Multicountry: ENGIE Sustainability Linked Green Loan (AIIB-000863)

Regions
  • Africa
  • Europe and Central Asia
Geographic location where the impacts of the investment may be experienced.
Countries
  • Poland
  • South Africa
Geographic location where the impacts of the investment may be experienced.
Financial Institutions
  • Asian Infrastructure Investment Bank (AIIB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Approved
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
A
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Voting Date
May 31, 2024
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
Borrower
ENGIE S.A.
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Energy
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 81.43 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Currency conversion note:
Bank reported 75
Converted using 2024-05-31 exchange rate.
Loan Amount (USD)
$ 81.43 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Currency conversion note:
Bank reported 75
Converted using 2024-05-31 exchange rate.
Project Cost (USD)
$ 542.88 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Currency conversion note:
Bank reported 500
Converted using 2024-05-31 exchange rate.
Bank Documents
Other Related Projects
Primary Source

Original disclosure @ AIIB website

Updated in EWS Sep 29, 2024

Disclosed by Bank Sep 12, 2024

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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

According to the AIIB, the project development objective is to support the strategic expansion of ENGIE's clean energy assets in AIIB members as part of the company's transition towards a more robust sustainability performance.

AIIB is providing a senior corporate green and sustainability-linked loan (SLL) of EUR75 million to ENGIE. The loan is part of an EUR 500 million corporate financing arranged by IFC. The financing also comprises participation from the IFC's managed co-lending portfolio program (MCPP), as well as a parallel loan from Societe de Promotion et de Participation pour la Cooperation Economique (Proparco).

Proceeds from the loan will finance the acquisition, development, and construction of two of ENGIE's strategic portfolios:

Poland.
A portfolio of up to 213 megawatts (MW) of solar and wind assets at various development stages, that include:

Stella Solar PV (66 Projects), 64MW, operational;

West Poland Solar PV (7 Projects), 28MW, construction;

Gizycko Solar PV (2 Projects), 18MW, pipeline;

Kukinia Wind, 53MW, operational; and

Tychowo Wind, 50MW, operational.

South Africa
. A portfolio of up to 340 MW of acquired operational solar and wind assets, which comprise:

MBP Prieska, 60MW Solar PV, operational;

Konkoonsies II Solar PV, 84MW, operational;

Aggeneys Solar PV, 46MW, operational;

Golden Valley Wind, 120MW, operational; and

Excelsior Wind, 30MW, operational.

The SLL is supporting the energy transition of two AIIB Members. Both Poland and South Africa require substantial capital to bolster their energy systems and present above-average reliance on coal for electricity generation, as approximately 70-80 percent of their respective electricity needs are supplied by coal-fired plants.

Investment Description
Here you can find a list of individual development financial institutions that finance the project.
Private Actors Description
A Private Actor is a non-governmental body or entity that is the borrower or client of a development project, which can include corporations, private equity and banks. This describes the private actors and their roles in relation to the project, when private actor information is disclosed or has been further researched.

As stated by the AIIB, established in 2008 and headquartered in Paris, France, ENGIE (formerly known as GDF Suez) is one of the world's largest energy utilities. ENGIE operates a global portfolio comprising 38 gigawatts (GW) of renewable energy (RE) assets. ENGIE's goal is to become a leader in green energy and climate transition by investing EUR22-25 billion between 2023 and 2025 across multiple jurisdictions.

Private Actor 1 Private Actor 1 Role Private Actor 1 Sector Relation Private Actor 2 Private Actor 2 Role Private Actor 2 Sector
- - - - Engie SA Client Energy

Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

AIIB Team Leaders:

Francisco Fortuny - Senior Investment Officer
Email: fj.fortuny@aiib.org

Danurachman Krishana - Investment Officer
Email: danurachman.krishana@aiib.org

Client - ENGIE S.A.:

Anne-Sophie Quelin - Structured & Trade Finance
Email: anne-sophie.quelin@ENGIE.com

ACCESS TO INFORMATION

You can submit an information request for project information at: https://www.aiib.org/en/contact/information-request/index.html

ACCOUNTABILITY MECHANISM OF AIIB

The AIIB has established the Accountability Mechanism for Project-Affected People (PPM). The PPM provides Òan opportunity for an independent and impartial review of submissions from Project-affected people who believe they have been or are likely to be adversely affected by AIIBÕs failure to implement the ESP in situations when their concerns cannot be addressed satisfactorily through Project level GRMs or AIIB Management processes.Ó Two or more project-affected people can file a complaint. Under the current AIIB policy, when the bank co-finances a project with another development bank, it may apply the other bank's standards. You can refer to the Project Summary Information document to find out which standards apply. You can learn more about the PPM and how to file a complaint at: https://www.aiib.org/en/about-aiib/who-we-are/project-affected-peoples-mechanism/how-we-assist-you/index.html

The complaint submission form can be accessed in Arabic, Bahasa Indonesia, Bengali, Chinese, English, Tagalog, Hindi, Nepali, Russian, Turkish, or Urdu. The submission form can be found at: https://www.aiib.org/en/about-aiib/who-we-are/project-affected-peoples-mechanism/submission/index.html

How it works

How it works