Ssangyong C&E Obtains Top Green Bond Certification Grades 'GB1·G1'

First in Domestic Cement Industry... Highest Ratings from Korea Credit Rating and Korea Enterprise Rating
Considering Issuance of Green Bonds for Investment in Circular Resource Processing and Waste Heat Power Generation Facilities

Exterior view of Ssangyong C&E Donghae Plant. [Photo by Ssangyong C&E]

[Asia Economy Reporter Kim Jong-hwa] Ssangyong C&E has obtained the highest certification ratings for green bond issuance, 'GB1' and 'G1', from Korea Ratings and Korea Investors Service, respectively. This marks the first time in the domestic cement industry that the highest grade for green bonds has been awarded, as well as Ssangyong C&E being the first to pursue bond issuance.

Green bonds are a type of ESG bond issued for eco-friendly investments. Certification ratings are comprehensively evaluated based on △appropriateness of the use of raised funds △project evaluation and selection procedures △management and post-reporting systems of the raised funds.

The green bonds Ssangyong C&E is promoting have been evaluated not only to comply with the Ministry of Environment’s Green Bond Guidelines and the International Capital Market Association (ICMA)’s Green Bond Principles (GBP) regarding the use of funds, but also to have well-established operational evaluation processes centered on the ESG Management Committee.

Based on this evaluation result, Ssangyong C&E stated that it may consider the timing and scale of issuance as needed in the future and proceed with green bond issuance. If issued, the funds will be used to build circular resource processing facilities and waste heat power generation equipment.

Following the establishment of the ESG Management Committee for the first time in the industry last December, Ssangyong C&E changed its company name to 'Ssangyong C&E' in March and announced a new management vision, 'Green 2030', accelerating ESG management to prepare for a leap into a comprehensive environmental company.

Additionally, it aims to achieve '0' use of bituminous coal (decoalization) by 2030 through expanding circular resource processing facilities that utilize waste synthetic resin as cement fuel.

A Ssangyong C&E official said, "The acquisition of the highest grade for green bonds this time is the result of steadily dedicating efforts to establishing the foundation of ESG management, such as the industry-first establishment of the ESG Management Committee," adding, "We will continue to prioritize ESG management and strive to create a clean environment and fulfill the company’s social responsibilities."

This content was produced with the assistance of AI translation services.