Agri-Food Deforestation andConversion
Free
(DCF)
Sourcing FAQs
Frequently Asked Questions
Final for issuance
NOTE: These Criteria can be used to certify Agri-Food Entities per the Climate Bonds Standards

Revision

Date

Summary of Changes

Rev. 2

11.03.2024

Final for Issuance

Rev. 129.02.2024

Adjusting for feedback from Public Consultation and
TWG members

Rev. 022.12.2023

Draft for Public Consultation

Climate Bonds Initiative - Agri-Food Deforestation and Conversion Free (DCF) Sourcing FAQs
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Table of Contents
Definitions

4

1

Introduction

8

2

Questions on Scope

8

What is the Climate Bonds Initiative?

8

Is certification against the Agri-Food Deforestation and Conversion free Sourcing (Agri-Food DCF Sourcing) Criteria
the same as being certified as 1.5° aligned?
8
What do the Agri-Food DCF Sourcing Criteria do?

8

What are the various commodities covered under the Agri-Food DCF Sourcing Criteria?

8What financial instruments and entities can be certified under the Agri-Food DCF Sourcing Criteria?

9

Can an Entity have both the Agriculture ‘transition/aligned entity’ label as well as the Agri-Food DCF sourcing label(depending on their economic activities) or will it be one or the other?
9
Do all the agri-food commodities sourced by an entity need to be deforestation free under these Criteria?

3

4

10

Questions on Criteria Requirement10

How is the risk categorization of the countries established?

10

How can the deforestation risk category for a country be identified if it is currently not covered under the list
provided by Climate Bonds Initiative (Climate Bonds).

10

Do all agri-food commodities, whether originating from high or low-risk countries, need to be traceable to thegeolocation of the original production land plot?

10

Are mass balance chains of custody allowed under these Criteria?

10What are the traceability requirements?

10

Questions on Verifications

11

What sampling procedure needs to be followed by the verifier while performing the annual checks?

11

For the entities that have livestock in their supply chain, what additional checks will be carried out to ensure it isdeforestation and conversion free?
11

5What information must be provided to the Climate Bonds approved verifiers during the verification process?

11

What will be the frequency of the check carried out by the verifiers for Agri-Food DCF Sourcing certification?

11

Questions on Certifications

12

What is the basic requirement for existing third-party certification to be used as a proxy to support compliance? 12
What is the process of issuing Agri-Food DCF Sourcing certification?

12

How long will the Agri-Food DCF Sourcing certification remain valid for?

12

What happens if the Certified Entity has undertaken new economic activities?

12

What situation can lead to revocation of Entity Certification?

12

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Definitions
Agri-food Entity
Entities with at least 50% of revenue generated from agri-food supply chains.
Agri-food Commodities
Agricultural commodities, including those consumed directly (such as beef or cocoa), those used in processing or embedded inmeat, farmed seafood, and dairy products (such as oil palm and soy in livestock feed), and those used in the packaging of foo dproducts (such as pulp and paper).
Buyer1
A company that purchases raw materials, processed materials, or finished products from a supplier.
-

Buyers can include processors (e.g., mills or slaughterhouses), traders, manufacturers, and retailers. Traders buy raw orprocessed materials from farms or processing mills, while retailers buy consumer products from manufacturers.

-

A given company can be both a supplier and a buyer.

Certified Entity2
The entity which is certified under the Climate Bonds Standard and Agri-Food Deforestation and Conversion Free Sourcing
Criteria.
Climate Bonds Certification
Certification is awarded by Climate Bonds if all the requirements under the Climate Bonds Standard that apply at the time of
Certification are met. Certification allows the applicant to use the Climate Bond Certification Mark. Climate Bond Certification isprovided once the independent CBSB is satisfied that the Entity conforms with the CBS.
Climate Bonds Initiative (Climate Bonds)
An investor focused not-for-profit UK based organisation, promoting large-scale investments that will deliver a global low-carbon
and climate-resilient economy. Climate Bonds seeks to develop mechanisms to better align the interests of investors, industry, andgovernments to catalyse investments at a speed and scale sufficient to avoid dangerous climate change.
Climate Bonds Standard (CBS)A robust framework based on international best practice in green finance which defines the processes to be followed and Sector
Criteria that must be met to achieve certification under the Climate Bonds Standard. The current version of the Climate Bonds
Standard is published on the Climate Bonds website.
Climate Bonds Standard Board (CBSB)An advisory committee set up to review the Standard, Sector Criteria, applications for certification under the Standard andapplications by prospective verifiers and to make recommendations to the Trustees and the executive management of the Climate
Bonds Initiative.
Conversion 1
Note: The Criteria follow the definition from AFi (2020), with regards to requirements and verification for ecosystem conversion
different from deforestation (i.e. deforestation-free requirements follow EUDR definitions).
Change of a natural ecosystem to another land use or profound change in a natural ecosystem’s species composition, structure, orfunction.
-

1
2

Deforestation is one form of conversion (in these Criteria, following the EUDR definitions).

AFi, 2020 Accountability Framework: Terms and Definitions
Climate Bonds Standards v.4, 2023

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Conversion includes severe degradation or the introduction of management practices that result in a substantial and sustainedchange in the ecosystem’s former species composition, structure, or function.
Change to natural ecosystems that meets this definition is considered to be conversion regardless of whether or not it is legal.

Cut-off date1
The date after which deforestation or conversion renders a given area or production unit non-compliant with no-deforestation or
no-conversion commitments, respectively.
Deforestation3
The conversion of forest to agricultural use, whether human-induced or not.
Note: For the purpose of these Criteria, this includes forest degradation for wood products (ie. pulp and paper), as in EUDR. See
definition of ‘Forest Degradation’.
Deforestation FreeThe relevant products contain, have been fed with or have been made using, relevant commodities that were produced on landthat has not been subject to deforestation or the conversion of other natural ecosystems after 31 December 2020.
Due diligence 1
A risk management process implemented by a company to identify, prevent, mitigate, and account for how it addresses
environmental and social risks and impacts in its operations, supply chains, and investments.
Note: This definition of due diligence pertains to environmental and social issues in commodity supply chains, consistent with thescope of the Accountability Framework. Other forms of business due diligence — such as financial and legal due diligence — are notincluded in this definition.
Forest3
Land spanning more than 0.5 hectares with trees higher than 5 metres and a canopy cover of more than 10%, or trees able to reachthose thresholds in situ, excluding land that is predominantly under agricultural or urban land use.
Forest Degradation 3
Structural changes to forest cover, taking the form of the conversion of: (a) primary forests or naturally regenerating forests4[including secondary forests, coppice, and those with non-native species]* into plantation forests or into other wooded land; or (b)primary forests [including native or natural forests]* into planted forests.5
This definition applies to degradation in wood production (i.e. pulp and paper). For other non-forest ecosystems, the AFi definitionof Natural Ecosystem Degradation applies. *Clarifications introduced for the Agri-Food DCF Sourcing Criteria verification procedures.
Verifiers are required to annually check the HCV status and area under management in plantation, planted, native, natural forest
cover and other natural ecosystems, including peatland subsidence, erosion and compaction.
Geolocation3
The geographical location of a plot of land described by means of latitude and longitude coordinates corresponding to at leas t one
latitude and one longitude point and using at least six decimal digits; for plots of land of more than four hectares used for the3

EUDR, 2023: European Union Deforestation Regulation

4

As per EUDR (2023), Article 2: “‘naturally regenerating forest’ means forest predominantly composed of trees established through natural regeneration; it includes
any of the following: a) forests for which it is not possible to distinguish whether planted or naturally regenerated; b) forests with a mix of naturally regenerated
native tree species and planted or seeded trees, and where the naturally regenerated trees are expected to constitute the major part of the growing stock at standmaturity; c) coppice from trees originally established through natural regeneration; d) naturally regenerated trees of introduced species.”
5 As defined in EUDR, 2023, Article 2: ‘planted forest’ means forest predominantly composed of trees established through planting and/or deliberate seeding,provided that the planted or seeded trees are expected to constitute more than 50 % of the growing stock at maturity; it includes coppice from trees that wereoriginally planted or seeded; ‘plantation forest’ means a planted forest that is intensively managed and meets, at planting and stand maturity, all the following
criteria: one or two species, even age class, and regular spacing; it includes short rotation plantations for wood, fibre and energy, and excludes forests planted forprotection or ecosystem restoration, as well as forests established through planting or seeding, which at stand maturity resemble or will resemble naturally
regenerating forests.
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Final for issuanceproduction of the relevant commodities other than cattle6, this shall be provided using polygons with sufficient latitude andlongitude points to describe the perimeter of each plot of land.
Industry Working Group (IWG)
A group of key organisations that are potential applicants, verifiers, investors and other stakeholders convened by Climate Bonds.
The IWG provides feedback on the draft Sector Criteria developed by the TWG before they are released for public consultation.
Natural ecosystem1
An ecosystem that substantially resembles — in terms of species composition, structure, and ecological function — one that is or
would be found in a given area in the absence of major human impacts. This includes human-managed ecosystems where much of
the natural species’ composition, structure, and ecological function are present.
For these Criteria, this definition of natural ecosystems includes:-

Largely ‘pristine’ natural ecosystems that have not been subject to major human impacts in recent history.

-

Regenerated natural ecosystems that were subject to major impacts in the past (for instance by agriculture, livestock raising ,tree plantations, or intensive logging) but where the main causes of impact have ceased or greatly diminished and theecosystem has attained species composition, structure, and ecological function similar to prior or other contemporary natural
ecosystems-

Managed natural ecosystems (including many ecosystems that could be referred to as ‘semi-natural’) where much of theecosystem’s composition, structure, and ecological function are present.

-

Native grasslands or rangelands that are, or have historically been, grazed by livestock.

-

Natural ecosystems that have been partially degraded by anthropogenic or natural causes (e.g., harvesting, fire, climate chan ge,
invasive species, or others) but where the land has not been converted to another use and where much of the ecosystem’s
composition, structure, and ecological function remain present or are expected to regenerate naturally or by management forecological restoration.

Natural Ecosystem Degradation1
Changes within a natural ecosystem that significantly and negatively affect its species composition, structure, and/or functi on andreduce the ecosystem’s capacity to supply products, support biodiversity, and/or deliver ecosystem services.
Degradation may be considered conversion if it:-is large-scale and progressive or enduring.
alters ecosystem composition, structure, and function to the extent that regeneration to a previous state is unlikely; orleads to a change in land use (e.g., to agriculture or other use that is not a natural forest or other natural ecosystem).

Note: This definition applies to all natural ecosystems, except for forest degradation in pulp and paper production (which follows
EUDR).
Parent Company/GroupA company is considered a parent company of another entity (a subsidiary) if it exercises control over the subsidiary. The terms‘control’ and ‘subsidiary’ have the meaning assigned to them under International Financial Reporting Standard 10 (IFRS 10). A Parent
Group consists of the Parent Company and all the companies that the Parent Company exercises control over. Where the Applicant
does not belong to a group of companies, the term Parent Company in this Standard applies to the Applicant.
Risk assessment 1

6

Establishments where cattle are kept can be described with a single point of geolocation coordinate. Operators (or traders that are not SMEs) who place on themarket cattle products must geolocate all establishments associated with raising the cattle, encompassing the birthplace, farms where they were fed, grazing lands,
and slaughterhouses. Frequently Asked Questions - Deforestation Regulation - European Commission (europa.eu)

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A systematic process of evaluating potential risk in a company’s current or future operations, supply chains, and investments.
-

In this context, this term refers to the assessment of risk of non-compliance with the company commitments or applicablelaw related to Climate Bonds Standard scope, as well as adverse impacts to internationally recognised human rights. Thisis different from the use of the term in a general business context, where it refers to the assessment of financial risks andthe drivers of such risk (e.g., legal risk, credit risk, reputation risk, and others). The risk of adverse social and environmental
impacts, including non-compliance with company commitments, can be an important element of broader business risk.

Supplier1
A producer or company that supplies raw materials, processed materials, or finished products to a buyer.
-

Suppliers can include producers, processors, traders, and manufacturers. For instance, farms or processing mills supply raw orprocessed materials to traders, while manufacturers supply consumer products to retailers.
A given company can be both a supplier and a buyer.
A supplier may either be a direct (tier 1) supplier (selling directly to the buyer) or an indirect (tier 2 or beyond) supplier (sellingto an intermediary that is one or more steps removed from the buyer).

Technical Working Group (TWG)
A group of key experts from academia, international agencies, industry, and NGOs convened by Climate Bonds. The TWG develops
the Sector Criteria - detailed technical Criteria for the eligibility of projects and assets as well as guidance on the tracking of eligibility
status during the term of the bond. Their draft recommendations are refined through engagement with finance and other industry
experts in convened Industry Working Groups and through public consultation. Final approval of Sector Criteria is given by th e CBSB.
Tier 1 Supplier
Immediate upstream business partner from which products or commodities are purchased directly.
Verification
Assessment and validation of compliance, performance, and/or actions relative to a stated commitment, standard, or target.
Verification processes typically utilise monitoring data but may also include other sources of information and analysis. The
verification process is overseen by Climate Bonds. And the resulting report is used in awarding the Climate Bonds Certification mark.

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1 Introduction
The purpose of this document is to provide answers to a series of questions that are commonly asked by our clients and clarity on
topics that are relevant to the ‘Agri-Food Deforestation and Conversion Free Sourcing Criteria’. The topics covered in this document
are:
•
•
•

Questions on scope
Questions on Criteria requirements
Questions on Verification and Certification

2 Questions on scope
What is the Climate Bonds Initiative?
Climate Bonds Initiative is an international investor-focused and not-for-profit organisation working solely to mobilize the $100
trillion bond market for climate change solutions. We promote investment in projects and assets necessary for a rapid transition toa low carbon and climate resilient economy. The strategy is to develop a large and liquid Green and Climate Bonds market that will
help drive down the cost of capital for climate projects in developed and emerging markets; to grow aggregation mechanisms fo r
fragmented sectors; and to support governments seeking to tap debt capital markets. Our work falls into three workstreams: market
intelligence, developing a trusted standard and providing policy models and advice.

Is certification against the Agri-Food Deforestation and Conversion free Sourcing (Agri-Food DCF Sourcing)Criteria the same as being certified as 1.5° aligned?
The Agri-Food DCF sourcing Criteria are focused on deforestation and conversion in agri-food supply chains. Land use change is a
critical driver of emissions and must be tackled urgently to address climate change, however land use change in agri -food supply
chains may not cover all scopes of emissions for relevant stakeholders and therefore is not labelled as 1.5°C aligned.

What do the Agri-Food DCF Sourcing Criteria do?
The ‘Agri-Food DCF Sourcing Criteria’ provide a clear rule set for establishing and monitoring agricultural supply chains to sourcefrom land that has not been subject to deforestation or conversion of natural ecosystem after 31 December 2020.
The Agri-Food DCF Sourcing Criteria provide clarity and comfort that finance issued against these Criteria do not involve any
purchasing, processing, trading, distributing or selling agri-food commodities, products and derived ingredients whose production,
after 31 December 2020, has been linked to conversion of any natural ecosystem to another land use. Including, among others (seedefinitions)• Deforestation, including forest degradation.
• Peatland drainage, development or peat burning.

What are the various commodities covered under the Agri-Food DCF Sourcing Criteria?
Any agri-food commodity that is produced on land or that is dependent on land-based production are covered under these Criteria.
This includes but is not limited to commodities commonly associated with deforestation and conversion risks (such as cattle, cocoa,
coffee, palm oil, pulp and paper, and soy), including animal products such as beef, chicken, and farmed seafood whose production
includes embedded high-risk commodities such as soy or palm oil and other feed crops along with agri-food commodities that are
not usually linked with deforestation.
However, since the focus of these Criteria is agri-food commodities only, non agri-food commodities such as timber, wood andother land-grown commodities in highly processed products that are not related to the agri-food supply chains (e.g. personal care,paints), bioenergy and leather are excluded.

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What financial instruments and entities can be certified under the Agri-Food DCF Sourcing Criteria?
Supply chain actors that generate a 50% of their revenue from agri-food commodity supply chains can seek entity certification.
Example: traders, processors, manufacturers, distributors and retailers can be certified as “Agri-Food Deforestation and Conversion
Free” under these Criteria.

Type of Financial
instrument/entity

Enabling
activities/Assets/SLD/
Entities

EntityProducer/Grower

Supply chain actors
other than producer

Agriculture Criteria either "In transition"or "1.5°C aligned"label

Agri-Food DCF Sourcing
Criteria- "Agri-Food
Deforestion andConversion Free" label"1.5°C aligned" label under
Climate Bonds Standard v.4

Figure 1: Flowchart indicating eligibility of Final instruments and entities under Agri-Food DCF Sourcing Criteria
Financial instruments including Use of Proceeds and Sustainability-Linked Debt, Assets, and Entities that enable deforestation andnatural ecosystem conversion free sourcing (e.g. entities operating in the land-use change monitoring or traceability system space)can be certified under Climate Bonds Standard v.4 as “1.5° Aligned” for eligible activities. (Figure 1)

Can an Entity have both the Agriculture ‘transition/aligned entity’ label as well as the Agri-Food DCF label(depending on their economic activities) or will it be one or the other?
Our current Agriculture Criteria applies to the crop and livestock production, but supply chain is out of its scope (Figure 2). Therefore,
the companies that will apply under Agri-Food DCF Sourcing Criteria will not be eligible under our Agriculture Criteria.

Included in Agri-Food DCF Sourcing Criteria

Included in Agriculture Criteria

Figure 2: Scope of Agri-Food DCF Sourcing Criteria
Agri-Food DCF Sourcing Criteria is specifically for the entities other than the grower. It covers only one very specificelement/requirement i.e., ‘sourcing of deforestation and conversion free’ (covering forest degradation and conversion of natural
ecosystem after 31 December 2020) agri-food commodity. To be certified, the entities need to provide sufficient evidence proving

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Final for issuanceno deforestation and conversion after 31 dec 2020 is associated with the sourced agri-food commodities in their supply chain which
will require fulfilling the requirements set under the Criteria.

Do all the agri-food commodities sourced by an entity need to be deforestation and conversion free underthese Criteria?
Yes, for certification – if the agri-food commodity (including its derivatives and fractions) accounts for 1% or more of the entity’s
net procurement spend on agri-food commodities, food products and food product ingredients it needs to be included. In addition,the ‘Certification Threshold’ where compliant activities represent at least 90% of agri-food net procurement spend of an entity, also
applies.
In practice this means that very small (<1% of procurement spend) purchases of agri-food commodities fall outside the scope ofthese Criteria as long as 90% of the entity's total agri-food net procurement spend is included. The Criteria on materiality also apply
to products or ingredients manufactured by third parties that are sold or distributed by certified entities (such as retailer s for
instance).

3 Questions on Criteria requirement
How is the risk categorization of the countries established?
The methodology used to identify high- and low-risk countries relies on assessments independently provided and data publishedby Global Forest Watch. For each country, the deforestation risk is assessed based on the ratio of total natural forest land lost for
the last 5 years (2018-2022) relative to the total natural forest cover in 2000. If this ratio is higher than 1%, then we consider therisk to be high. The risk is low for values below 1%.

How can the deforestation risk category for a country be identified if it is currently not covered under the list
provided by Climate Bonds.
If a country is not covered under the list provided by Climate Bonds, approved verifiers will identify the deforestation risk for thatcountry using the established methodology.

Do all agri-food commodities, whether originating from high or low-risk countries, need to be traceable to
the geolocation of the original production land plot?
No, until 2030 agri-food commodities originating from low-risk countries (except for cattle, cocoa, coffee, palm oil, pulp and paper,and soy), are only required to be traced to the country of origin. In many cases this may be the primary processing facility. After 1
January 2030 all commodities need to be traceable to the geolocation to the original production land plot (polygon for > 4ha orsingle point for < 4 ha).
However, all agri-food commodities falling under the scope of these Criteria that originate from high-risk countries and for cattle,
cocoa, coffee, palm oil, pulp and paper, and soy, are required to be traceable to the geolocation to the original production land plot
(polygon for > 4ha or single point for < 4 ha).

Are mass balance chains of custody allowed under these Criteria?
No, mass-balanced supply chain models that allow for the mixing of complaint with non-complaint commodities are not allowed
under these Criteria. To be compliant with these Criteria all traceable DCF agri-food commodities need to be segregated from
commodities of unknown origin or from non DCF commodities at every step of the supply chain.

What are the traceability requirements?
Following are the traceability requirements:

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1.
2.

High-risk origin and for cattle, cocoa, coffee, palm oil, pulp and paper, and soy (of any origin): Geolocation to the original
production land plot (polygon for > 4ha or single point for < 4 ha).
Low-risk origin (except cattle, cocoa, coffee, palm oil, pulp and paper, and soy): Traced to country of origin or primaryprocessing facility. After 1 January, 2030, geolocation to the original production land plot (polygon for > 4ha or single pointfor < 4 ha).

4 Questions on Verifications
What sampling procedure needs to be followed by the Verifier while performing the annual checks?
Climate Bonds Approved Verifiers will check traceability data through randomly selected samples:
At least 10% of the procured volume and at least 10% of the total number of suppliers of the combined agri-food commodities(including for any processed products) will be checked. For entities that have livestock products in their supply chains, at least 25%of the samples selected for such companies are required to consist of livestock supply chains.

For the entities that have livestock in their supply chain, what additional checks will be carried out to ensure
it is deforestation and conversion free?
While selecting the sample for verification at least 25% of the samples selected for such companies are required to consist o f
livestock supply chains. The additional check includes confirmation and verification of risk status associated with both livestock andagri-food commodities used as feed.
For livestock or livestock feed of high-risk origin (Verification of geolocation of production units): For livestock products in the supply
chains that are sourced from high-risk countries, both the geolocation to the original production land plot (polygon for > 4ha orsingle point for < 4 ha) of the livestock source and livestock feed are required.
For livestock or livestock feed of low-risk origin (Verification of low-risk country of origin): For livestock products in the supply chainsthat are sourced from low-risk countries, both the country of origin of the livestock and the livestock feed should be verified as
produced in low-risk countries. If any livestock feed includes agri-food commodities from high-risk countries, it has to be verified atgeolocation to the original production land plot (polygon for > 4ha or single point for < 4 ha).

What information must be provided to the Climate Bonds approved verifiers during the verification process?
1.
2.
3.
4.
5.
6.

Supplier lists and associated purchasing volumes per commodity per country of origin.
Due diligence statements from their suppliers consistent with the requirements under the EUDR.
Geolocation data for all agri-food commodities and their derivatives as per the requirements set under these Criteria.
Calculations and source data for companies claiming that individual agri-food commodities fall below the 1% commodity
procurement spend.
If a third-party certification proxy is used, access to all communication with the certification body including but not limited
to chain of custody certificates as well as evidence that all eligibility Criteria are met.
Any deforestation monitoring reports carried out by the entity or provided to the entity by a supplier including any
deforestation alerts and actions taken.

What will be the frequency of the check carried out by the Verifiers for Agri-Food DCF Sourcing certification?
The Verification will be carried out on annual basis by the Approved Verifiers.

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5 Questions on Certifications
What is the basic requirement for existing third-party Certification to be used as a proxy to supportcompliance?
Existing schemes certifying no deforestation or conversion of natural ecosystems since 31 December 31 2020 or earlier can be usedas ‘proxy’ to support compliance, in relation to due diligence and risk assessments with the Agri-Food DCF Sourcing Criteria only forfully segregated or identity persevered supply chains and if they meet all other eligibility Criteria in this document, including
traceability requirements to the level set under these Criteria.

What is the process of issuing Agri-Food DCF Sourcing Certification?
The flowchart below indicates the basic steps that need to be followed for issuing Agri-Food DCF Sourcing Certification (Figure 3).
As the certification for these Criteria is for entities only there is no process for UoP or other instruments.
Step 1: Check if Entity and agri-food commodities are under the scope of Criteria

Step 2: Setting boundaries for agri-food commodities to be verified

Step 3: Meet Agri-Food DCF Sourcing Criteria Requirement

Step 4: Entity is certified as 'Agri-Food Deforestation and Conversion Free'

Figure 3: Flowchart of Basic steps for issuing Agri-Food DCF Sourcing Certificate

How long will the Agri-Food DCF Sourcing Certification remain valid for?
The Agri-Food DCF Sourcing Certification will be valid for 5 years subject to annual compliance checks.

What happens if the Certified Entity has undertaken new economic activities?
If the Certified Entity has undertaken new economic activities in addition to those previously considered when assessing comp liancewith the ‘Certification Threshold’, the applicant must re-apply for Certification within 12 months of the start of the new economic
activity. This new application must consider the new, expanded economic activities of the Certified Entity. If the new application is
not submitted or is not compliant with the Standard, the existing Entity Certification will be revoked.

What situation can lead to revocation of Entity Certification?
Entity Certification will be revoked at any time where:
1.
2.
3.

Agri-Food

The applicant becomes aware that the Certified Entity and/or the Parent Group no longer conforms with the Climate Bonds
Standard and provides a written statement to that effect to the Climate Bonds Standard Secretariat; orA verification engagement commissioned by the Climate Bonds Standard Board, finds that the Certified Entity and/or the
Parent Group no longer conforms with the Climate Bonds Standard; orThe applicant has breached any contractual obligation towards the Climate Bonds Initiative.

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