renewable Energy – are aligned with those recognized by the Green Bond 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 and 11.

PROJECT EVALUATION AND SELECTION

Tinde’s Green Bond Committee, which comprises the Head of ESG, the Credit Manager, the Risk Manager and the Compliance Officer, is responsible for evaluating and selecting loans in line with the Framework’s eligibility criteria. Tinde has processes in place to identify and mitigate environmental and social risks potentially associated with the eligible projects. Sustainalytics considers the project selection process to be in line with market practice.

MANAGEMENT OF PROCEEDS

Tinde’s Administration will be responsible for the management of proceeds using a portfolio approach and will track their allocation through a green register. The Bank commits to allocate proceeds within 12 months of each issuance on a best effort basis. Pending full allocation, the Bank will temporarily hold the proceeds in cash, cash equivalents, or invest them in green bonds, in line with internal requirements for the liquidity reserve. This is in line with market practice.

REPORTING

Tinde will report on the allocation of proceeds and the corresponding impact annually on its website until full allocation or in case of any material developments as long as the bonds remain outstanding. Allocation reporting will include the total amount of outstanding green bonds, the amount allocated to each category, the breakdown of eligible loans by category, the share of new financing versus refinancing, a description of selected eligible loans, and the share of unallocated proceeds, if any. The Bank will obtain external verification on the allocation of proceeds annually until full allocation and in the event of any material development. Sustainalytics views Tinde’s allocation and impact reporting as aligned with market practice.