RAM Sustainability assigns environmental benefit ratings to Cenergi SEA’s proposed Green Sukuk

Published on 10 Nov 2021.

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RAM Sustainability Sdn Bhd (RAM Sustainability) has assigned Environmental Benefit (EB) ratings to the Green Sukuk to be issued under Cenergi SEA Berhad’s (Cenergi or the Issuer) RM1.5 bil Sukuk Wakalah Programme. Cenergi, a 93% subsidiary of Khazanah Nasional Berhad, is a project development and investment company specialising in sustainable energy solutions. 

“As 58% of total global greenhouse gas (GHG) emissions come from the energy supply sector, agricultural sector and building energy use, it is crucial to support projects that will accelerate the transition of these sectors towards a low-carbon future,” said Gladys Chua, RAM Sustainability’s head of sustainability services. 

Considering this fact, we believe Cenergi SEA’s proposed Green Sukuk will create a positive environmental impact by financing projects and solutions that are important to Malaysia’s sustainable development agenda, its adoption of the circular economy model as well as the country’s goal to become carbon-neutral by 2050. This instrument also carries credit ratings assigned by RAM Rating Services Berhad. 

The eligible project categories under the Green Sukuk Framework (the Framework) are aligned with applicable green standards such as Securities Commission Malaysia’s Sustainable & Responsible Investment (SRI) Sukuk Framework, the ASEAN Green Bond Standards (GBS) and the Green Bond Principles (GBP). Six green solutions under the Framework have been assigned EB ratings. Please refer to Table 1 for the ratings.

RAM Sustainability’s second opinion on the Framework concludes that it provides clarity on important aspects such as the intended use of proceeds; project evaluation and selection; management of proceeds; and reporting commitments. The Framework is aligned with the transparency and disclosure requirements of the SRI Sukuk Framework, the ASEAN GBS and the globally recognised GBP. 

RAM Sustainability is a provider of sustainability services and Environment, Social and Governance analytics. Incorporated on 31 May 2000, it is a wholly owned subsidiary of RAM Holdings Berhad. RAM Sustainability is the first ASEAN-based provider of sustainability ratings and second opinions. It also has the distinction of being the first Registered Observer of the International Capital Market Associations’ Green Bond Principles, Social Bond Principles and Sustainability Bond Guidelines in ASEAN. On 12 August 2020, we became an Approved Verifier for the certification of climate bonds under the Climate Bonds Standard & Certification Scheme, after having been awarded the status by the Climate Bonds Standards Board. For further details, please refer to https://www.ram.com.my/sustainability.


Analytical contact
Lee Han Jie
(603) 3385 2548


The second opinion is not a recommendation to purchase, sell or hold a security, inasmuch as it does not comment on the security’s market price or its suitability for an investor, nor does it involve any audit by RAM Sustainability. 

Published by RAM Sustainability Sdn Bhd 

© Copyright 2021 by RAM Sustainability Sdn Bhd

Publication Date Published Category
Cenergi SEA Berhad Green Sukuk 10-Nov-2021 Green Bond/Second Opinion Report View PDF