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Taipei Times: HSBC arranges its first green trade loan in Taiwan

HSBC Bank (Taiwan) Ltd (匯豐台灣商銀) yesterday announced that a NT$29 million (US$1 million) green trade loan has been arranged for Taylor Hopkinson Ltd’s Taiwan branch. The banking facility is to assist Taylor Hopkinson with its financing needs as it finds quality renewable energy talent for offshore wind farm projects.

Harnessing wind power has become a critical part of the government’s efforts to develop renewable energy and the Ministry of Economic Affairs expects the wind industry, onshore and offshore, to generate 20,000 jobs by 2025.

HSBC Taiwan said that the financing would boost the nation’s green economy and bolster the growth momentum of wind power.

Taylor Hopkinson, a UK-based consultancy specializing in renewable energy and clean technology recruitment for more than a decade, has a strong track record of placing renewables professionals in existing and emerging markets internationally.

The company is helping to source the talent for Taiwan’s first offshore wind farms, Formosa 1 (海洋風電) and Formosa 2 (海能風電).

Cash gaps can often occur between trade receivables and payables during the recruitment process, so HSBC Taiwan’s trade loan facility would help Taylor Hopkinson handle financing needs that arise as it assembles teams for offshore wind farm projects.

Unlike a traditional loan, the facility’s green services loan would meet Taylor Hopkinson’s specific sourcing needs, to help the world transition to sustainable energy. The facility would give Taylor Hopkinson’s recruitment efforts more flexibility when costs are incurred.

“We are pleased to arrange HSBC’s very first trade loan focusing on green services in Taiwan for Taylor Hopkinson,” HSBC Taiwan commercial banking head Stanley Hsiao (蕭仲程) said. “This inaugural green trade loan arrangement is of huge significance to HSBC Taiwan. Using our expertise and market leadership in both sustainable finance and trade finance, we came up with a pioneering financing solution that catered to our client’s needs.”

“This not only represents the close collaboration between HSBC and our customers, but demonstrates the vast experience of HSBC in participating in green financing, which gives us an edge in working with clients that support Taiwan’s green ambition,” Hsiao added.

As a founding member of the Loan Market Association, HSBC has worked with the association to develop market standards, or green loan principles, for lending to eligible sustainable projects.

“Our customers are increasingly prioritizing sustainability as a top requirement when making business decisions — and we expect this trend to accelerate, especially in the green energy space,” Hsiao said. “We see that trade financing has extended to services.”

“Opportunities to offer trade and services financing arise in various sectors and industries, including outsourced services to recruit personnel for infrastructure construction,” Hsiao said.

“Planning, constructing and maintaining each wind farm requires talent from a wide range of backgrounds, including electrical and civil engineering and data analytics, as well as operational skills,” Taylor Hopkinson CEO Tom Hopkinson said. “The growth of the industry means that there is more and more demand for talent in this field.”

“As the leading recruitment advisory partner for the world’s renewable energy leaders, we aim to enable a diverse, global workforce that will drive the world’s transition to sustainable energy,” Hopkinson added. “We are pleased to have garnered support and secured this green facility from HSBC. This serves as solid proof of our capability in sustainability, as it is a testament to our commitment and efforts in moving green initiatives forward.”

Source: Taipei Times