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coVeR

What the

financiers

are saying:

“It is a big thing in New York and in
corporate text books and corporate finance
you would never have seen something
like community and social governance
take a step in front of shareholder return
and maximising cash flow to support
shareholders. It is new territory that isn’t
going away.”
Liam Twigger, PCF Capital

“From the debt perspective there has been
a huge increase in sustainable finance
whether that be green bonds, green
loans or sustainability loans and that is
a real opportunity for companies that are
committed to improving their sustainability
they will actually get a reward in terms of
their margins to incentivise them to do it.”
ANZ (WA) head of loans and specialised
finance Megan Joyce

“From an investors point of view, it filters
down. There is an ESG committee in every
major fund now. There are specific analysts
and researchers going through annual
reports and governance reports to work
out who is going to get strikes and who is
not ticking the boxes and that is certainly a
growth industry from my perspective.”
Hayden Bairstow, Macquarie Group
division director, resources

gathering. Equator Principles are 108 international Hill has led Native Title negotiations
“Understanding the ratings agencies banks, including Australia’s Big Four. on more than 100 projects in Australia,
which publish on ESG is also vital. Any While miners operating in the develop- helping clients meet their legal obliga-
fund will look at these ratings first, so it ing world have long been used to adher- tions. However, she sees the new Equa-
is important to identify if you have been ing to the principles, Australian-focused tor Principles as exceeding domestic law.
rated and have a conversation with the companies will also have to meet the “You could have a situation where,
ratings agencies to make sure their as- standards if they are to attract traditional even if all parties are happy and signed
sessment is consistent with how you see funding. up to an agreement, the bank will still de-
it. It gives more visibility in the eyes of the “There won’t be a project in Australia mand evidence of the process and ad-
investor.” which is not impacted by the new Equa- herence to the Equator Principles,” she
The shifting nature of codes can also tor Principles if their lender is signed up; said. “This goes beyond just Native Title;
be problematic. From July 1, a fourth it is going to be a big change for every- it will include environmental and social
version of the Equator Principles will be one,” Kellie Swanson-Hill, consultant at impact as well.
launched. Among the signatories to the Agreement Hub, told Paydirt. “There is little clarity around how the

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