KUALA LUMPUR, Oct 21 — RAM Sustainability Sdn Bhd has assigned a Tier-1 Environmental Benefit (Tier-1 EB) rating to Halpro Engineering Sdn Bhd’s (Halpro) solar plant under its proposed RM195 million Asean Green sustainable responsible investment (SRI) Sukuk (Proposed Green Sukuk).
In a statement, it said this instrument also carries credit ratings assigned by RAM Ratings.
RAM Sustainability’s independent opinion, known as a second opinion, concludes that the framework provides clarity on the utilisation of proceeds, project evaluation and selection, management of proceeds and reporting commitments.
“The framework is consistent with the eligibility requirements of Securities Commission Malaysia’s SRI Sukuk Framework, the Asean Capital Markets Forum’s Asean Green Bond Standards and the International Capital Markets Association’s Green Bond Principles.
“In our view, the proposed green sukuk will create a positive environmental impact and is consistent with the United Nations Sustainable Development Goals,” it said.
Proceeds from Halpro’s Proposed Green Sukuk will be used to finance the development, operation and management of a 30 megawatt (MW) solar power plant in Pekan, Pahang.
In assigning the Tier-1 EB rating, RAM Sustainability has considered the clean renewable energy generated by the plant.
Expected to commence operations by the end of the first quarter of 2020, the plant is anticipated to generate approximately 74 gigawatt-hours (GWh) of energy per year.
RAM Sustainability, a provider of sustainability services and environment, social and governance (ESG) analytics, is a wholly-owned subsidiary of RAM Holdings Bhd. — Bernama