• Introduction
    • OVERVIEW
    • THE STANDARD BANK GROUP
    • OUR REPORTING SUITE
    • OUR SEE JOURNEY
    • ASSURANCE STATEMENT
     
     
     
     
     
  • SEE impact areas
    • OVERVIEW
    • 1.
      FINANCIAL INCLUSION
    • 2.
      JOB CREATION AND ENTERPRISE GROWTH
    • 3.
      INFRASTRUCTURE
    • 4.
      AFRICA TRADE AND INVESTMENT
    • 5.
      Climate change and sustainable finance
    • 6.
      EDUCATION
    • 7.
      HEALTH
     
  • ESG
    • OVERVIEW
    • OUR REPORTING SUITE
    • MESSAGE FROM SIM TSHABALALA
    • ESG GOVERNANCE
    • MATERIAL ISSUES DURING THE REPORTING PERIOD
    • ENGAGING OUR STAKEHOLDERS
    • HOW WE DO BUSINESS
    • MANAGING OUR ENVIRONMENTAL AND SOCIAL RISKS
    • SUSTAINABLE FINANCE
    • OUR PEOPLE
    • CORPORATE SOCIAL INVESTMENT
    • ESG METRICS,  POLICIES AND REPORTS
     
     
     
     
     
     
     
     
     
     
     
     
  • Transformation
    • OVERVIEW
    • INTRODUCTION
    • A MESSAGE FROM LUNGISA FUZILE
    • THE ROLE OF A BANK IN GROWING THE ECONOMY
    • STANDARD BANK’S BEE SCORECARD 2019
    • WHERE TO FIND MORE INFORMATION
    • B-BBEE CERTIFICATE
     
     
     
     
     
     
     
  • Downloads
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Sustainable finance
Sustainable finance

There are increasing opportunities to deliver sustainable and impactful investment expertise to our clients and stakeholders across a broad range of growth themes.

As a first step in that effort, we have established a sustainable finance business unit, the first of its kind in Africa. The unit is responsible for partnering with our businesses to better serve our clients, drive innovation and capture emerging opportunities as sustainable growth becomes increasingly important for investors, institutions and companies globally.

The unit included a number of deals in 2019, including:

  • We provided a sustainability-linked funding solution to Curro schools – the first sustainable finance deal in the African market. Curro is the leading for-profit independent school provider in southern Africa. The sustainability-linked loan will enable the building of additional schools and development of existing campuses. The R500 million five-year loan is linked to achieving pre-agreed environmental, social impact and governance (ESG) targets and performance, which will be measured by an external ESG rating agency. Target areas include diversity programmes, data privacy and reduction in CO2 emissions.
  • We played a key role in arranging the first ever green bond in East Africa. Nairobi-based property developer Acorn Group has issued a bond to raise KES4.262 billion (R611 million) in project finance over five years for environmentally friendly student accommodation in the city. Standard Bank Group, via Stanbic Bank Kenya Limited and SBG Securities Limited, acted as lead arranger and placing agent for the bond. The bond has been certified as green by the Climate Bonds Initiative as it meets international green building standards, which are designed to achieve savings on energy usage and water consumption through the building materials used. The finance that is raised via the bond will be used to fund six purpose-built student accommodation properties in Nairobi with a capacity of over 5 000 beds.

Curro Holdings
October 2019
R500 million
Standard Bank role: sole arranger and lender ESG-linked

First ESG-linked facility in Africa

Acorn Project (Two) Limited Liability Partnership
October 2019
KES4.26 billion – Fixed rate Series of I green bonds
Standard Bank role: Lead arranger and placing agent
Impact: Construction of student housing, Edge-certified green buildings

First green bond in East Africa

Federal Republic of Nigeria
June 2019
NGN15 billion – 14.50% Series II green bonds
Standard Bank role: Joint financial advisor and book runner via Stanbic IBTC Capital
Impact: Green projects aimed at addressing climate change

Sovereign green bond

NSP – SPV PowerCorp Plc February 2019
NGN8.5 billion – 15.60% Series of I green bonds
Standard Bank role: Joint issuing house and receiving bank
Impact: Re-finance existing debt, acquired 30MW Gurara hydropower plant, rehabilitation of overhead cranes and systems/control upgrade

First green infrastructure bond issued by a corporate in Nigeria
Working with businesses and households to implement small-scale green energy solutions

We recognise our obligation to respond strategically to the risks which global environmental and social pressures have on our ability to create sustainable value for our stakeholders.

We work with our clients to adopt greener solutions for their homes and businesses. For example:

In South Africa, our VAF Solar Asset Solution enables our business and commercial banking clients to apply for finance to install small-scale renewable energy solutions at their businesses. In 2019, we financed 103 small-scale solar PV projects in South Africa, totalling 9.5MW. In doing so, we helped improve energy and price security for businesses across the commercial, industrial and agricultural sectors. Projects included installations at Nelson Mandela University in Port Elizabeth, and the Central University of Technology in Bloemfontein. In both cases, the arrangement includes long-term Power Purchase Agreements (PPAs) with the universities, enabling the universities to purchase electricity generated by the solar PV system at beneficial tariffs. The Nelson Mandela University system is a 1MW dual-axis system, which allows the solar panels to track the movement of the sun, thereby maximising effectiveness.
Solar asset icon
Effective fleet management provides a major opportunity to reduce a company’s carbon footprint. SBSA offers our clients access to ECO2 Fleet, a web-based fleet management data collection and reporting service that enables users to accurately measure the carbon dioxide (CO2) emissions and other gases emitted by each vehicle in their fleet. It includes online monitoring and vehicle emission reporting, aligned to the principles of the Greenhouse Gas Protocol, a globally recognised accounting tool used to measure carbon emissions. ECO2 Fleet compares the actual carbon emissions of each vehicle in a fleet to a manufacturer-specified or default carbon emissions rating. This provides fleet managers with a clear indication of how each vehicle is performing, and can help to identify trends and set objectives to reduce carbon emissions. This in turn supports savings on total fuel expenditure, thereby reducing operating costs. Fleet managers can use the data to make drivers more aware of their driving habits and how these could be improved. It can also inform improved maintenance practices – a vehicle that runs well has lower emissions. For more information, visit: https://eco2fleet.standardbank.co.za/