1. The Indian government is planning to use the proceeds from their new coal tax to help set up a green bank to fund renewable energy projects. Now that's a good idea for countries like the US, Australia and Brazil!
2. New article: We can learn from Japanese state banks how to use Climate Bonds to fund the transition to a low-carbon economy.
Bryan Martel is managing director of California-based Environmental Capital Group. He serves as the advisor to the CalPERS California clean energy and technology fund, and other West Coast investors, on the environmental performance of private equity investments. He is one of the drivers behind the P8 and serves on its Secretariat. Bryan will also be joining the working party for the Climate Bonds International Standards and Certification project.
As the Cancun sun sets .... Russia helps sink Kyoto / UK Climate Change Committee a hit / Climate Finance Fund gets up / China’s low carbon Five Year Plan ... see below.
1. The UK Climate Change Committee (a statutory body under their Climate Action Bill) was popular amongst Cancun NGOs this week with its call for 60% emission cuts in the UK by 2030 and 50% by 2025. One NGO newsheet called it a “ray of sunshine”.
The European Bank for Reconstruction and Development has released its first green bond, with funds raised being used to finance environmental sustainability projects. This follows similar bonds issuance by the World Bank, the International Finance Corporation, the European Investment Bank and the Asian Development Bank.
11 snippets today:
Friends: I'm at the COP16 Conference in Cancun, aiming to talk about climate bonds as a mechanism to divert private investment to building a low-carbon economy. Here are six snippets from my first 24 hours:
Ebrahim Patel, the SA Minister for Economic Development said in an interview this week:
"... using retirement funds as a resource to drive growth and development did not mean the government would impose requirements on institutions. The proposal, supported by labour and retirement trustees in the past, had simply lacked "reliable instruments to invest in", he said.
One possible example was a green bond, created by a development finance institution, such as the Industrial Development Corporation, which could apportion a prudent amount of funds towards green economy initiatives.
The Australian Conservation Foundation has just released a useful new report, "Funding the transition to a clean energy economy" (see http://goo.gl/AGPdQ). Among other things, the report recommends the Australian Government issue Climate Bonds, tied directly to financing clean energy.
This letter to investors is how they report on the use of funds raised with Green Bonds - environmental accountability.
The Climate Bonds Initiative has begun work on a crop of new projects. We're looking for a London-based researcher/analyst to help.
The successful candidate will be involved in a variety of projects developing workable policies and solutions to scale up investment into the low carbon economy.
An ideal candidate will have strong communication skills, a good working knowledge of climate policy, economics and finance, imagination and a sense of humor.
Send details to sean(a)climatebonds.net.
