Connecting the Dots between Climate Finance Initiatives

Around the world, many initiatives are currently working on some aspects of climate mainstreaming, conducting analysis, developing new approaches and creating new tools.

This section of the Climate Mainstreaming Resource Center provides an overview of some of these initiatives and their current areas of work related to the 5 Principles for Mainstreaming Climate Action.

 

Connect the dots:

Initiatives, networks and organisations profiles presented in this section are for knowledge sharing purposes only. The Initiative, its Supporting Institutions or the Secretariat, do not endorse information provided in these profiles and cannot provide an absolute guarantee as  to the accuracy and exhaustiveness of this information. 

CDP

Formerly Carbon Disclosure Project, CDP is a not-for-profit charity working with investors, companies, cities, and states and regions to manage environmental impacts through enhanced disclosure of environmental data. Every year, CDP releases its “A List” naming the leading world’s businesses on environmental performance. CDP’s main working areas are climate, water and forests.

Central Banks and Supervisors Network for Greening the Financial System (NGFS) 

The Central Banks and Supervisors Network for Greening the Financial System (NGFS) is the only forum worldwide bringing together central banks and supervisors committed to better understand and manage the financial risks and opportunity of climate change. The network was launched in December 2017, during the One Planet Summit and gathers, as of July 2018, 16 members participating in three different work streams: supervision, macro-financial and mainstreaming green finance.

Ceres

Launched over 25 years ago, Ceres is a US Non-Profit Organization working with investors and companies to address financial sustainability issues in general. Starting with a small group of investors, Ceres now coordinates four different networks (investor, company, policy and non-profit) and, it has a dedicated work stream addressing climate change and carbon asset risk.

Climate Action 100+

 Launched during the One Planet Summit in December 2017 in Paris, as of May 2018 Climate Action 100+ brings together 279 institutional investors managing nearly USD $30 trillion to put pressure on the boards and senior management of 100 of the world’s largest corporate emitters to reduce greenhouse gas emissions.

Cities Climate Finance Leadership Alliance (CCFLA)

Launched at the United Nations Secretary-General’s Climate Summit in September 2014, the Cities Climate Finance Leadership Alliance (CCFLA) gathers “over forty leading organizations actively working to mobilize investment into low-carbon and climate-resilient infrastructure in cities and urban areas internationally”.

Climate Bonds Initiative (CBI)

The Climate Bonds Initiative (CBI) is an investor-focused not-for-profit, launched to increase investments contributing to the transition to a low-carbon and climate resilient economy. It provides standards and guidance on green bonds and publishes studies on the evolutions of the green bonds market every year since 2012.

C40

Launched in 2005, “C40 is a network of the world’s megacities committed to addressing climate change. C40 supports cities to collaborate effectively, share knowledge and drive meaningful, measurable and sustainable action on climate change.”

Equator Principles 

Launched in 2003, by 10 leading banks, the Equator Principles are a set of 10 Principles for financial institutions aiming at “determining, assessing and managing environmental and social risk in projects”[1], based on the policies and guidelines of the World Bank and International Finance Corporation (IFC). As of July 2018, 94 financial institutions have adopted the Equator Principles.

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Finance for Tomorrow 

“Gathering more than 60 members and international observers, Finance for Tomorrow is the initiative launched in June 2017 within Paris EUROPLACE to make green and sustainable finance a key driving force in the development of the Paris Financial Center, in order to position it as the international hub on these issues.“

Global Investor Coalition on Climate Change (GIC) 

Launched in 2012, the Global Investor Coalition on Climate Change (GIC) is a joint initiative of four regional groups that represent investors on climate change and the transition to a low carbon economy: AIGCC (Asia), Ceres (North America), IGCC (Australia/NZ) and IIGCC (Europe). In 2014, the Coalition developed the Global Investor Statement on Climate Change,

Global Platform for Sustainable Cities (GPSC)

Currently comprised of 28 cities across 11 pilot countries, the Global Platform for Sustainable Cities, or GPSC, supports cities in their efforts to adopt an integrated approach to urban planning and financing. Led by the World Bank and supported by the Global Environment Facility (GEF), in collaboration with development partners, the GPSC promotes sustainable development amidst rapid urbanization and works with practitioners and thought leaders from around the world in developing solutions for sustainable urban growth.

The Global Reporting Initiative (GRI)

The Global Reporting Initiative (GRI), is an international organization founded in 1997, which provides frameworks and guidance on sustainability reporting. The principal output of the Initiative is the GRI Sustainability Reporting Standards, which have been continuously developed over 20 years.

Green Bank Network (GBN)

Launched in 2015 the Green Bank Network (GBN) is “a membership organization formed to foster collaboration and knowledge exchange among existing Green Banks, enabling them to share best practices and lessons learned. The GBN also aims to serve as a source of knowledge and a network for jurisdictions that seek to establish a Green Bank”.

Green Finance Initiative(GFI)

In September 2017 the British government mandated the Green Finance Initiative, launched in 2016 by the City of London Corporation and the UK government, to put in place a Green Finance Taskforce – “an alliance of individuals and organisations tasked with providing recommendations for delivery of the public and private investment [the UK] need[s] to meet [its] carbon budgets and related environmental and resilience goals, and maximise the UK’s share of the global green finance market”.

High-level Expert Group on Sustainable Finance (HLEG)

The High-level Expert Group on Sustainable Finance (HLEG) analyzed, between end of 2016 and early 2018, the challenges and opportunities for sustainable finance in Europe. The report and recommendations address sustainability issues in general, with a special focus on climate-related issues, notably regarding climate-related financial risks.

Institutional Investor Group on Climate Change (IIGCC)

The Institutional Investors Group on Climate Change (IIGCC) is a platform for European institutional investors launched in 2001. The IIGCC pursues its objective of contributing to a low carbon economy by engaging with investors, companies and policy-makers on different working areas, including climate-related risks.

International Network of Financial Centres for Sustainability (FC4S)

The FC4S Network is structured as a partnership between financial centres and the United Nations Environment Programme. The objective of the network is to exchange experience and take common action on shared priorities to accelerate the expansion of green and sustainable finance. The FC4S Network is supported by five partners: the Climate Bonds Initiative, the Sustainable Digital Finance Alliance, the Sustainable Stock Exchange Initiative, the Principles for Responsible Investment and the UNEP Finance Initiative.

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International Organization for Standardization (ISO)

The International Organization for Standardization (ISO) was created in 1947 with the objective of making standards internationally comparable. Over the past more than 70 years ISO issued over 22000 standards, which, as of May 2018, cover “almost all aspects of technology and business”. This presentation will mostly focus on the two climate related standards that ISO is currently working on: a standard for green bonds (ISO 14030) and a “framework and principles for assessing and reporting investments and financing activities related to climate change” (ISO 14097).

The Investor Agenda

The Investor Agenda was launched during the 2018 Investor Summit on Climate Risk by seven partner organizations (AIGCC, CDP, Ceres, IGCC, IIGCC, PRI and UNEP FI). It is a comprehensive agenda for investors to manage climate risks and capture low-carbon opportunities, and a mechanism to report on their progress in four key focus areas: Investment, Corporate Engagement, Investor Disclosure and Policy Advocacy.

Montreal Carbon Pledge

The Montreal Carbon Pledge was launched in 2014 “to attract commitment from portfolios totalling US$3 trillion in time for the United Nations Climate Change Conference (COP 21)”[1]. As of the COP21, over 120 signatories representing US$ 10 trillion of assets under management, had committed to “measure and publicly disclose the carbon footprint of their investment portfolios on an annual basis”

The Portfolio Decarbonization Coalition (PDC)

PDC is a multi-stakeholder initiative launched in the run up to COP21 “to support and catalyse the transition to a low-carbon economy by encouraging and mobilising institutional investors to decarbonize their investment portfolios” and presents itself as aiming to be “fully action-oriented” as PDC members commit to a concrete decarbonization plan.

Principles for Responsible Investment

Launched in 2006, the Principles for Responsible Investment (PRI) is an investor initiative, which supports the adoption and the implementation of six Principles articulated around environmental, social and governance (ESG) issues. ceptance of ESG issues in the investment industry as well as knowledge sharing among the signatories of the Principles.

Science Based Targets initiative (SBTi)

The Science Based Targets initiative (SBTi) is a “joint initiative by CDP, the UN Global Compact (UNGC), the World Resources Institute (WRI) and WWF intended to increase corporate ambition on climate action by mobilising companies to set greenhouse gas emission reduction targets consistent with the level of decarbonisation required by science to limit warming to less than 1.5ºC / 2°C compared to preindustrial temperatures

Sustainable Finance Study Group (SFSG)

In 2016, the G20 launched a Green Finance Study Group (GFSG) to investigate possibilities to encourage private investors to increase green investments. In 2018, the GFSG was replaced by the Sustainable Finance Study Group (SFSG), which is continuing the work of its predecessor with a wider mandate.

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Sustainable Insurance Forum (SIF)

Launched at the end of 2016 by the UN Environment Programme, the Sustainable Insurance Forum (SIF) is a network of insurance supervisors and regulators working together on sustainability challenges facing the insurance sector. Although addressing sustainability issues in general, the SIF’s primary focus lies on environmental and climate challenges to insurance.

Task Force on Climate-Related Financial Disclosures (TCFD)

Put in place by the G20’s Financial Stability Board the Task Force on Climate-Related Financial Disclosures (TCFD), composed of 32 international experts, was mandated to “develop voluntary, consistent climate-related financial risk disclosures”[1]. The TCFD was announced at the end of 2015 and presented its final recommendations in June 2017.

United Nations Environment Programme Finance Initiative (UNEP FI)

Launched in 1992, the United Nations Environment Programme Finance Initiative (UNEP FI) is a global partnership between the United Nations Environment Programme and the financial sector. It aims “to promote sustainable finance” and has a special focus on climate change. Today, over 200 institutions have signed the UNEP FI Statement and “committed to working collectively toward common sustainability goals”.

Adopt the 5 voluntary Principles