Standard

The Climate Bonds Standard and Certification Scheme is a labelling scheme for bonds and loans. Rigorous scientific criteria ensure that bonds and loans with Certification, are consistent with the 2 degrees Celsius warming limit in the Paris Agreement. The Scheme is used globally by bond issuers, governments, investors and the financial markets to prioritise investments which genuinely contribute to addressing climate change.

Electrical Grids and Storage

 

Resources

1. Grids and Storage Criteria Brochure (English) – published when complete criteria ready

2. Grids and Storage Criteria Document (English)

3. Grids and Storage Background Paper (English)

4. Public Consultation Feedback Form (English)

4. Climate Bonds Standard V3.0

 

Timeline of Development:

April 2018: TWG Launch    
April 2018: IWG Launch
May - July 2021: Public Consultation
 

News:

Status: The Grids and Storage Criteria are out for public consultation. Download the feedback form from the resources box on the right and send your feedback to public.consultation@climatebonds.net to give us your valuable input.

 

Criteria: The Grids and Storage Criteria lay out the requirements that grid and storage assets and/or projects must meet to be eligible for inclusion in a Certified Climate Bond. The Criteria apply to transmission, distribution and storage of electricity.

The Grids and Storage Criteria contain both Mitigation Requirements and Adaptation & Resilience Requirements.

Bonds and loans linked to these eligible assets and projects will be aligned with the Paris Agreement 1.5oC limit.

 

Public consultation:

The Grids and Storage Criteria are now out for public consultation, lasting from 21st May to 21st July 2021.

A webinar took place on Tuesday 8th June 2021 that provided an opportunity for interested parties to learn more about the Criteria and to ask our lead technical consultant Ian Walker and staff at CBI any specific questions they might have. You can watch the webinar here via the Climate Bonds Initiative Youtube channel.

 

Why develop eligibility Criteria for grid- and storage-related low carbon investments?

Expanding and upgrading electricity grid and storage infrastructure is crucial to meeting the steep decarbonisation goals for energy systems. More flexible and distributed systems are needed to bring about clean electricity. At the same time, this infrastructure is vital for the decarbonisation of other sectors. For industrial sectors or buildings, electrification is a key means to achieving decarbonisation. This is all while ensuring this infrastructure is adapted to changes in climate. The dependence of so many sectors and societies on stable electricity provision makes grid resilience essential.

Estimates suggest investment in electricity networks needs to increase from 16% of total energy investment to 19% between the years 2025 – 2030 to meet the Paris goals. However, global investment has been falling for the past several years, down from USD 306 billion in 2016 to USD 248 billion in 2020.

Improved guidance, such as these Grids and Storage Criteria, will catalyse investment and can be utilised by governments in setting regulation or recommendations for decarbonising the sector.

 

The Grids and Storage Technical and Industry Working Groups (TWG and IWG)

To create the Grids and Storage Criteria, we convened a Technical Working Group (TWG) and an Industry Working Group (IWG) with representatives from investors, public entities, research institutes and international policy bodies from around the world.

 

Electrical Grids and Storage Criteria Technical Working Group Members

Independent
John Sinner

Energy Economist

Rochester Institute of Technology
Eric Hittinger
Associate Professor
University College London

Mark Barrett

Professor of Energy Systems Modelling 
European Bank of Reconstruction and Development (EBRD)

Oleg Bulanyi

Principal
Globalfields

Andreas Biermann

Director of Sustainable Finance
EBRD
Carel Cronenberg
Associate Director
European Investment Bank
Federico Ferrario
Energy Economist
European Commission
Lorcan Lyons
Project Officer
Inter-American Development Bank
Claudio Alatorre
Climate Change Specialist
EIB
David Gonzalez
Principal Advisor

 

Electrical Grids and Storage Criteria Industry Working Group Members

Cindy Thyfault, Global Biofuture Solutions Steve Jackman, CTC Global
Enno Dykmann, Alliander Timothy Olson, Independent
Richard Molke, Wells Fargo Elvis Mendes, Electrobras
Eugene Montoya, Wells Fargo Isabella Coutinho, SITAWI
Rajiv Srivastava, Indian Energy Exchange Ltd Sandip Keswani, KPMG
Pedro Luiz de Oliveira Jatoba, IHA/Electrobras Alex Cui, CCXI
Jeroen Dicker, TenneT Holdings Kiran Kumaraswamy, Fluence Energy
Inese Vilcina, Latvenergo AS Alexandre Marty, EDF
Juta Naglina, Latvenergo AS Robert Weigert, Eurogrid
 

If you have particular questions on this process, please contact chris.moore@climatebonds.net