Decision of the Board of Directors of the Authority No. 127 of 2019 Dated 29/9/2019

Concerning the Register of Experts and Consulting Institutions Authorized to Carry Out Evaluation and Testing of Green and Sustainable Projects

Board of Directors of the General Authority for Financial Supervision

Having reviewed the Capital Market Law issued by Law No. (95) of 1992 and its executive regulations;
and Law No. (10) of 2009 regulating supervision over non-banking financial markets and instruments;
and Presidential Decision No. (192) of 2009 issuing the Basic Statute of the General Authority for Financial Supervision;
and Decision of the Board of Directors of the Authority No. (113) of 2019 concerning the determination of the initial list of international environmental auditors;
and after coordination with the Ministry of Environment;
and upon the approval of the Board of Directors of the Authority in its meeting held on 29/9/2019;

Decided

(Article One)

A register shall be established within the Authority for the registration of local experts and consulting institutions authorized to carry out evaluation and testing of green and sustainable projects (Independent Environmental Auditors Register – Sustainability Auditors).
The register shall include the basic data determined by the Authority for each independent auditor.
No one other than experts and consulting institutions registered in the register shall carry out any supervision work on green and sustainable projects issuing green bonds.

(Article Two)

The following conditions must be met for the acceptance of experts and consulting institutions into the register:

First: General Conditions:

1. Registration with the Ministry of Environment.
2. Good reputation.

Second: Additional conditions specific to experts (natural persons):

1. Possession of a suitable higher qualification, preferably holding an academic or professional advanced degree/certification in fields related to green and sustainable projects, whether from within or outside Egypt.
2. Meeting the experience and competence requirements stipulated by the Ministry of Environment in this regard.
3. Possessing practical and/or operational experience working on green and sustainable projects for a period of no less than five years.

Third: Additional conditions specific to consulting institutions:

1. Possessing an organizational structure and work systems to conduct the evaluation and testing of green and sustainable projects.
2. Having a track record in supervising the green and sustainable projects under evaluation.

Fourth: Additional conditions specific to consulting institutions:

3. Issuing a professional liability insurance policy according to the conditions set by the Authority, commensurate with the size and scope of responsibilities associated with the supervision and evaluation work carried out by experts (natural persons) or consulting institutions, as applicable.
4. Providing a commitment to independence and absence of conflict of interest when carrying out evaluation and testing of green projects.
5. Providing a commitment to develop green project evaluation methodologies in alignment with the standards of the Global Green Bond Initiative, the Climate Bond Initiative, or other recognized global frameworks.
6. Providing a commitment to prepare reports on evaluated projects in accordance with applicable international practices and standards, citing them when drafting these reports.
7. No criminal or misdemeanor sentences for crimes involving moral turpitude or breach of trust having been issued against experts or members of the board of directors of consulting institutions in the three years preceding registration, unless their reputation has been restored.
8. No administrative measures having been issued by the Authority or by the entity to which the expert or consulting institution is affiliated or subject to its supervision and oversight during the three years preceding registration.
9. Payment of the prescribed service fees.

(Article Three)

Experts and consulting institutions wishing to register in the register shall submit an application to the Authority according to the form prepared for this purpose, accompanied by supporting documents for the registration requirements.
The Authority shall review the submitted applications and verify their compliance with the registration requirements, and the Authority's decision on registration shall be issued within two weeks from the date of submitting the application with its supporting documents.

(Article Four)

This Decision shall be published in the Egyptian Gazette and on the Authority's website, and shall take effect from the day following its publication in the Egyptian Gazette.

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Chairman of the Board of Directors
Dr. Mohamed Omran

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