The event kicked-off with a panel session on “Pathways to Developing a Sustainable Finance Taxonomy”, featuring developers of national taxonomies that have been developed or are under development from Indonesia, the Philippines, Thailand, and Viet Nam. This was followed by an in-depth workshop on how to apply the Foundation Framework and Plus Standard of the ASEAN Taxonomy conducted by the ATB, Sustainable Finance Institute Asia and DNV. On Day 2, a panel comprising ASEAN capital market regulators and institutional investors examined the role of institutional investors in driving the sustainability agenda among corporates through stewardship codes.
The ATB hopes to conduct more of such workshops to enhance awareness and implementation of the ASEAN Taxonomy. Such efforts are in line with feedback and suggestions received from the targeted stakeholder consultation on the ASEAN Taxonomy Version 3 which was held from July to October 2024.
The ATB is encouraged by the positive responses from stakeholders, with most of the feedback received pertaining to suggestions on improving clarity in definitions and usability of the ASEAN Taxonomy Version 3, and heightening awareness and capacity building related to the implementation of the Taxonomy. Given the proliferation of taxonomies and guidances, stakeholders highlighted the need for mutual recognition and international credibility of taxonomies through interoperability and equivalence.
Stakeholders shared on the need for tools to help implementation of the Taxonomy. In response to this need, the ATB has taken the initiative of producing a Public FAQ document, addressing common pertinent questions relating to the ASEAN Taxonomy. It is the ATB’s hope that this Public FAQ will assist in the understanding, socialisation, and uptake of the ASEAN Taxonomy. In addition to the Public FAQ, the ATB is also developing new Use Cases for Small and Medium-Sized Enterprises using the Foundation Framework of the ASEAN Taxonomy, as useful points of reference to ease further adoption and utilisation of the ASEAN Taxonomy.
Thus far, the ASEAN Taxonomy has seen several encouraging examples of utilisation, which were also verified by Second Party Opinion providers. Bangkok Expressway and Metro Plc used the ASEAN Taxonomy Transportation & Storage as well as DNSH Criteria, in their issuance of sustainability finance instruments via a Sustainable Financing Framework in September 2024. The Provincial Electric Authority (PEA), a Thai State Utility Operator had also referenced the ASEAN Taxonomy Energy and DNSH Criteria in their issuance of Sustainability Bonds in August 2024.
Moving forward, the ATB will continue to explore more market-facing activities to encourage and facilitate the use and usability of the ASEAN Taxonomy, and by extension, further the development of the sustainable finance ecosystem in the region.
