An alliance of global investors, development banks, financial sector associations & NGOs has today announced the formation of a Green Infrastructure Investment Coalition at the COP21 Conference in Paris, and invited government agencies, international asset managers, owners & development agencies to join and work more closely on promoting large scale development and financing of green infrastructure.
The aim of the Green Infrastructure Investment Coalition (GIIC) is to support the financing of a rapid transition to a low-carbon and climate resilient economy.
The Green Infrastructure Investment Coalition will bring together key actors in the financial system via investor-government global and regional dialogues to promote green infrastructure investment opportunities. The GIIC agenda will include examining barriers to capital flows, identifying forward infrastructure pipelines and facilitating greater capital market participation in green infrastructure development and financing.
Foundation members are the Climate Bonds Initiative, the Principles for Responsible Investment, UNEP Inquiry and the International Cooperative Mutual Insurance Federation (ICMIF).
A mix of other organisations have already committed to joining the coalition including:
· Alliance Bernstein (AB)
· Ceres (USA)
· Deutsche Bank
· European Investment Bank
· Federation of Indian Chambers of Commerce and Industry (FICCI)
· IDBI Bank (Indian development bank)
· India Export-Import Bank
· National Institute of Public Finance & Policy India
· Legal & General Investment Management
· PAX World Management and French asset manager Mirova
· Regions20 Coalition
· Institutional Investor Group on Climate Change (Europe)
· Investor Group on Climate Change (Australasia)
Climate Bonds CEO Sean Kidney: “Markets need to move towards shifting more capital into green infrastructure projects. We want long term investors, development banks and governments all looking at what’s currently in the green infrastructure pipelines, what should be in those pipelines and working together on investment models and timescales that help accelerate builds and projects across energy, transport, water and other key sectors.”
PRI Managing Director Fiona Reynolds said: “PRI’s members are committed to responsible investment– and that includes seeking investments that support the long-term sustainability of their portfolios. Investments that address climate change are exactly that. We encourage all governments to identify and prioritise the development of specific low carbon, resilient infrastructure projects, ready for institutional investor funding.”
UNEP Inquiry Co-Director Nick Robins said: “One of the key gaps identified by the UNEP Inquiry was the absence of a common platform at the international level to mobilise global debt and equity capital markets for the transition to a green economy. This new coalition will help to fill this gap and deliver practical guidance on how to build on the powerful momentum we have seen in 2015.”
Shaun Tarbuck, CEO of the International Cooperative Mutual Insurers Federation (ICMIF) said: “The insurance industry has made a substantial commitment to encourage to invest in resilient climate solutions such as those that will be proposed by the smart risk investing framework. But we have a lack of investment opportunities that suit our risk requirements. The Green Infrastructure Investment Coalition will help develop the pipeline of investment opportunities our members want.”