Sustainable Finance - Published Projects

In March 2022, CECEP Environmental Consulting Group Co., Ltd. (“CECEPEC”) issued a Second Party Opinion on the alignment of the Green Finance Framework (“Framework”) of Knowledge City (Guangzhou) Investment Group Co., Ltd. (the “Group”) with the Green Bond Principles 2021 (“GBP”) released by International Capital Market Association (“ICMA”), and the Green Loan Principles 2021 (“GLP”) published by the Loan Market Association (“LMA”), the Asia Pacific Loan Market Association (“APLMA”), and the Loan Syndications and Trading Association (“LSTA”). CECEPEC is of the opinion that the Framework is aligned with the four core components of the GBP and GLP.

Under the Framework, the Group commits that the net proceeds or equivalent amount of the net proceeds of each Green Financing Transaction (“GFT”) will exclusively finance and/or refinance, in whole or in part, new and/or existing projects which meet the eligibility criteria of Eligible Green Project categories, including Green Building, Energy Efficiency, Pollution Prevention and Control, Sustainable Water and Wastewater Management, and Renewable Energy, which are aligned with those recognized by GBP and GLP.

Meanwhile, the Framework also elaborates on the conformity of eligible project categories with the United Nations Sustainable Development Goals (“SDGs”), stakeholder management, and management of the unallocated proceeds. In addition, the Framework demonstrates the process for evaluation and selection and management of proceeds. The Group also commits to disclose the allocation of the net proceeds of its Green Financing Instruments in a Green Finance Report on an annual basis until all the net proceeds have been allocated. Where possible and subject to data availability, the Group will prepare for impact reports of the Eligible Green Projects with environmental impact indicators which have been listed in the Framework to reflect the environmental benefits of the Eligible Green Projects objectively and effectively.