Rural Housing Scotland Conference 2016 26 February 2016

Rural Housing Scotland Conference 2016 26 February 2016 Finance for Positive Social Outcomes 1

Introduction – Triodos Bank in One Minute https: //www. youtube. com/watch? v=VRP 5 E 0 EF 8 kc

Who we are Triodos Bank is a global pioneer of sustainable banking. Our mission is to make money work for positive social, environmental and cultural change. {

What we do We only lend to and invest in organisations that benefit people and environment We connect savers and investors who want to change the world for the better with entrepreneurs and sustainable companies doing just that. We are the only specialist bank to offer integrated lending and investment opportunities for sustainable sectors in a number of European countries. {

Triodos - Key Figures Year End December 2014 figures at a glance Triodos Bank Group • Triodos Bank balance sheet: EUR 7. 1 billion • Number of accounts: 628, 321 • Funds Entrusted: EUR 6. 3 billion • Sustainable lending: EUR 4. 2 billion • Assets Under Management: EUR 10. 6 billion • Triodos Bank net profit: EUR 30 million • Capital ratio (or Core Tier 1 -ratio): 19% • Number of co-workers: 1, 017 • Ratio between highest and lowest salary: 9. 6%

Triodos in Scotland Who were are: In Scotland, the Bank has 3 specialist relationship managers who are based in our Edinburgh office in Frederick Street. There are 3 specific areas of the business: Social & Cultural – Housing, Sustainable Development, Healthcare, Arts & Culture. Environment – Project Finance, Renewable Energy funding, Energy efficiency. Food Farm & Trade – Sustainable Tourism, Organic Farming.

Triodos Bank in Scotland What we do: Social & Cultural Team Relationship Manager: Graeme Galloway Social Housing: Lending for new build, property improvements, re-financing, Commercial, Energy efficiency, Care. Sustainable Development: Sustainable new build – off site construction, passivhaus development, energy efficient new build developments. Healthcare – Funding to Quality Care Providers and to organisations providing care, and care at home. specialist Arts & Culture – Funding to Arts organisations with focus on the use of arts and creativity to facilitate personal and social change. Wider Bank – Personal Current Account / Mortgages

Triodos Bank in Scotland Social & Cultural Team Clients

Environment Team Scottish Based Community Projects We Have Funded Relationship Manager – Norrie Cruickshank • Fetterangus Power Limited – 800 Kw Wind Project in Fetterangus, Aberdeenshire – REIF brought in as Junior Funder. • Barra & Vattersay Wind Energy Limited – 900 Kw Wind Project on Barra –REIF brought in as Junior Funder. • Callander Community Hydro Scheme – 425 Kw Hydro Scheme in Callander, biggest community hydro scheme in the UK – REIF brought in as Junior Funder. • Galson Energy Limited – 2. 7 MW Wind Farm on Lewis – REIF brought in as Junior Funder. • Udny Community Wind Farm – 900 kw Wind Farm in Udny & Pitmedden, Aberdeenshire. • Westray Renewable Energy Limited - 900 kw Wind Farm on Westray, Orkney. • Eigg Electric Limited – Mixture of technologies Wind, Hydro and Solar on the Isle of Eigg. • Berwickshire Housing Association – 7. 5 MW Wind Farm in Cockburnspath – Largest community project on the mainland the first with a housing association, income from this project will go into housing stock and Energy for All / Fuel Poverty for tenants.

Environment Team Process • • We work with projects tirelessly throughout the diligence phase, we understand that this can be a time consuming process and encourage developer input and participation. This will become a fulltime job for the developer’s project manager. We will be there to assist with all enquiries. Regular meetings and conference calls are required to maintain focus and deliver the project on time and within the agreed legal and technical scope which is agreed with all parties at the outset. Open relationships with funding partners such as Junior funders sharing the findings from any diligence activities and ensuring we are all working together to deliver the project. Technical advisors join and participate in calls and relevant communications/meetings. We can add value with the various contracts such as the Technology Supplier agreement, PPA, Lease, Civils and BOP to ensure they are in a workable/bankable form. 10

Triodos Bank New areas and technologies • • • Fuel Cells Battery Storage – Currently working with various Projects on this. Hydrogen Storage – Currently various transport firms looking to use this technology. Also a potential storage solution using wind turbines. Ocean Thermal Energy conversions Kinetic Energy through flooring. Infrared Emissions conversions However this is more likely • Gas, Solar, Petroleum • Wind • Hydro • Solar • Biomass and AD 11

Triodos Bank in Scotland What we do: Food, Farming & Trade Team Relationship Manager: Michelle Wilson • Triodos Bank finances the entire organic food chain, from producers and processors to retailers and restaurants • Why does Triodos Bank believe organic farming is more sustainable? Non-organic farming and its products may be sustainable in one respect - for example, in relation to animal welfare - but organic agriculture is a systematic approach that’s sustainable in all respects. That's why we only support organic businesses. • How does Triodos Bank connect organic food with biodiversity? Conventional agriculture is intrinsically damaging to the natural world, and bad for biodiversity. In contrast, organic farmers aim to achieve a harmonious balance between food production and nature. 12

Triodos Bank in Scotland What we do: Food, Farming & Trade Team Organic farms we have funded: • Peelham Farm, Berwick Upon Tweed • Whitmuir Farm, Peebles • Wark Farm, Cushnie • Weston Farm, Biggar Financing Green Tourism A sustainable bank for sustainable tourism As Trade Members of Green Tourism and Association of Self Catering in Scotland (ASSC) we offer a unique and tailored approach to lending. 13

Triodos Bank in Scotland What we do: Financing Green Tourism • Green Tourism We are offering existing Bronze and Silver Green Tourism members, and new members, a special discounted lending rate of 1% off our normal lending rates on loan and overdraft facilities*. We want to help members who are working towards a gold award, with the costs of implementing the additional sustainable measures required to do so. Green Tourism we have funded in: • The Flodigarry Hotel – Skye • Calgary Cottages – Isle of Mull • Battlesteads Hotel – Northumberland https: //www. triodos. co. uk/en/personal/inspiring-change-2016/ *Subject to £ 100, 000 minimum amount borrowed and applicant satisfactorily meeting Triodos Bank's lending criteria. Additional terms and conditions of the offer apply, please contact us for further details. 14

Questions. . .

Contact us Triodos Bank 50 Frederick Street Edinburgh EH 2 1 EX Tel: 0131 243 9152 www. twitter. com/triodosuk www. facebook. com/triodosbankuk www. youtube. com/triodosbankuk Triodos Bank NV (incorporated under the laws of the Netherlands with limited liability, registered in England Wales BR 3012). Authorised by the Dutch Central Bank and subject to limited regulation by the Financial Conduct Authority and Prudential Regulation Authority. Details about the extent of our regulation by the Financial Conduct Authority and Prudential Regulation Authority are available from us on request. 16