Sustainable Finance

Sustainable finance is defined as finance for the purpose of realizing a sustainable society. By working for the continuous execution and expansion of finance that conforms to ESG management, JACCS will advance its efforts toward solving social issues through business activities focused on ESG, and will aim for the realization of a sustainable society and the enhancement of corporate value.

Positive Impact Finance is based on the Principals for Positive Impact Finance and related guidelines for implementation developed by the United Nations Environment Programme Financial Initiative (UNEP FI). Financing based on these principles has the objective of continuously supporting the target activities after holistically analyzing and assessing the environmental, social and economic impacts caused by the business activities (positive and negative impacts). The greatest merit of Positive Impact Finance is its utilization of the degree of contribution of the enterprise’s activities, products and services toward the attainment of the Sustainable Development Goals (SDGs) as an evaluation index, and the inclusion of monitoring based on disclosure information.

• March 31, 2023: Notice regarding the conclusion of a Positive Impact Finance agreement, as the first of its type in the consumer credit industry（Japanese only）
• Conclusion of Positive Impact Finance agreement with JACCS Co., Ltd.（Japanese only）

• Third-party opinion provided by Japan Credit Rating Agency, Ltd.（Japanese only）

• JACCS concludes Positive Impact Finance agreement with Aozora Bank（Japanese only）
• Execution of Positive Impact Finance based on the Aozora ESG Framework（Japanese only）

• Second opinion provided by Rating and Investment Information, Inc.（Japanese only）

• [Sustainable Impact] Regarding the Implementation of Positive Impact Finance for JACCS Co., Ltd.

• Assessment Report by the Assessment Office, Sustainable Impact Promotion Department, SBI Shinsei Bank, Ltd.

Green bonds are bonds issued by companies, local government authorities and other parties for the purpose of procuring funds necessary for green projects. Green projects are projects that have an environmental improvement effect, and include such categories as renewable energy projects, construction or renovation of energy-saving structures, and prevention or management of environmental contamination.

JACCS has formulated a Green Finance Framework, and issued green bonds based on that framework.

• The First Green Bonds
• The Second Green Bonds

• April 9, 2019: Notice regarding the issuance of Green Bonds（Japanese only）
• Green Bond Framework（Japanese only）

• *
  Party that supports the issuance of green bonds, etc., by advising the issuer on the development of a green bond framework, and on obtaining a second-party opinion.

(At the time of issuance)

• Green Bond Evaluation by Japan Credit Rating Agency, Ltd.（Japanese only）

(At the time of issuance)

• Green Bond Review by Japan Credit Rating Agency, Ltd.（Japanese only）

(Japanese syllabary order)

• The Sugamo Shinkin Bank
• Tokio Marine Asset Management Co., Ltd.
• Sumitomo Mitsui Trust Asset Management Co., Ltd.

• Status of the use of proceeds
  All of the funds raised through the issuance of these Green Bonds were used as funds for redemption of commercial paper issued for execution funds for solar power projects. These funds’ main purpose is for the installation of solar power generation systems, etc.
• Environmental improvement effects
  Through the eligible green projects, the annual total CO2 emission reduction effect is 12,332 tons, and the annual total amount of electricity generated is 25,608MWh. (Theoretical values based on the output specifications as of March 31, 2024)

• November 15, 2021: Notice regarding the issuance of Green Bonds（Japanese only）
• December 3, 2021: Notice regarding the issuance of Green Bonds（Japanese only）
• Green Bond Framework（Japanese only）

• *
  Party that supports the issuance of green bonds, etc., by advising the issuer on the development of a green bond framework, and on obtaining a second-party opinion.

• Green Finance Framework Evaluation by Japan Credit Rating Agency, Ltd.（Japanese only）

(Japanese syllabary order)

• The Ome Shinkin Bank
• The Gifu Shinkin Bank
• JA Shizuoka-ken Shinren
• Tokio Marine Asset Management Co., Ltd.
• The Towa Bank, Ltd.
• The Fukuoka Chuo Bank, Ltd.
• JA Mie Shinren
• Sumitomo Mitsui Trust Asset Management Co., Ltd.

• Status of the use of proceeds
  All of the funds raised through the issuance of these green bonds were used as funds for redemption of short-term corporate bonds issued to fund replacement payment for installment credit receivables. These credits were for solar power generation equipment and storage batteries.
• Environmental improvement effects (1)
  Through the eligible green projects, the annual total CO2 emission reduction effect is 15,838 tons, and the annual total amount of electricity generated is 37,276MWh.
  (Theoretical values based on the output specifications as of March 31, 2025)
• Environmental improvement effects (2)
  The rated capacity of storage batteries owned by customers is 6kW–10kW. These were purchased through storage battery loans provided by JACCS.

Green loans are loans extended to companies, local government authorities and other parties for the purpose of procuring funds necessary for green projects. Green projects are projects that have an environmental improvement effect, and include such categories as renewable energy projects, construction or renovation of energy-saving structures, and prevention or management of environmental contamination.

• September 30, 2022: Notice regarding the conclusion of an agreement for JACCS’ first Green Loan（Japanese only）
• Commencement of handling “Nissay Green Loans（Japanese only）

• *
  This agreement was executed based on the “Nissay Green Loan Framework,” which was formulated by Nippon Life Insurance Company.

• Third-party evaluation concerning eligibility under the Green Loan Principles, etc., of Nippon Life Insurance Company’s “Nissay Green Loan Framework”（Japanese only）

• Environmental improvement effects (1)
  Through the eligible green projects, the annual total CO2 emission reduction effect is 1,556 tons, and the annual total amount of electricity generated is 3,660MWh.
  (Theoretical values based on the output specifications as of September 30, 2024)
• Environmental improvement effects (2)
  The rated capacity of storage batteries owned by customers is 6kW–10kW. These were purchased through storage battery loans provided by JACCS.
• Status of the use of proceeds
  All of the funds raised through this Green Loan were applied to solar loan installment credit receivables. The main purpose of these solar loans was for solar power generation equipment and storage batteries.

• *
  This agreement was executed based on the “Green Loan Framework,” which was formulated by JACCS.

• Green Loan Framework（Japanese only）

• Environmental improvement effects (1)
  Through the eligible green projects, the annual total CO2 emission reduction effect is 13,740 tons, and the annual total amount of electricity generated is 32,247MWh.
  (Theoretical values based on the output specifications as of March 31, 2025)
• Environmental improvement effects (2)
  The rated capacity of storage batteries owned by customers is 6kW–10kW. These were purchased through storage battery loans provided by JACCS.
• Status of the use of proceeds
  All of the funds raised through this Green Loan were applied to solar loan installment credit receivables. The main purpose of these solar loans was for solar power generation equipment and storage batteries.