ING Bank N.V. (2019)

Adoption Date: 23 Jun 2003
Country of Headquarters: Netherlands
Region of Headquarters: Europe
Current EPFI Reporting Year/Period: 2019
Institutional Reporting: Link to Report

 

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.

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: 23

Equator Principles Category A1 B2 C3
Sector
Mining 2
Infrastructure 1 1
Oil & Gas 1
Power 2 10 6
Others
Region
Americas 1
Europe, Middle East & Africa 2 4
Asia Pacific 1 8 7
Country Designation
Designated Country4 1 12 7
Non Designated Country 3
Independent Review
Yes 4 10 3
No 2 4
Totals 4 12 7
1

Category A – Projects with potential significant adverse environmental and social risks and/or impacts that are diverse, irreversible or unprecedented.

2

Category B – Projects with potential limited adverse environmental and social risks and/or impacts that are few in number, generally site-specific, largely reversible and readily addressed through mitigation measures.

3

Category C – Projects with minimal or no adverse environmental and social risks and/or impacts.

4

Designated 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. See list of Designated Countries.

Project-related Refinance & Project-related Acquisition For Project Finance

This information is required under EP4. EP4 applies for those transactions mandated after 1 October 2020 and that have reached Financial Close by the end of the period being reported.

Project Name Reporting For Project Finance (And Project-related Refinance & Project-related Acquisition Finance For Project Finance)

No. Project Name Sector Country(s) Year of Financial Close
1 BILBAO OFFSHORE HOLDING LIMITED Power United Kingdom 2019
2 COMPAÑÍA MINERA TECK QUEBRADA BLANCA SA Mining Chile 2019
3 MARPANI SOLAR 9 Power Spain 2019
4 Yunlin Offshore Wind Power Taiwan R.O.C 2019
5 HitachiOmiya Power Japan 2019
6 HES Hartel Tank Terminal B.V. Oil & Gas Netherlands 2019
7 Project Wave Power Portugal 2019
8 Guinea Alumina Corporation SA Mining Guinea 2019
9 Formosa 2 Offshore Wind Power Taiwan R.O.C 2019
10 Project Sun Infrastructure Spain 2019

Number of projects that were not disclosed as per the disclosure conditions specified in Annex B of the Principles: 13

Under EP4, project name reporting is required for Project Finance transactions that have reached Financial Close and encouraged for Project-Related Corporate Loans that have reached Financial Close.

Project-Related Corporate Loans

Total number that reached Financial Close in the reporting period: 3

Equator Principles Category A1 B2 C3
Sector
Mining
Infrastructure
Oil & Gas 1 1
Power 1
Others
Region
Americas
Europe, Middle East & Africa 1 2
Asia Pacific
Country Designation
Designated Country4
Non Designated Country 1 2
Independent Review
Yes 1 2
No
Totals 1 2
1

Category A – Projects with potential significant adverse environmental and social risks and/or impacts that are diverse, irreversible or unprecedented.

2

Category B – Projects with potential limited adverse environmental and social risks and/or impacts that are few in number, generally site-specific, largely reversible and readily addressed through mitigation measures.

3

Category C – Projects with minimal or no adverse environmental and social risks and/or impacts.

4

Designated 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. See list of Designated Countries.

Project-related Refinance & Project-related Acquisition For Project-related Corporate Loans

This information is required under EP4. EP4 applies for those transactions mandated after 1 October 2020 and that have reached Financial Close by the end of the period being reported.

Project Name Reporting For Project-related Corporate Loans (And Project-related Refinance & Project-related Acquisition For Project-related Corporate Loans)

Number of projects that were not disclosed as per the disclosure conditions specified in Annex B of the Principles: 3

Under EP4, project name reporting is encouraged for Project-Related Corporate Loans that have reached Financial Close and required for Project Finance transactions that have reached Financial Close.

EP4 applies for those transactions mandated after 1 October 2020 and that have reached Financial Close by the end of the period being reported.

Implementation of the Equator Principles

Applying the Equator Principles (EP)

As an Equator Principles (EP) Financial Institution, we implement the EPs in our internal environmental and social policies, procedures and standards. We do not provide project finance or project-related corporate loans to clients that are unable, or choose not, to comply with the principles. All EP transactions are reviewed at least annually, at which time covenant compliance is typically affirmed.

The EPs are embedded in ING’s ESR Framework, and require involvement of the following three banking areas:
– Front Office: departments originate transactions and have direct contact with the client or project sponsors.
– Risk Managers: departments that provide control over Front Office activities and generally sign off on the environmental and social impacts for ’Low Risk’ or ‘Medium Risk’ EP deals, which generally refer to Category C projects or Category A and B in designated countries.
– Environmental and Social Risk: department within risk management fully dedicated to assessing environmental and social impacts associated with ’High Risk’ transactions, which in the context of EP generally refer to Category A and B projects in non-designated countries. Negative advice from the ESR Desk can only be waived by ING’s highest Credit Committee or the Executive Board. In practice such waivers are exceptional.

As our risk assessment processes are decentralised, each front-office team must be highly familiar with ING’s Environmental and Social framework and in particular Equator Principles III (EPIII). Hence, ING makes significant investment in internal training programs to help front office and risk management staff in assessing the environmental and social risk under EPIII. ING’s ESR team also provides training (both in-person and via webinars) to hundreds of colleagues around the world every year in risk, front-office, KYC and compliance teams, so that ESR knowledge, and knowledge on the Equator Principles, is built on and spread. Training in 2020 will concentrate on the implementation of EP4.

ING remains an active member and strong supporter of the Equator Principles. Although ING stepped down from the EP Steering Committee in 2018, we remain active within the Equator Principles Association by participating as a member of several working groups, including those on social risks, climate change and scope – and co-leading the capacity building and training working group. In addition ING co-coordinated the most recent update of the Principles that resulted in EP4, which is set to come into effect in October 2020.

For further information please refer to:

ING Group Annual Report 20192018

ING Group Annual Report 

ING Environmental and Social Risk Framework

ING’s Environmental Approach

ING and the Dakota Access pipeline