Reopening Green DSL 2040 on 14 June 2022 by means of a Dutch Direct Auction and update of Green Bond Framework

On 14 June 2022, the State of the Netherlands will reopen its Green DSL 2040 with the aim to raise € 4 to 5 billion. In connection to this reopening, the Green Bond Framework has been updated. The new framework is aligned with the new EU Taxonomy.

The Green DSL 2040 is the first EU sovereign green bond to be fully EU Taxonomy compliant for the expenditures that map to the economic activities currently covered by the EU Taxonomy Climate Delegated Act. An independent party provided a second party opinion on the updated framework and concluded it is credible and impactful and the eligible expenditures align with the EU Taxonomy.

For this reopening, the Dutch Direct Auction (DDA)-method will be used. Green investors can receive a more beneficial treatment during allocation due to the application of the green investor rule. Prior to the auction on 14 June the Dutch State Treasury Agency (DSTA) plans to meet with potential investors to present its updated Green Bond Framework. By reopening the Green DSL 2040, the State of the Netherlands aims to further promote and develop a robust domestic and international green capital market.

Details regarding updated Green Bond Framework

The Green Bond Framework describes the investment expenditure categories to which the proceeds of the green bond will be allocated. Over the past years, the European Commission created a common classification system for sustainable economic activities, the ‘EU Taxonomy’, and proposed an ‘EU Green Bond Standard’. The State of the Netherlands fully supports the increased level of ambition and transparency these regulations introduce. Hence, the DSTA updated its Green Bond Framework in order to align with the EU Taxonomy Climate Delegated Act (the ‘EU Taxonomy’). The aim of this voluntary alignment is to support market best practices and the uptake of the EU Taxonomy while being transparent about the level of alignment.

Simultaneously, the eligible expenditures included in the Framework seek to align with the Climate Bond Initiative (CBI) Climate Bonds Standard version 3.0. Following the update, the Green Bond Framework will be the first Green Bond Framework designed to jointly comply with the EU Taxonomy, the ICMA 2021 Green Bond Principles and the CBI Climate Bonds Standard. The updated Green Bond Framework can be found on the DSTA website

Second Party Opinion obtained

Sustainalytics has assessed the State of the Netherlands’s Green Bond Framework for alignment with the EU Taxonomy, and is of the opinion that, of the Framework’s four use of proceeds categories, which map to eight EU activities, all align with the applicable Technical Screening Criteria (TSC) of the EU Taxonomy and corresponding Do No Significant Harm Criteria (DNSH). Sustainalytics is also of the opinion that the activities and projects to be financed under the Framework will be carried out in alignment with the EU Taxonomy’s Minimum Safeguards.

Since the EU Taxonomy still continues to evolve with more economic activities being added to its scope over time, certain eligible expenditures could not be mapped to any of the economic activities of the Climate Delegated Act. According to Sustainalytics, this does not infer that such expenditures do not contribute to climate change mitigation and/or adaptation and still have a positive environmental impact. Once the EU Commission discloses relevant criteria, Sustainalytics is of the opinion that such expenditures may significantly contribute to climate change mitigation and/or adaptation within the scope of the EU Taxonomy. In addition, the Green Bond Framework was found to align with the Green Bond Principles and all Green Bond(s) issued under the Framework will be in conformance with the CBI pre-issuance Climate Bond Standards.

Auction details

The date of issuance, reference bond, target volume and other auction details are as follows:

Auction date

Tuesday 14 June 2022, commencing 10:00 CEST

Maturity date

15 January 2040

Reference bond

DBR 4.75% 4 July 2040

Target volume

€ 4 to € 5 billion


Aim to price on the auction day, but no later than 12:00 CEST on Wednesday 15 June

Settlement date

Two days after the issuance price is set



Initial spread guidance

To be announced on Monday 13 June 2022

In case of unforeseen conditions, the DSTA reserves the right to change the date of auction.

Green investor Rule

The DSTA aims to reach green investors with this specific reopening of the Green DSL 2040. Eligible Green Investors may benefit from priority allocation of their bids over other Real Money Accounts up to 10% of their bids at the cut-off spread. Pursuant to the DSTA Green Bond Rules of May 2022, which are supplementary to the DDA Rules of January 2022, eligible Green Investors are Real Money Accounts selected by the DSTA who have submitted an investor representation letter to the DSTA. These representation letters must be submitted no later than 5 P.M. (CEST) on Tuesday 7 June 2022. The investor representation letters should be provided to The DSTA will confirm the receipt of the letter and inform the Investor no later than Friday 10 June 2022 whether the Investor is considered eligible to benefit from priority allocation. The current DDA Rules and the DSTA Green Bond Rules can be found on the DSTA website.

Investor meetings 
The DSTA has requested its green issuance advisors ABN AMRO and Bank of America to arrange a series of investor meetings commencing on 30 May 2022 in order to present the updated Green Bond Framework and promote the reopening of the Green Bond. Please contact your sales representative at one of the green issuance advisors to indicate your interest in attending an investor meeting. The investor presentation for these meetings will also be made available on the website of the DSTA. 
Further information is available on the website (