Standard

The Climate Bonds Standard and Certification Scheme is a labelling scheme for Entities, Assets and Debt Instruments. Rigorous scientific criteria ensure that Certified investments in climate mitigation are consistent with the 1.5owarming 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.

Water Infrastructure

 Water Infrastructure Criteria

Water-related investments account for an enormous part of the capital assets of developed countries, and are a huge part of investments being undertaken in developing economies. In 2008, the Intergovernmental Panel on Climate Change (IPCC) report showed the complex links between climate change and the distribution and supply of fresh water. Substantial infrastructure will be required to ensure clean and secure water supplies as the climate changes. A clear understanding of what sorts of investments are consistent with improving the climate resilience of water assets will help bond investors quickly determine the environmental credentials of water-related green bonds.

Certifications

To see the whole list of Water Infrastructure Climate Bonds, visit our  Database of Certified Bonds

Timeline of development:
February 2021: Phase 3 Criteria released (desalination re-added)
February 2020: Water Desalination removed temporarily
May 2018: Full Criteria released
Dec 2017: public consultation closed
Oct 2017: Phase 2 Criteria public consultation opens

Oct 2016: Phase 1 Criteria released

Articles
Financing Water Resilience: Climate Bonds for China (China Water Risk)
Financing Natural Resilience: a New Wave (UNESCO)
China's Green Bonds Finance Climate Resilience (New Security Beat)

Water Fit to Finance (World Water Council)
 

The Water Infrastructure Criteria lay out the requirements that water infrastructure assets and/or projects must meet to be eligible for inclusion in a Certified Climate Bond. The bond must also meet the reporting and transparency requirements of the overarching Climate Bonds Standard in order to receive Certification.

Climate Bonds Water Infrastructure Criteria have been developed in three phases. Phase 1 Criteria covers engineered water infrastructure and Phase 2 Criteria covers nature-based and hybrid water infrastructure for such purposes as water collection, storage, treatment and distribution, flood protection and drought resilience. The addition of Desalination Criteria marks the third phase of Criteria development. These three phases now form the whole Criteria and there is no division between the three.

 

Development of Water Infrastructure Criteria

The development of the Water Infrastructure Criteria has been led by the Water Consortium, which consists of the Climate Bonds Initiative, Ceres, World Resources Institute (WRI), CDP and the Alliance for Global Water Adaptation (AGWA), which is supported by Stockholm International Water Institute (SIWI). To create the Criteria, the Water Consortium convened a Technical Working Group (TWG) and an Industry Working Group (IWG) with representatives from investors, public utilities, water NGOs and international policy bodies from around the world.

An additional Desalination TWG was convened to develop the desalination criteria added in phase 3 of Criteria development.

 

KR Foundation and Rockefeller Foundation have kindly supported this work.

    

 

 

Status: The Water Infrastructure Criteria is available for use in certifications. Get in contact with certification@climatebonds.net to start the certification process of your Water Infrastructure  green bond.

Financial instruments (bonds and loans) linked to these eligible assets, activities and entities will be aligned with the Paris Agreement and the goal of keeping global temperature rises to no more than 1.5oabove pre-industrial levels.

The new Water Infrastructure Criteria was launched on 22 May 2018. See the Media Release for more details. 

A Webinar ‘A Deeper Blue for Green Bonds: Water Investment Criteria for Nature-based Solutions’ was held on June 14 2018.

A webinar was held in November 2017 to launch the Phase 2 Public Consultation. The recording is below:

 

Water Infrastructure Criteria Technical Working Group Members

 

Lead Specialist

 

Alliance for Global Water Adaptation
Dr. John Matthews
Secretariat Coordinator

 

 

World Bank Group's Environment & Natural Resources Global Practice
Valerie Hickey
California Organized Investment Network (COIN)
Peter Streit
Investment Officer
European Investment Bank
Nancy Saich
Senior Advisor on Climate Action & Environment
UNESCO-IHE
Prof. Michael McClain
Professor of Ecohydrology
World Business Council for Sustainable Development
Tatiana Fedotova
Manager, Water Cluster
University of North Carolina
Dr. Larry Band
Director, Institute for the Environment
Tetra Tech
Dan Christian
Senior Water Resource Engineer
Deltares
Cees van de Guchte
Scenarios & Policy Analysis
American Water Works Association
Cynthia Lane
Director of Engineering & Technical Services
IUCN Global Water Programme
Dr. James Dalton
Coordinator Global Water Initiatives
UNEP-DHI Partnership
Maija Bertule
Programme Advisor
Alliance for Global Water Adaptation 
Christine Chan
Ceres
Monika Freyman
Director, Water Program
World Resources Institute
Todd Gartner
Director, Natural Infrastructure Initiative
Stockholm International Water Institute
John Joyce
Chief Economist, Water Economics
UNEP
Dr. Musonda Mumba
Ecosystem Based Adaptation (EBA) Flagship Programme Coordinator
Water Innovator
Will Sarni

 
Earth Security Group
Margot Hill Clarvis
Senior Manager
Organica Water
Ari Raivetz
CEO

 
Stockholm International Water Institute
Torgny Holmgren
Executive Director

 
Charles River Watershed Association
Robert Zimmerman
Executive Director
Bioatlatlantic Institute
Marco Follador
Director of Adaptation Planning
University of California, Division of Agriculture & Natural Resources
Ted Grantham
Cooperative Extension Specialist in Climate & Water
Denver Water
Laurna Kaatz
Climate Scientist

 
Complutense University of Madrid
Dr. Elena Lopez-Gunn

 

2030 Water Resources Group (hosted by IFC)
Rochi Khemka
Regional Coordinator
Conservation International
Dave Hole
Senior Director, Global Synthesis
US Geological Survey
Janet Cushing
Deputy Chief, National Climate Change & Wildlife Science Center
Independent Consultant
Benjamin Denjean

 
The Nature Conservancy
Jorge Gastelumendi
Senior Policy Advisor
 
Arup
Jason Fairbairn
Associate, Hydrogeologist and Water Resources
Global Environment Facility
Christian Severin
Senior Environmental Specialist

 
Southern University of Science and Technology, Shenzhen, China
Junguo Liu
Professor
U.S. Environmental Protection Agency
Lisa Hair
Senior Environmental Engineer

 
U.S. Army Corps of Engineers
Debbie Larson-Salvatore
Institute for Water Resources

 
U.S. Army Corps of Engineers
Charles B Chestnutt
​Institute for Water Resources

The Nature Conservancy (TNC)
Aparna Sridar

 

RAMSAR
Ania Grobicki
World Resource Institute (WRI)
Betsy Otto
American Water Works Association (AWWA)
Bill Stannard
University of Massachusetts, Hydrology
Casey Brown

CDP

Cate Lamb

Urban Water Research Group, Imperial College London
Cedo Maksimovic

AMWA

Erica Brown

Pegasys, South Africa

Guy Pegram

Ceres
Karen Yacos

Colorado State University, Stream Ecology Lab
LeRoy Poff

Wiselion LLC
Manisha Singh

Water Environment Federation
Matt Ries

DC Water
Melinda Massey

RAMSAR

Rob Cadmus
European Investment Bank 
Sebastian Hyzyk
Ceres
Sharlene Leurig
European Investment Bank 

Stefanie Lindenberg
Asia Development Bank
Thomas Panella
       
OECD
Xavier LeFlaive
       

 

Water Infrastructure Criteria Industry Working Group Members

Mike Brown, San Francisco Public Utilities Commission Paul Fleming, Seattle Public Utilities
Cameron Ironside, International Hydropower Association Piet Klop, PGGM
Hannah Leckie, OECD Arturo Buenaventura Pouyfaucon, Abengoa Water S.A.
Jessica Robinson, Asria Eric Schellekens, Arcadis
Manisha Singh, Wiselion LLC Paul Wood, Water Fund LLC
Matthew Kuzma, Organica Water Martin Geiger, DEG
Bob Morgan, Beaver Water District Nicole Hardiman, Illinois River Watershed Partnership
Simon Petley Roman Gomez, IFC
Gary Sharkey, PwC UK Chris Webb, HERRERA 
Adam Carpenter, American Water Works Association Monica Reid, Kestral Consulting
  Anais Blasco, WBCSD

 

Desalination Criteria Technical Working Group Members

Water Desalination and Reuse Center, KAUST
Paul Buijs 

Center Liaison Officer

Renewables 100 Policy Institute
Angelina Galiteva
Founder and Board President
Pacific Institute
Heather Cooley
Director of Research
University of Utrecht
Edward Jones
PhD 
International Energy Agency
Molly Walton
Energy Analyst

 

For industry input, special thanks go also to Tom Pankratz, independent consultant and the editor of Global Water Intelligence's weekly Water Desalination Report. 

 

Disclaimer: The Climate Bonds Standard Board operates legally as an advisory committee of the Climate Bonds Initiative Board and oversees the development of the Climate Bonds Standard. Neither the Climate Bonds Standard Board nor any organisation, individual or other person forming part of, or representing, the Climate Bonds Standard Board (together, "CBSB") accepts or owes any duty, liability or responsibility of any kind whatsoever to any issuer which wishes to apply for any of its bonds to be certified under the Climate Bonds Certification Scheme ("Scheme"), or to any issuer whose bonds may at any time be certified under the Scheme or to any other person or body whatsoever, whether with respect to the award or withdrawal of any certification under the Scheme or otherwise. All advice or recommendations with respect to any certification under the Scheme or otherwise that CBSB provides to the Climate Bonds Initiative Board is provided to it in an advisory capacity only and is not to be treated as provided or offered to any other person.

Financial instruments (bonds and loans) linked to these eligible assets, activities and entities will be aligned with the Paris Agreement and the goal of keeping global temperature rises to no more than 1.5oabove pre-industrial levels.