Project Description

With DQS as Your Verification Partner

With Climate Bonds Certification, investors can be sure that they contribute to a low-carbon economy.

With sustainable finance becoming increasingly important, the pressure is on investors to take environmental, social and governance criteria (ESG) into account. One of the criteria that investors will almost invariably consider is the extent to which projects lead to global warming. A certified Climate Bond is a bond of which the assets and projects contribute to a low carbon economy.

In order to achieve certification for their bond, issuers must engage an approved Verifier, like DQS, who will verify that the bond meets the requirements of the Climate Bonds Standard.

For Whom?

Certification must be requested by the organization that issues the bond. This can be any organization seeking to finance or re-finance low-carbon projects, such as project developers, utilities, equipment manufacturers, banks and aggregators.

The program is currently available for bonds related to the following assets: Solar Energy, Wind Energy, Geothermal Energy, Marine Renewable Energy, Water Infrastructure, Low Carbon Transport & Low Carbon Building, with more sector criteria in development.

Benefits of Climate Bonds Certification

Issuers of certified climate bonds will find that:

  • They attract more investors: investors are under increasing pressure to consider sustainability when making investment decisions. Certification to the Climate Bonds standard gives them the assurance that the bond can be considered a sustainable investment.
  • They attract different investors: Because all certified bonds are listed on the Climate Bonds website, issuers can reach a larger international audience. This also saves investors from doing their own environmental due diligence.
  • They improve their reputation: Issuers can demonstrate their focus on low-carbon projects.

Certification Process

  1. Identify the assets that meet the relevant sector criteria and create a bond framework that describes how the proceeds of the bonds will be used.
  2. Schedule a verification assessment with DQS prior to issuing the bond. DQS will review the relevant information and confirm in a report that the requirements of the Climate Bonds Standard have been met.
  3. Send the DQS verification report to the Climate Bonds Initiative. After a positive evaluation, you will receive the certificate and Certified Climate Bond mark.
  4. Issues the bond.
  5. The issuer schedules a post-issuance verification assessment with DQS within 12 months after issuing the bond, and send the report to the Climate Bonds Initiative for post-issuance certification.
  6. The issuer provides a simple report for term of the bonds annually to the bond holders and the Climate Bonds Initiative.

DQS – Your Partner for Climate Certification

DQS supports the development of Green Finance. DQS is an Approved Verifier to conduct Climate Bonds verification assessments across the globe. Our certificate of approval by Climate Bonds Initiative is available for download here.