Skip to main content

What's Happening in Sustainable Finance: Whether War Could Spur Adoption of Renewables, Thoughts on Just Adaptation, and More

Posted on June 23, 2022

 

 

 

 

Listen on your favorite player:

 

Episode Summary

Hosts

  • Nicholas Gandolfo, Director, Corporate Solutions
  • Marika Stocker, Senior Manager, Corporate Solutions 

In this episode, Nick and Marika highlight recent developments in the sustainable finance market. They note that the market is coming off a banner year — over US$1 trillion in volumes overall in 2021 —and shed light on the deals and transactions contributing to market growth. They also answer audience questions, sharing Sustainalytics’ take on where nuclear energy and mining could fit in sustainable finance. Be sure to submit your questions to [email protected].

Could Geopolitical Conflict Spur Adoption of Renewables?

Discussion around the adoption of renewable energy is growing given the impact of Russia’s war in Ukraine and other global conflicts on oil and gas exports and imports. These geopolitical conflicts have exposed the risks of overreliance on producers and certain types of energy. One possible reaction to the disrupted and restricted energy supply from Russia is an acceleration of renewables deployment across Europe. This would hopefully spur broader adoption within the region and beyond. 

Just Adaptation: Helping Nations Build Resilience to Climate Change

As governments consider what it takes to transition to a low-carbon economy, the concept of just adaptation is also being discussed. Stakeholders are looking beyond a just transition and examining the inequity between developed and developing countries in their abilities to adapt to climate change. Developing nations are more likely to be affected and have fewer resources to adequately prepare their populations and natural environments despite contributing less to the drivers of climate change compared to developed nations. Nick notes that there is potential to use sustainable finance to balance this inequity. Hopefully, we will see an evolution in sustainable finance issuances from sovereigns and corporates, with use of proceeds and KPIs that tap into some of these issues.


Real ESG Accountability: Tying Your Company’s ESG Performance to Leadership Compensation

Ebook image on modern desktop computer - Real Accountability: Tying Your Company's ESG Performance to Leadership Compensation

Stakeholders are increasing pressure on companies to tie executive compensation to ESG performance for enhanced accountability and transparency. Download our latest ebook to discover how ESG incentive plans can align executive action with strategic priorities.

 

Download the eBook

 



 

Key Moments

0:00:52 Market overview
0:01:22 CBI report 2021 review
0:02:21 EF Article — GB market growth 100-fold in 10 years
0:02:50 IPCC reports
0:03:35 IFC — Guide to issuing green bonds
0:03:40 Ukraine conflict and social bonds
0:04:41 Fintech and climate tech
0:05:11 Just transition and just adaptation
0:06:13 Social taxonomy
0:06:41 EU Green Bond Standards
0:07:02 Financed emissions
0:07:36 ESG and derivatives
0:07:59 From CBI — webinar on China and new criteria for chemicals sector 
0:08:36 SLB overview
0:14:14 SLL overview
0:18:10 Audience questions
0:26:09 Green bonds overview
0:30:47 Green loans overview
0:32:02 Social bonds and loans overview
0:33:42 Labeled products overview
0:34:27 Transition bonds overview
0:35:37 Regulatory and country updates

 

Links to Select Resources

      Recent Content

      The SEC’s New Rules on Climate

      This episode of ESG in Conversation dives into the SEC’s new climate disclosure rules and what they mean for companies and investors.

      ESG in Conversation: The AI Revolution Comes to ESG

      Learn how AI technology is being leveraged in the world of ESG research and analysis in our latest episode.

      ESG in Conversation: Asset Owners Share Their Views on the Changing Investment Landscape

      Tune in to learn about asset owners’ views on ESG investing, discover what major food companies can do to reduce their rising emissions, and find out whether companies are ready for CSRD.

      ESG in Conversation: Combatting Greenwashing in Financial Markets

      We’re talking all about greenwashing this episode. What is it? How can asset managers spot it? And what can they do to steer clear in their portfolios and investment products?