Green Bond Framework 2022
KommuneKredits current Green Bond Framework was launched in February 2022 and among other features, was updated with two new loan categories. The framework is aligned with ICMA’s Green Bond Principles (2021).
Green Bond Framework
Our Green Bond Framework provides transparency for investors. It describes the processes at KommuneKredit involved in the issuance of green bonds, including our governance, eligible loan categories and reporting practices. Each framework relates to a segregated green loan portfolio with separate impact reporting.
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Second party opinion
In line with best market practice, CICERO Shades of Green has assessed the updated framework and provided it with a second party opinion. CICERO found the framework to be aligned with the Green Bond Principles of ICMA and assigned an overall Medium Green shading and an Excellent Governance score – the best available governance rating.
previousframework
Green Bond Framework 2017
sixcategories
Six categories for green lending
62%
Energy
We offer green loans to the district heating sector for energy-efficient district heating or the production of renewable energy for district heating that contributes to energy savings.
26%
Water, wastewater, and precipitation management
We offer green loans for water projects when it involves investments in drinking water and pipeline installations from the water company to the consumer, contributing to, for example, higher supply security, better drinking water quality, reduced water loss, and energy savings.
6%
Waste management and treatment
We offer green loans for waste management initiatives that contribute to sorting or reducing waste volumes.
4%
Green buildings and energy renovation
We offer green loans for financing green buildings, whether it involves new construction, acquisitions, or energy-saving measures that lead to energy-efficient and/or climate-friendly buildings.
0.4%
Clean transportation
We offer green loans for clean transportation when the investment contributes to electrifying regional and municipal transport both on land and water.
2%
Climate change adaptation
We offer green loans for climate adaptation when it involves improving and strengthening the resilience of Danish local communities against current and future climate changes.
Taxonomy assessment by Cicero
When reviewing the current GBF, Cicero also conducted an assessment of KommuneKredits green categories against the technical criteria for the climate mitigation objective
Read more about the EU taxonomyTaxonomy assessment by Cicero
When reviewing the current GBF, Cicero also conducted an assessment of KommuneKredits green categories against the technical criteria for the climate mitigation objective
Read more about the EU taxonomy
Green Bond Impact reporting
Each year, KommuneKredit reports on the environmental impacts of our green loans. We align our reporting with the Nordic Public Sector Issuers Position Paper on Green Bond Impact Reporting (2024) and apply a portfolio-based approach, reporting on impact at an aggregated level. Additionally, the allocation reporting is reviewed by independent auditors.
Find our latest Green Bond Impact Reports
