Sustainable finance
E&S CAPEX budget, cost of non-compliance, E&S performance assessment and valuation in negotiations with DFIs.
Long reads
Green bonds and African infrastructure: hydro eligibility criteria
A green bond is not a label one affixes to a power plant. It is a quantified promise made to investors. For hydroelectricity, this promise runs up against a threshold, a calculation method and a controversy over large hydro. Eligibility is demonstrated, category by category, with supporting documents.
E&S Conditions Precedent in Credit Documentation
A credit agreement is not read solely through the eyes of a lawyer or financier. It contains environmental and social clauses that condition the first drawdown, govern the entire life of the loan and can trigger a default. The E&S officer who discovers them at signing has already lost control.
Environmental and Social Action Plan (ESAP): negotiating realistic actions with multiple lenders
Due diligence is complete. Each lender returns with its list of gaps and expectations. The developer must consolidate everything into a single action plan, achievable and signed off by all. This is where the real feasibility of the project is determined, far more than in the assessment report.
Equator Principles EP4: what changes concretely for the developer
The Equator Principles are not just another standard. They are the rules followed by most commercial banks that finance infrastructure projects. Version EP4 has raised the bar on two fronts that the borrower can no longer treat at the end of the file: human rights and climate. Here is what this changes in the deliverables.
Leveraging E&S Performance in Negotiation with a DFI
Most companies view E&S performance as a prerequisite for accessing finance. This is accurate but insufficient. Mature, properly documented performance becomes a lever for negotiating margins, covenants and mission frequency. This valorisation requires method and anticipation.
GRI reporting for infrastructure projects: adapting the standards to your reality
The GRI Standards are the most widely used sustainability reporting framework in the world. For an infrastructure operator, their adaptation involves honest selection of material issues, articulation with existing DFI frameworks, and a production discipline built over several years.
E&S Director: what ROI for the company? Arguments to convince the CFO
The E&S function is the first to be questioned when the company seeks savings. Defence by regulatory compliance does not hold well against a pragmatic CFO. The argument that works highlights five measurable value creation levers.
How DFIs Assess E&S Performance Before Disbursing Funds
A loan from an international lender is not disbursed in a single tranche. It proceeds in instalments, conditional on milestones, governed by covenants, subject to periodic reviews. The mechanism is demanding, sometimes subtle, and directly conditions the project's cash flow.
The Financial Cost of E&S Non-Compliance: Real Cases and Lessons Learnt
A major E&S non-compliance on an infrastructure project does not cost a fine. It costs months of schedule, disbursement suspensions, accounting provisions, sometimes the impairment of an entire asset. Anticipating these costs is the best economic justification for a serious E&S investment.
Budgeting E&S CAPEX: methodology for internationally financed projects
The E&S budget of an infrastructure project is often the last line to be finalised and the first to be cut during trade-off phases. The consequences are then paid for years afterwards. Serious budgeting rests on seven lines that every project owner benefits from distinguishing upfront.