Commonwealth Bank helped HRL Morrison & Co coordinate a NZ$180 million sustainable loan for a public-private partnership (PPP) that operates five schools in New Zealand, the first sustainable loan for schools in New Zealand. Zeeland.
“Sustainable lending” labels apply to projects that meet criteria for improving environmental and social outcomes.
The PPP NZ Schools III sustainability loan was accredited on project specific factors including building energy efficiency, waste management, green building standards, water management and social features such as high-quality inclusive learning environments for students, access to local residents for community use, and dedicated satellite classrooms for students with disabilities.
Third-party advice and verification has been provided by a specialist certification body, DNV.
The PPP NZ Schools III was established in 2017 with the New Zealand Department of Education, to design, finance, build and maintain, for 25 years after construction, three primary schools and two high schools in Auckland, Hamilton and Christchurch . PPP NZ Schools III has refinanced its original, maturing loan with the sustainability loan.
Jon Collinge, director of sustainability at Morrison & Co, said the sustainability loan will help New Zealand schools meet the PPP Fund’s sustainability targets.
“We are always looking for ways to improve the sustainability performance of the assets we manage on behalf of our clients. We view the independent accreditation of this sustainable loan as an important benchmark for future social infrastructure projects,” he said.
Charles Davis, Managing Director of Sustainable Finance at Commonwealth Bank, CBA, is delighted to bring another market first by supporting Morrison & Co with this sustainable loan in the New Zealand school sector.
“Sustainable public infrastructure, like these five schools in New Zealand, helps deliver better outcomes for the environment and the communities it serves, and highlights the importance of sustainability for future generations,” said he declared.
Commonwealth Bank acted as the sole sustainability coordinator and co-lenders for the transaction.