Certification

The Climate Bonds Standard and Certification Scheme is a labelling scheme for bonds, loans & other debt instruments. Rigorous scientific criteria ensure that it is consistent with the goals of the Paris Climate Agreement to limit warming to under 2 degrees. The Scheme is used globally by bond issuers, governments, investors and the financial markets to prioritise investments which genuinely contribute to addressing climate change.

 

NTPC

 

 

 

 

 

NTPC Limited is an Indian Public Sector Undertaking, engaged in the business generation of electricity and allied activities. It is majority owned by the Indian Government.

In August 2016 it issued its first green bond.

Receiving orders of over INR 29bn, the Certified Climate Bond attracted an oversubscription ratio of 1.45 with strong response from high quality investors enabling NTPC to upsize the issue size from their original target amount of INR 10bn (c USD 150m).

The investor uptake was split with 80% Asset Managers, Insurers & SWFs, 15% to Banks, and 5% to Private Banks. Demand was strongest in Asia at 70% and 30% in the EU and Middle East. Axis Bank, MUFG, HSBC and Standard Chartered Bank were the joint book-runners and lead managers for the transaction.

This deal achieved the following milestones:

  • First ever offering from India with both green features and Masala bond structure
  • First Masala Bond by an Indian Public Sector entity
  • First 5 year Masala Bond by an Indian issuer

 

Issue Month

Size (Issuance currency)

Size (USD)

Tenor

Geography

Sector Criteria

Verifier's Report

More Info

August 2016

INR 20bn

USD 299m

5 years

India

Wind
Solar

pre issue report by KPMG India

post issuance report by KPMG India

Green Bond Framework

NTPC website