Industry News <Search  <Archives  <eBulletin   Next>  

November 3, 2020

Credit Agricole CIB implementing green guarantees in Hong Kong
Gammon Construction and Credit Agricole CIB recently announced their agreement to implement one of the first green guarantees in Asia-Pacific, a HKD170 million performance bond associated with a major residential project (New Kowloon Inland Lot No. 6564 at Kai Tak Area 1L Site 1) in Kai Tak, Kowloon developed by Wheelock Properties. 
     In June 2020, Gammon started the discussion with Credit Agricole CIB, to implement a green guarantee, an innovative trade finance product. To satisfy the requirements of this green guarantee, Wheelock Properties' Kai Tak residential project needs to be delivered with a BEAM Plus Gold rating, a comprehensive certification standard for green properties. To achieve the BEAM Plus Gold rating (Version 1.2), Gammon is delivering the project with practices in construction that will reduce the environmental impacts of the building, improve environmental quality and user satisfaction. The Gammon project team will fulfill requirements for the construction phase of the project related to:
- Environmental management including waste, air, noise, and water pollution control
- The use of sustainable and regional materials and timber in temporary works
- Improving the microclimate around and air quality within the building.
     In addition to delivering a green building project, the team has also used a mass battery storage system, called the Enertainer, to reduce noise, air pollution and carbon emissions on site. They have integrated energy saving initiatives and renewable energy use into the site offices and they have adopted precast facade units and aluminum system formwork for typical floors instead of timber to reduce waste and resource use. 
     Francois Martin, Chief Executive Officer of Credit Agricole CIB Hong Kong branch commented “From an ESG perspective, banks have traditionally focused on products like long term debt or project finance. Now is the ripe time for industrial players to set the benchmark and best practices for green trade finance instruments."



Copyright © All rights reserved.