Climate Bonds Standard
Organization
Type(s) of Tool
Sector(s)
Lifecycle Phase(s)
Open Source
Language Availability
Country of Origin
Date of Development
Version
Description
The Climate Bonds Standard is an environmental standard to certify bonds that prioritize projects addressing climate change and to support investors in aligning investments decisions with climate goals. The tool is made up of two parts; (1) the parent standard detailing management and reporting processes and (2) a suite of sector criteria detailing the requirements to be eligible for certification. Based on independent verification reports, the tool allows to certify bonds already prior to issuance, requiring follow through for post-issuance certification. Issuers must report at least annually on the projects and assets funded by the bond, their eligibility and use of proceeds.
Tool Outcome
The Climate Bond Standard offers pre- and post-issuance certification of bonds that contribute to addressing climate change.
Sustainability Criteria
Prior to issuance, the tool assesses bond across the following criteria:
– Selection of nominated projects & assets
– Internal processes & controls
– Reporting prior to issuance
Once issued, bonds are assessed across an expanded list of criteria:
– Nominated projects and assets
– Use of proceeds
– Non-contamination of proceeds
– Confidentiality
– Reporting
– Climate bonds taxonomy
– Technical criteria
– Project holding
– Settlement period
– Earmarking