Reporting – Nedbank Limited (2016)

Adoption Date:10 November 2005
Country of Headquarters:South Africa
Region of Headquarters:Africa
Institutional Reporting Hyperlink:https://www.nedbank.co.za/content/dam/nedbank/site-assets/AboutUs/Sustainability/Supporting%20Documents/Nedbank_SR%202016.pdf
Current EPFI Reporting Year/Period:2016
EPFI Reporting in Compliance:Yes

Please read the important notes and disclaimer for further information on ‘EPFI Reporting’, compliance and publication on the Equator Principles Association website.

Further information on this EPFI may be obtained through the Institutional Reporting Hyperlink above.

PROJECT FINANCE ADVISORY SERVICES

Total number mandated in the reporting period: 0

PROJECT FINANCE TRANSACTIONS

Total number that reached financial close in the reporting period: 4

Totals130
Totals130
SectorCategory ACategory BCategory C
Mining
Infrastructure
Oil & Gas
Power13
Others
RegionCategory ACategory BCategory C
Americas
Europe, Middle East & Africa13
Asia Pacific
Country DesignationCategory ACategory BCategory C
Designated 1
Non-Designated13
Independent ReviewCategory ACategory BCategory C
Yes13
No

1Designated Countries are those countries deemed to have robust environmental and social governance, legislation systems and institutional capacity designed to protect their people and the natural environment. For the list of Designated Countries, go to: http://www.equator-principles.com/index.php/ep3/designated-countries

PROJECT NAME REPORTING FOR PROJECT FINANCE TRANSACTIONS

No.Project NameSectorHost Country Name/ Project LocationYear of Financial Close
1Kathu Solar CSPPowerSouth Africa2016
2Amandi PowerPowerGhana2016
3Longyuan Deaar 1PowerSouth Africa2016
4Longyuan Deaar 2PowerSouth Africa2016

PROJECT-RELATED CORPORATE LOANS

Total number that reached financial close in the reporting period: 0

IMPLEMENTATION OF THE EQUATOR PRINCIPLES

The EP implementation within Nedbank falls within Nedbank Corporate Investment Banking cluster/BU. The EP procedure falls within an overall procedure for environmental and social (“E&S”) review of transactions (hereafter referred to as “SEMS Procedure”). The SEMS process does not include only Project finance styled deals but specific products. Environmental & Social assessments are initiated during the course of credit application and review cycle. By extension the EP implementation occurs via this process. Monitoring also occurs via the credit review cycle and in consideration for specific EP covenants placed within the facility /Common terms agreement.

In terms of the Equator Principles reviewers, 3 staff currently implement SEMS procedure and by extension EP implementation. Staff have MSC in environmental sciences and BSC honours qualification in Environmental Sciences.

The Head of Social and Environmental Risk (who reports directly to the CIB: Head of Enterprise Wide Risk) has responsibilities that include awareness training and development of two staff, on-going support to business and Legal teams from an environmental advisory perspective; control of budget and expenditure for environmental team; provide support to CIB marketing on negative reputational risks to the Nedbank brand; environmental enterprise wide risk management.

The first specialist monitors and reviews PF deals within Nedbank and provides training to Credit Risk and Property Finance teams within CIB, and the second specialist focuses on both the EP and client coverage deals, and provides EP and risk training within CIB Credit Risk.

In addition, a specialist in environmental, social and human rights law from Group Sustainability provides support to the various Nedbank business clusters, including awareness training on regulatory and internal policy obligations, on an annual basis.

As part of the Nedbank Sustainability Assurance Engagement FY2016, an external auditor undertook a benchmarking exercise between Nedbank’s current internal process and EP guidance.

Further information on Nedbank’s implementation of the Equator Principles can be found in their Sustainability Review.