Selected publications on systemic approach to climate finance
Publications by NewClimate Institute
Aligning Investments with the Temperature Goal of the Paris Agreement
This working paper assesses how Multilateral Development Banks can support the global temperature goal of the Paris Agreement. It illustrates how the banks could strengthen existing tools to align their portfolios and activities with the globally agreed mitigation goal. Other finance institutions can also profit from many of the approaches included in the paper.
Derisking Renewable Energy Investment
This study analyses how a chosen set of public instruments could alleviate the country specific investment risks in Tunisia. It quantifies the reduction of the cost of capital and the corresponding reduction of LCOEs and relates the overall economic savings to the cost for public instruments.
Allianz Climate and Energy Monitor
The Allianz Climate and Energy Monitor ranks G20 member states on their current attractiveness as potential destinations for investments in low-carbon electricity infrastructure. It further considers their current and future investment needs in line with a trajectory compatible with the temperature limit of the Paris Agreement.
Publications by I4CE
2018 edition of I4CE’s Landscape of Climate Finance
The 2018 edition of I4CE’s Landscape of Climate Finance provides an overview of climate investments made by governments, households and businesses in France. In 2017 climate investments exceed €40 billion, equitably distributed between households, businesses and public authorities. Each year, I4CE publishes the Landscape of Climate Finance in France that transparently tracks climate investments in buildings, transport, energy production, industry, agriculture. This Landscape is presented to the National Assembly and at over twenty annual events with the public authorities and civil society. It aims to inform the work of parliament and government and to open a constructive dialogue with stakeholders. The Landscape is based on a transparent method, and its results are discussed in a steering committee comprising the Ministry of Ecological and Solidarity Transition, the Ministry of Finance and the ADEME.
Low-carbon investment 2011 – 2017
The transition to a low-carbon economy implies significant investments in buildings, transport systems, vehicles, power plants, industry, agriculture. However scaling-up those investments to meet climate and energy objectives requires an improved knowledge base in investments and financial flows in those sectors, as well as policy assessment tools. This is why I4CE has developed since 2013 a “Landscape of domestic climate finance”. It is a systematic tracking of domestic climate investment and related financing flows in France. By highlighting the gap between current investments and climate objectives, it helps generating awareness and engagement with national stakeholders. Aggregating indicators from different sectors into a single, coherent view, it serves as a reference point to track where the transition stands year after year and whereas sectoral analysis improves the understanding of investment policy successes and setbacks. This report has been designed for those that would like to learn more about climate policy and investments in France. Moreover, by presenting a deep-dive into the roots of the Landscape methodology, it intends to support, if not inspire, any actors who may wish to develop a Landscape in their country.
Landscapes of domestic climate finance in Europe
On 25th October 2016 in Copenhagen, the European Environment Agency and I4CE – Institute for Climate Economics hosted an expert meeting convening experts on the tracking of domestic financial flows dedicated to climate action in Europe. The expert meeting brought together government representatives, research centers and civil society actors, with the aim of establishing how an improved understanding of climate-related investment and financial flows can support the achievement of climate objectives at national, European and global levels. This joint policy brief by I4CE and the EEA presents the principal points of discussion and conclusions of this workshop.
Publications by WiseEuropa
Climate Finance Domino. Transition risks for the Polish financial sector
The report delivers quantitative and qualitative arguments for the discussion on the climate risks for Polish financial sector, in particular presenting potential dangers resulting from its involvement in the coal-based energy strategy of the Polish government. Whilst at the same time authors present the strengths of energy mix scenarios which assume rapid roll-out of low-emission technologies, highlighting that although these are more capital-intensive, the associated financing needs may be covered by a much broader set of investors, involve a much larger group of developers, and result in a sharp decrease in future climate risks.
Sustainable Finance in Poland. State of play and prospects for progress
The paper commissioned by the Principles for Responsible Investment presents the current legal framework for pension and investment funds, the insurance sector as well as asset management in Poland. In the publication experts also offer a brief overview of how the energy market politics impacts the uptake of sustainable finance in Poland. The research paper also includes more general remarks on the current state of sustainable finance in Poland and identifies political issues that are likely to impact the progress in addressing the ESG considerations in regulations.
Other relevant publications
Financing Europe’s low carbon, climate resilient future (EEA)
The orderly transition to the low carbon, climate-resilient economy that Europe is aiming for is also an investment challenge that depends on a substantial redirection of finance flows towards more sustainable investments. Meeting this challenge and harvesting the associated opportunities requires an improved knowledge base in terms of clear investment information at EU and national levels. Assessing the state-of-play of climate finance tracking in Europe, a recent European Environment Agency (EEA) study indicates that few European countries have translated their national climate and energy objectives into corresponding investment needs and plans.
Assessing the state-of-play of climate finance tracking in Europe (Trinomics)
This Trinomics report has been prepared to underpin the European Environment Agency’s briefing on ‘Financing Europe’s low carbon, climate resilient future‘. The study report Trinomics prepared for the EEA presents the findings of a first Europe-wide stocktaking exercise to assess the current status of climate finance tracking across the EEA’s 33 member countries.
Climate investment capacity (CIC2030) project (IKEM, CVUT, RTU)
The Regulation on the Energy Union Governance requires the EU member states to design national energy and climate plans. The implementation of these plans demands the mobilization of significant capital by 2030. Czechia and Latvia introduced a package of financial incentives and fiscal policies to stimulate investment to decarbonize their economies. Still, their impact is not yet sufficient for achieving ambitious energy and climate targets. At the national and local level, know-how on structuring viable projects and experience with significant private capital mobilization are limited and the member states need new knowledge and capacity to raise this capital. The Climate Investment Capacity project aims to address that challenge and build new capacity in Germany, Latvia and Czechia. The starting point is already existing knowledge and know-how which the project will transfer and adapt to national circumstances with the help of implementing partners.