# ANZ SUSTAINABLE DEVELOPMENT GOALS BONDS USE OF PROCEEDS AND IMPACT REPORT AS AT 30 SEPTEMBER 2023 --- # IMPORTANT NOTICES 1. This document has been prepared by Australia and New Zealand Banking Group Limited (ABN 11 005 357 522) (“ANZ”) for the information of intended recipients only (being persons who meet the requirements described in the following paragraphs). This document is intended to be general background information on ANZ’s and its affiliates’ business current at the date of this document. This document is confidential and being given solely for information purposes. 2. This document does not constitute or form part of and should not be construed as, an offer to sell or issue or the solicitation of an offer to buy or acquire any notes, securities or other financial products ("Securities") of ANZ or any other person in any jurisdiction or an inducement to enter into investment activity or to effect any transaction or to conclude any legal act of any kind. 3. This document is intended for distribution to professional investors, only. Without limiting the restrictions in this document: 1. Australia: this document is intended for distribution to professional investors only and not to recipients to whom an offer to sell or issue or the solicitation of an offer to buy or acquire Securities requires disclosure in accordance with Part 6D.2 or Chapter 7 of the Corporations Act 2001 (Cwlth) (“Corporations Act”) or is a “retail client” as defined for the purposes of section 761G of the Corporations Act. Without limiting the preceding paragraph, no prospectus or other disclosure document (as defined in the Corporations Act) in relation to any Securities has been or will be lodged with or registered by the Australian Securities and Investments Commission or the Australian Securities Exchange Limited or any other stock exchange licensed under the Corporations Act. No target market determination has been or will be made for the purposes of Part 7.8A of the Corporations Act. 2. European Economic Area: In member states of the EEA, this document is directed only at persons who are "qualified investors" within the meaning of Regulation (EU) 2017/1129. This Document must not be acted on or relied on in any member state of the EEA by persons who are not qualified investors. Any investment or investment activity to which this document relates is available only to qualified investors in any member state of the EEA. Prohibition of sales to EEA retail investors – Securities are not intended to be offered, sold or otherwise made available to and should not be offered, sold or otherwise made available to any retail investor in the EEA. For these purposes, a retail investor means a person who is one (or more) of: (i) a retail client as defined in point (11) of Article 4(1) of Directive 2014/65/EU (as amended, "MiFID II"); or (ii) a customer within the meaning of Directive (EU) 2016/97 (as amended, the "Insurance Distribution Directive"), where that customer would not qualify as a professional client as defined in point (10) of Article 4(1) of MiFID II. Consequently, no key information document required by Regulation (EU) No 1286/2014 (as amended, the "EU PRIIPs Regulation") for offering or selling any Securities or otherwise making them available to retail investors in the EEA has been prepared and therefore offering or selling any Securities or otherwise making them available to any retail investor in the EEA may be unlawful under the EU PRIIPs Regulation. 3. United Kingdom: The communication of this document is not being made by, and the content of this document has not been approved by an authorised person for the purposes of section 21 of the UK’s Financial Services and Markets Act 2000 (as amended, the "FSMA"). Reliance on this document for the purpose of engaging in any investment activity may expose the individual to a significant risk of losing all of the property or other assets invested. Accordingly, this document is not being distributed to, and must not be passed on to, the general public in the UK. The communication of this document as a financial promotion is only being made to those persons in the UK who have professional experience in matters relating to investments and who fall within the definition of investment professionals (as defined in Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005, as amended (the “Financial Promotion Order”)), or who fall within Article 49(2)(a) to (d) of the Financial Promotion Order, or who are any other persons to whom it may otherwise lawfully be made under the Financial Promotion Order (all such persons together being referred to as “relevant persons”). In the UK, any investments or Securities will only be available to and will be engaged in only with, relevant persons. Any person in the UK that is not a relevant person should not act or rely on this communication or any of its contents. Each recipient represents and agrees that it has complied and will comply with all applicable provisions of the FSMA with respect to anything done by it in relation to any Securities in, from or otherwise involving the UK. This document is not directed at and any Securities are not intended to be offered, sold or otherwise made available to and should not be offered, sold or otherwise made available to any retail investor in the UK. For these purposes, a retail investor means a person who is one (or more) of: (i) a retail client, as defined in point (8) of Article 2 of Regulation (EU) No 2017/565 as it forms part of domestic law of the UK by virtue of the European Union (Withdrawal) Act 2018, as amended (the “EUWA”); (ii) a customer within the meaning of the provisions of the FSMA and any rules or regulations made under the FSMA to implement the Insurance Distribution Directive, where that customer would not qualify as a professional client, as defined in point (8) of Article 2(1) of Regulation (EU) No 600/2014 as it forms part of domestic law in the UK by virtue of the EUWA and the regulations made under EUWA. Consequently, no key information document required by Regulation (EU) No 1286/2014 as it forms part of domestic law by virtue of the EUWA (the "UK PRIIPs Regulation") for offering or selling any Securities or otherwise making them available to retail investors in the UK has been prepared and therefore offering or selling any Securities or otherwise making them available to any retail investor in the UK may be unlawful under the UK PRIIPs Regulation. 4. United States: This document is only for investors who are (x) outside the United States and are not U.S. Persons (as defined in Regulation S under the Securities Act of 1933 as amended (the “Securities Act”)) in compliance with Regulation S; or (y) “qualified institutional buyers” (as defined in Rule 144A under the Securities Act). NO SECURITIES HAVE BEEN, OR WILL BE, REGISTERED UNDER THE SECURITIES ACT, OR THE SECURITIES LAWS OF ANY STATE OR OTHER JURISDICTION OF THE UNITED STATES, AND MAY NOT BE OFFERED OR SOLD, DIRECTLY OR INDIRECTLY, WITHIN THE UNITED STATES OR TO OR FOR THE ACCOUNT OR BENEFIT OF U.S. PERSONS, EXCEPT IN CERTAIN TRANSACTIONS EXEMPT FROM OR NOT SUBJECT TO THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT AND APPLICABLE SECURITIES LAWS OF ANY STATE OR OTHER JURISDICTION OF THE UNITED STATES. ANY INVESTMENT DECISION TO PURCHASE ANY SECURITIES IN THE CONTEXT OF A PROPOSED OFFERING, IF ANY, SHOULD BE MADE ON THE BASIS OF ANY APPLICABLE FINAL TERMS OF PRICING SUPPLEMENT, THE TERMS AND CONDITIONS OF THE SECURITIES AND THE INFORMATION CONTAINED IN THE APPLICABLE OFFERING CIRCULAR PUBLISHED IN RELATION TO ANY OFFERING AND NOT ON THE BASIS OF THIS DOCUMENT, WHICH DOES NOT CONSTITUTE OR FORM PART OF AN OFFER OR SOLICITATION OF AN OFFER TO PURCHASE OR SUBSCRIBE FOR ANY SECURITIES IN THE UNITED STATES OR ANYWHERE ELSE. The distribution of this document in certain jurisdictions may be restricted by law and persons into whose possession it and any document or other information referred to in it comes should inform themselves about and observe any such restrictions. Any failure to comply with these restrictions may constitute a violation of the securities laws of any such jurisdiction. This document is not directed at, or intended for distribution to or use by, any person or entity that is a citizen or resident or located in any locality, state, country or other jurisdiction where such distribution, publication, availability or use would be contrary to law or regulation or which would require any registration or licensing within such jurisdiction. 4. The material in this document is not intended to be and should not be relied upon as advice to investors or potential investors and does not take into account the investment objectives, financial situation or needs of any particular investor. These should be considered with professional advice when deciding if an investment is appropriate. This document does not constitute financial product advice. ANZ or any of its affiliates, advisors or representatives shall not have any liability whatsoever (in negligence or otherwise) for any loss howsoever arising from any use of this document or its contents or otherwise arising in connection with the document. --- # IMPORTANT NOTICES (CONTINUED) 5. The information contained in this document is provided as at the date of this document and is subject to change without notice. Neither ANZ, nor any of its affiliates, agents, employees or advisors intends or has any duty or obligation to supplement, amend, update or revise any of the information contained in this document, in particular, any forward-looking statements. Further, indications of past performance will not necessarily be repeated in the future and should be treated with appropriate caution. 6. This document may contain forward-looking statements or opinions including statements and opinions regarding our intent, belief or current expectations with respect to ANZ’s business operations, market conditions, results of operations and financial condition, capital adequacy, sustainability objectives or targets, specific provisions and risk management practices. When used in this document, the words ‘target’, ‘indicator’, ‘plan’, ‘modelling’, ‘forecast’, ‘estimate’, ‘project’, ‘intend’, ‘anticipate’, ‘believe’, ‘expect’, ‘may’, ‘probability’, ‘risk’, ‘will’, ‘seek’, ‘would’, ‘could’, ‘should’ and similar expressions, as they relate to ANZ and its management, are intended to identify such forward-looking statements or opinions. Those statements and opinions are usually predictive in character; or may be affected by inaccurate assumptions or unknown risks and uncertainties; or may differ materially from results ultimately achieved. As such, these statements and opinions should not be relied upon when making investment decisions. There can be no assurance that actual outcomes will not differ materially from any forward-looking statements or opinions contained herein. These statements and opinions only speak as at the date of publication and no representation is made as to their correctness on or after this date. Such Forward looking statements constitute “forward-looking statements” for the purposes of the United States Private Securities Litigation Reform Act of 1995. ANZ does not undertake any obligation to publicly release the result of any revisions to these forward-looking statements to reflect events or circumstances after the date hereof to reflect the occurrence of unanticipated events. 7. The information contained in this document has been prepared without taking into account the objectives, financial situation or needs of any person and any Securities or strategies mentioned in it may not be suitable for all investors. Investors and prospective investors in any Securities are required to make their own independent investigation and appraisal of the business and financial condition of ANZ, the nature of any Securities and any tax, legal, accounting and economic considerations relevant to the purchase of any Securities. All investments entail risk and may result in both profits and losses. Foreign currency rates of exchange may adversely affect the value, price or income of any Securities mentioned in it. Neither ANZ nor any of its affiliates, advisors or representatives warrant guarantee or stand behind the performance of any such Securities. 8. ANZ may report and describe in this document certain non-GAAP financial measures of ANZ. Non-GAAP financial measures are not calculated in accordance with IFRS. Non-GAAP financial measures should be considered in addition to, and not as substitutes for or superior to, financial measures of financial performance or financial position prepared in accordance with IFRS. 9. This document may contain data sourced from and the views of independent third parties. In replicating such data in this document, ANZ makes no representation, whether express or implied, as to the accuracy of such data. The replication of any views in this document should be not treated as an indication that ANZ agrees with or concurs with such views. 10. No assurance is given by ANZ that the use of the proceeds from any Securities described in this document (the "Relevant Proceeds") will satisfy, whether in whole or in part, any present or future investor expectations or requirements as regards any investment criteria or guidelines with which such investor or its investments are required to comply, in particular with regard to any direct or indirect sustainability impact of any projects or uses, the subject of or related to, any project finance or corporate loans labelled as green, social or sustainability loans made to projects and/or businesses, ANZ's own operating or capital expenditures (the "Eligible Assets"), eligible businesses and projects under ANZ's "ANZ SDG Bond Framework" dated August 2020 (the "Framework"). 11. There can be no assurance that relevant Eligible Assets, businesses and projects will be capable of being implemented in or substantially in such manner and/or in accordance with any timing schedule or at all or with the results or outcome as originally expected or anticipated by ANZ and, accordingly, there is no assurance that the Relevant Proceeds will be totally or partially allocated to such Eligible Assets. 12. There is currently no clear definition (legal, regulatory or otherwise) of, nor market consensus as to what constitutes, a "green", "social" or "sustainable" project, or as to what precise attributes are required for a particular project to be defined as "green", "social" or "sustainable", nor can any assurance be given that such a clear definition or consensus will develop over time. Accordingly, no assurance is or can be given that Eligible Assets will meet investor expectations or requirements regarding such "green", "sustainable", "social" or similar labels (including Regulation (EU) 2020/852 on the establishment of a framework to facilitate sustainable investment (the so called "EU Taxonomy") or Regulation (EU) 2020/852 as it forms part of domestic law in the United Kingdom by virtue of the EUWA) or that any adverse impacts will not occur during the implementation of any project(s) or use(s) the subject of, or related to, any Eligible Assets, eligible businesses and projects. 13. No assurance is given that the use of proceeds will satisfy any present or future investment criteria or guidelines with which an investor is required, or intends, to comply, in particular with regard to any direct or indirect environmental or sustainability impact of any Eligible Assets, eligible businesses and projects under the Framework. 14. No assurance or representation is given as to the suitability or reliability for any purpose whatsoever of any opinion, assurance or certification of any third party (whether or not solicited by ANZ) which may be made available in connection with the issue of any Securities described in this document and in particular with any Eligible Assets, eligible businesses and projects to fulfil any environmental, sustainability and/or other criteria. For the avoidance of doubt, any such opinion, assurance or certification is not, nor should be deemed to be, a recommendation by ANZ or any other person to buy, sell or hold any Securities described in this document, may be subject to revision or withdrawal at any time and would only be current as of the date on which it was initially issued. Prospective investors must determine for themselves the relevance of any such opinion, assurance or certification and/or the information contained therein and/or the provider of such opinion, assurance or certification for the purpose of any investment in any Securities described in this document. 15. Information contained in this document, the Framework and/or any opinion, assurance or certification relating to any Securities, or any other information accessible through any website(s) referred to herein or therein, does not constitute or form part of any offer or invitation to sell or issue, or any solicitation of any offer to purchase or subscribe for, any securities and does not form a part of any offering documentation prepared in connection with an issue of any Securities. If this document has been distributed by electronic transmission, such as email, then such transmission cannot be guaranteed to be secure or error free as information could be intercepted, corrupted, lost, destroyed, arrive late or incomplete, or contain viruses. ANZ and its affiliates do not accept any liability as a result of electronic transmission of this document. --- # INTRODUCTION TO ANZ SDG BONDS This report provides an update to investors as at 30 September 2023, on the use of proceeds and impact of the Australia and New Zealand Banking Group Limited (“ANZ”) Sustainable Development Goals Bonds (“SDG Bonds”) currently on issue. This report should be read in conjunction with the ANZ SDG Bond Framework dated August 2020 (“Framework”). Undefined capitalised terms have the meaning given in the Framework, unless the context otherwise requires. ANZ currently has on issue four SDG Bonds. In the 2023 financial year, ANZ issued one SDG bond and another matured. ANZ currently has $5.61 billion (AUD equivalent) of SDG Bonds on issue. ANZ has issued, and may, from time to time, issue other bonds, notes or debt securities and use their proceeds of issue to finance or refinance Eligible Assets (“Other SDG Securities”). ANZ may, from time to time, re-allocate or apportion at its discretion Eligible Assets among the SDG Bonds and Other SDG Securities. ```mermaid timeline title ANZ SDG Bonds issuance timeline 2018 : FEB 18 2019 : NOV 19 2020 : AUG 20 2021 : JAN 21 2023 : JAN 23 ``` ### Summary of ANZ Bonds on issue as at 30 September 2023 | | SDG Bond 1 | SDG Bond 2 | SDG Bond 3 | SDG Bond 4 | SDG Bond 5 | | --- | --- | --- | --- | --- | --- | | Issued | MATURED 21 Feb 2023 | EUR 1B | AUD 1.25B | EUR 750M | EUR 1B | | Format | Tier 2 | Tier 2 | Tier 2 | Tier 2 | Tier 2 | | Maturity | 21 Feb 2023 | 21 Nov 2029 | 26 Feb 2031 | 5 May 2031 | 3 Feb 2028 | | Optional redemption date | - | 21 Nov 2024 | 26 Feb 2026 | 5 May 2026 | 3 Feb 2028 | | AUD issuance proceeds | - | 1.62B | 1.25B | 1.19B | 1.55B | | ISIN | - | XS2082818951 | AU3FN0055687 | XS2294372169 | XS2577127967 | --- # Historical volume of Eligible Assets and SDG Bonds (AUD equivalent) 100% of proceeds from ANZ’s SDG Bonds were allocated to Eligible Assets at each issuance, and remain fully allocated as at 30 September 2023. The above chart shows the total volume (AUD million) of Eligible Assets as at 30 September 2023 and as at past reporting periods. --- # ANZ AND THE SDGS On 1 January 2016, the United Nations Sustainable Development Goals (“SDGs”) came into effect. The 17 goals and 169 targets are aimed at solving the world’s most pressing challenges; ending global poverty, protecting our planet and ensuring human rights by 2030. ANZ is committed to the SDGs and believes that business has an important role to play in their achievement. Our current ESG targets strive to support all of the 17 SDGs. In 2019 we became a founding signatory to the UN Principles for Responsible Banking. Under the Principles we are required to set at least two targets that address our most significant (potential) positive and negative impacts, aligned with the SDGs and the Paris Climate Agreement. We have reported our progress towards implementing the Principles using the Reporting and Self-assessment Index, available in our ESG Data and Frameworks pack at anz.com/esgreport. In 2021, ANZ also joined the Net-Zero Banking Alliance (NZBA). ANZ’s commitment to the SDGs is illustrated by our issuance of SDG bonds and associated Use of Proceeds and Impact reporting, in addition to our regular ESG reporting. Through the ongoing management of our SDG Bond program, ANZ aims to be a leader in assisting the ongoing development of sustainable capital markets. --- # ANZ ESG REPORTING ANZ produces a suite of reports to meet the needs and requirements of a wide range of stakeholders including shareholders, customers, employees, regulators, non-government organisations and the community. The 2023 ESG Supplement complements ANZ Group Holdings Limited’s (“ANZGHL” or “Group”) 2023 Annual Report and is available at anz.com/esgreport. ANZGHL’s 2023 Climate-related Financial Disclosures, subject to limited assurance by KPMG, describes the Group’s progress towards implementing its Climate Change Commitment and Environmental Sustainability Strategy, in accordance with the Task Force on Climate-related Financial Disclosures (TCFD) 2017 recommendations. ANZ joined the Net-Zero Banking Alliance (NZBA) in 2021 and the report sets out how the Group is taking action in line with this commitment. The report is also available at anz.com/esgreport. The Group’s 2023 Corporate Governance Statement discloses how it has complied with the Australian Securities Exchange (ASX) Corporate Governance Council’s ‘Corporate Governance Principles and Recommendations – 4th edition’ and is available at anz.com/corporategovernance. Some of ANZ’s general 2023 ESG performance highlights (which may not directly relate to the use of proceeds and impact of ANZ’s SDG bonds currently on issue) and steps the Group is taking as it looks to build on its ESG approach include: - Around $8.8 billion funded and facilitated in social and environmental outcomes through customer activities and direct investments by ANZ (since 1 April 2023), towards our 2030 target of $100 billion (page 20); - We will begin a new phase of engagement with our largest emitting business customers (page 22); - Set new sectoral decarbonisation pathways for Thermal Coal (page 55); and three Transport sub-sectors (Aviation (page 59), Shipping (page 61) and Auto-Manufacturing (page 57)) - 80% reduction in our combined Scope 1 and 2 greenhouse gas emissions, since 2015 (page 32); - Over $5.3 billion funded and facilitated to deliver more affordable, secure and sustainable homes to buy and rent in Australia and New Zealand, since 2018 (page 23); - More than 87,000 participants in our financial education programs MoneyMinded and Saver Plus (page 29); - Stopped more than $100 million going to criminals from scams and fraud (page 42); and - Spent $11.7 million with 46 Indigenous businesses in Australia (page 53). The current suite of ESG reports can be found on ANZ’s ESG reporting website: - ANZ 2023 ESG Supplement - ANZ 2023 Climate-related Financial Disclosures - ANZ 2023 ESG Data and Frameworks Pack - ANZ 2023 Financed Emissions Methodology - ANZ 2023 Social and Environmental Sustainability Target Methodology --- # ANZ SDG BOND FRAMEWORK The ANZ SDG Bond Framework was developed in line with the 2018 and 2020 versions of the International Capital Market Association’s (“ICMA”) Green Bond Principles (“GBP”), Social Bond Principles (“SBP”), and related Sustainability Bond Guidelines (“SBG”).$^1$ The proceeds of the SDG Bonds have been used to finance or refinance assets that align with ANZ’s Eligible Categories and that promote any of the 11 SDGs which ANZ selected. ANZ recommends this report be read in conjunction with the Framework, which is available on the ANZ Debt Investor Centre website. ### Eligible SDGs - Green Bonds - Social Bonds - Sustainability Bonds $^1$ ANZ understands that the Framework is consistent with the 2018/2020 ICMA Documents (as defined in the following sentence). The International Capital Market Association ("ICMA") published documents entitled "The Social Bond Principles 2020" as at June 2020, "The Sustainability Bond Guidelines 2018" as at June 2018 and "The Green Bond Principles 2018" as at June 2018 (together, the "2018/2020 ICMA Documents"). The Framework has not been updated for consistency with ICMA’s current versions being "The Social Bond Principles 2023" as at June 2023, "The Sustainability Bond Guidelines 2021" as at June 2021 and "The Green Bond Principles 2021 (with June 2022 Appendix 1)" as at June 2022 (together, the "Current ICMA Documents"). --- # ALLOCATION OF BOND PROCEEDS The proceeds from ANZ’s SDG Bonds on issue have been fully allocated to Eligible Assets which align with seven of the eleven selected SDGs. There are no unallocated proceeds. The following charts illustrate the breakdown of Eligible Assets as at 30 September 2023. ### Important Notes - With the exception of SDG 10, the figures are “gross figures” per project, rather than apportioned based on ANZ’s lending to the project. - The volume of Eligible Assets is as at 30 September 2023, and is sourced from ANZ’s SDG Bond Asset Register. - There is no link between the Eligible Assets and the SDG Bonds themselves, as set out in the pricing supplements for the SDG Bonds, dated 21 November 2019, 19 August 2020, 27 January 2021 and 1 February 2023. - Figures and percentages related to bond proceeds may not be equal to the stated totals or 100% due to rounding. - A reference to “proceeds” of SDG Bonds is a reference to an amount equal to the proceeds of the SDG Bonds. ### Allocation of proceeds by loan (30 September 2023) - 64.5% Corporate Loan - 34.0% Project Finance - 1.5% ANZ Expenditure ### Allocation of proceeds by Green and Social categories (30 September 2023) - 30.0% Social - 70.0% Green ### Allocation of proceeds by location (30 September 2023) - 82.1% Australia - 5.4% UK - 3.2% Hungary - 1.9% New Zealand - 1.8% Hong Kong - 1.8% Singapore - 1.2% USA - 1.1% Germany - 1.1% Taiwan - 0.6% India ### Allocation of proceeds by SDG (30 September 2023) - 39.9%: Build resilient infrastructure, promote inclusive and sustainable industrialisation and foster innovation - 20.7%: Ensure access to affordable, reliable, sustainable and modern energy for all - 18.6%: Ensure healthy lives and promote well-being for all at all ages - 10.6%: Make cities and human settlements inclusive, safe, resilient and sustainable - 8.5%: Ensure inclusive and equitable quality education and promote lifelong learning opportunities for all - 1.2%: Ensure availability and sustainable management of water and sanitation for all - 0.4%: Reduce inequality within and among countries --- # USE OF PROCEEDS SUMMARY AS AT 30 SEPTEMBER 2023 | SDG | SDG Target | GBP/SBP Project Category | Eligible Asset | Aggregate Asset Volume (AUD million) | % of Eligible Assets | | --- | --- | --- | --- | --- | --- | | 3 | 3.4, 3.5, 3.8 | Access to essential services | Hospital, Aged care, Specialist disability accommodation | 1,773.69 | 18.6% | | 4 | 4.3, 4.4, 4.5 | Access to essential services, Socioeconomic advancement and empowerment | Schools, Tertiary educational, Tertiary educational student housing | 811.25 | 8.5% | | 6 | 6.1 | Sustainable water and wastewater management | Drinking water | 114.64 | 1.2% | | 7 | 7.2, 7.b | Renewable energy, Energy efficiency | Renewable energy generation and infrastructure – wind, solar and battery storage, Smart meters | 1,976.59 | 20.7% | | 9 | 9.4 | Green buildings | Buildings with green standard | 3,799.42 | 39.9% | | 10 | 10.2 | Socioeconomic advancement and empowerment | Financial education programs | 39.89 | 0.4% | | 11 | 11.1, 11.2 | Affordable housing, Affordable basic infrastructure, Clean transportation | Social and affordable housing, Lower carbon transportation facilities | 1,013.24 | 10.6% | | **Total** | | | | **9,528.72** | **100%** | Please refer to the Important Notes on page 8 regarding the presentation of these figures. --- # IMPACT HIGHLIGHTS Examples that illustrate the impacts to which the Eligible Assets have contributed as at 30 September 2023 are included below: ### HOSPITAL Operation of 9 public hospitals and 40 not-for-profit hospitals in Australia, collectively providing 10,026 beds. Some of the services provided include emergency care, surgical, acute and clinical, rehabilitation, mental health, community health, maternity services, home care, disability support, accommodation support, cancer centres and teaching services. ### SPECIALIST DISABILITY ACCOMMODATION Operation of 149 specialist disability accommodation homes in Australia. Comprising of 380 beds and the construction of 84 specialist disability accommodation homes comprising of 402 beds. ### RENEWABLE ENERGY Generation of approximately 15,913.83GWh$^2$ resulting in 8,924.1 ktCO₂ equivalent in avoided emissions per annum$^3$, which is equivalent to: - meeting electricity needs of 2.48 million local residents$^4$; or - in respect of the Australian assets only, taking 2.4 million cars off the road in Australia for a year$^5$. ### FINANCIAL EDUCATION PROGRAMS Delivery of MoneyMinded, ANZ’s flagship financial education program, supporting adults on lower incomes to build their financial skills, knowledge, and confidence. As at 30 September 2023, an estimated 927,500 people have participated in MoneyMinded, including MoneyBusiness, since 2002, with 83,794 participating this year. Operation of the Saver Plus program which is matched savings and financial education program developed in 2003 by ANZ and the Brotherhood of St Laurence. As at 30 September 2023 more than 58,000 Australians had participated in Saver Plus since 2003 who have saved more than $29 million and received more than $24 million in matched savings from ANZ for education costs. $^2$ Generation data for Australian large scale renewable projects was supplied by Energy One Limited using data supplied by the Australian Energy Market Operator (AEMO). Generation data is for the 12-month period to 30 September 2023. Generation data for the Taiwanese and UK wind farms has been sourced from the project operators for the 12 months to 31 December 2022 with the exception of one Taiwanese wind farm project for which generation data is for the 12-month period to 30 June 2023. $^3$ Emission factors have been sourced from the report 'EIB Project Carbon Footprint Methodologies' published January 2023. Emissions Factors are based on the Combined Margin Intermittent Electricity Generation. $^4$ Average electricity usage rates per capita in the relevant locations have been sourced from 'IEA (2023), "World Indicators", IEA World Energy Statistics and Balances (database)', https://www.iea.org/data-and-statistics/data-product/world-energy-balances. $^5$ Average annual emissions from Australian vehicles was calculated from fuel use data presented in ABS 9208.0 'Survey of Motor Vehicle Use, Australia, 12 months ended 30 June 2020 (released 21/12/2020) (no update since 2020) with emissions factors sourced from the National Greenhouse Accounts (NGA) Factors (2023 Version) https://www.abs.gov.au/statistics/industry/tourism-and-transport/survey-motor-vehicle-use-australia/latest-release; https://www.dcceew.gov.au/climate-change/publications/national-greenhouse-accounts-factors-2023. --- # IMPACT REPORTING AS AT 30 SEPTEMBER 2023 ### SDG TARGET 3.4, 3.5, 3.8 - **GBP/SBP project category**: Access to essential services - **Location**: Australia: ACT, NSW, QLD, SA, TAS, VIC, WA - **Eligible Asset**: Hospital, Aged care, Specialist disability accommodation - **Impacts**: - **Hospital**: Operation of 9 public hospitals and 40 not-for-profit hospitals in Australia, collectively providing 10,026 beds. - **Aged care**: Operation of 296 aged care homes in Australia comprising of 28,859 beds. - **Specialist disability accommodation**: Operation of 149 specialist disability accommodation homes in Australia comprising of 380 beds and the construction of 84 specialist disability accommodation homes comprising of 402 beds. ### SDG TARGET 4.3, 4.4, 4.5 - **GBP/SBP project category**: Access to essential services, Socioeconomic advancement and empowerment - **Location**: Australia: ACT, NSW, SA, VIC, WA - **Eligible Asset**: Schools, Tertiary educational, Tertiary educational student housing - **Impacts**: - **Schools**: Construction and operation of 25 schools in Australia with enrolments of 19,862 primary and high school students in 2023. - **Tertiary educational**: Operation of one Australian university with enrolments of 72,154 students. - **Tertiary educational student housing**: Operation of 15 residences offering accommodation for 7,147 domestic and international university students across 4 Australian universities. --- # IMPACT REPORTING (CONTINUED) ### SDG TARGET 6.1 - **GBP/SBP project category**: Sustainable water and wastewater management - **Location**: Australia - **Eligible Asset**: Drinking water - **Impacts**: Operation of 2 reverse osmosis desalination plants, contributing to the supply of potable drinking water for 6.5 million Australians. Collectively the plants have a current production capacity of ~240GL (240 billion litres) of desalinated water per annum. ### SDG TARGET 7.2, 7.B - **GBP/SBP project category**: Renewable energy - **Location**: Australia: NSW, QLD, SA, TAS, VIC, WA; India, New Zealand, Singapore, Taiwan, UK, USA - **Eligible Asset**: Renewable energy generation – wind, solar and battery storage; Energy efficiency - **Impacts**: Financing of 135 large scale renewables projects in Australia, India, Singapore, Taiwan, UK and the USA with a total capacity of 12,726MW. This includes 68 operational wind farms and 57 operational solar farms. Financing includes smart meters. 8,924.1 ktCO₂ equivalent in avoided emissions per annum. --- # IMPACT REPORTING (CONTINUED) ### SDG TARGET 9.4 - **GBP/SBP project category**: Green buildings - **Location**: Australia: ACT, NSW, QLD, SA, VIC, WA; Hong Kong, New Zealand, Singapore - **Eligible Asset**: Buildings with green standard - **Impacts**: Financing the development or ongoing operation of 66 commercial office buildings. - Operation of 53 commercial buildings in Australia with a current NABERS weighted average rating of 5.44 stars. - Construction of 9 commercial office buildings targeting 5 star NABERS or Green Star ratings. - Operation of 4 commercial buildings outside Australia (Singapore, Hong Kong, New Zealand). --- # IMPACT REPORTING (CONTINUED) ### SDG TARGET 10.2 - **GBP/SBP project category**: Socioeconomic advancement and empowerment - **Location**: Australia (delivered in Australia, NZ, Asia and the Pacific) - **Eligible Asset**: Financial education programs - **Impacts**: - **MoneyMinded**: Delivery of MoneyMinded, supporting adults on lower incomes. As at 30 September 2023, an estimated 927,500 people have participated since 2002. - **Saver Plus**: Operation of the Saver Plus matched savings and financial education program. As at 30 September 2023 more than 58,000 Australians had participated since 2003 who have saved more than $29 million and received more than $24 million in matched savings. --- # IMPACT REPORTING (CONTINUED) ### SDG TARGET 11.1, 11.2 - **GBP/SBP project category**: Affordable housing, Affordable basic infrastructure, Clean transportation - **Location**: Australia: ACT, NSW, QLD, VIC; Hungary, Germany - **Eligible Asset**: Social and affordable housing, Lower carbon transportation facilities - **Impacts**: - **Social and affordable housing**: Operation of 431 dwellings in Australia to be used exclusively for the provision of social and affordable housing for a minimum of 25 years. - **Lower carbon transportation facilities**: Operation of 3 metro projects within Australia, carrying over 30 million journeys annually. Development of 2 additional metro projects. Financing for a battery plant capable of generating 30 gigawatt-hours (GWh) of batteries from 2024. Financing the development of fully electric vehicles in Europe. --- # CASE STUDY FROM THE ELIGIBLE ASSET POOL **Tilt Renewables – Australia** ANZ has an opportunity to assist customers as they invest in new capabilities, technologies and assets, provide lower emissions energy and power, nature positive solutions, or adapt to a less carbon intensive economy. An example of how we are directing our finance into key focus areas this year is: Tilt Renewables, one of Australia’s largest renewable energy generators, refinanced and increased their syndicated debt facility to $2.6 billion. --- # NOTES ### 1. Impact Reporting: ANZ wishes to highlight and draw investors’ attention to the fact that the impact figures above, other than in respect of SDG 10, have been analysed and recorded at the project/borrower/asset level for the purposes of aggregation and have not been apportioned in accordance with the volume of ANZ’s lending to each project. Impact figures have not been presented on the basis of the volume of ANZ’s lending to each project at this stage. ### 2. Assurance: ANZ procured a reasonable assurance report dated 19 December 2023 (the "EY Assurance") from Ernst & Young ("EY") confirming that, in EY's opinion, ANZ’s SDG bond issuance process meets the requirements of the Current ICMA Documents in all material respects. The EY Report can be found on the ANZ Debt Investor Centre website. ### 3. Undisclosed Borrowers: Borrower names are not disclosed in the table above due to confidentiality restrictions. ANZ is in ongoing discussions with Borrowers regarding disclosure approval to debt investors. ### 4. Framework: This report has been prepared in accordance with version 3.0 of the ANZ SDG Bond Framework, published August 2020. The current and preceding versions of the ANZ SDG Bond Framework can be found on the ANZ Debt Investor Centre website. ### Investor Feedback ANZ is committed to transparency of reporting and disclosure in the Green, Social and Sustainability Bond market and we welcome investor feedback on the contents of this and future reports. ### Enquiries and further information Enquires in relation to this report or ANZ SDG Bonds can be directed to DebtIR@anz.com. All ongoing and historical reporting and assurance in relation to ANZ SDG Bonds can be found on the ANZ Debt Investor Centre website. ### Key contacts - **David Goode**, Head of Debt Investor Relations, Telephone: +61 410 495 399, David.Goode@anz.com - **Steven Aquilina**, Associate Director, Debt Investor Relations, Telephone: +61 447 744 542, Steven.Aquilina@anz.com - **Scott Gifford**, Head of Group Funding, Telephone: +61 434 076 876, Scott.Gifford@anz.com - **General mailbox**: DebtIR@anz.com --- Australia and New Zealand Banking Group Limited (ANZ) ABN 11 005 357 522. ANZ’s colour blue is a trade mark of ANZ. anz.com