From COP21 to COP22: Natixis keeps on mobilizing in favor of climate
The 22nd session of the Conference of the Parties (COP22) of the United Nations Framework Convention on Climate Change, attended by governments, NGOs, non-profits, companies and scientists is scheduled for November 7-18 in Marrakech, Morocco.
Because banks can play a major role in the fight against global warming, Natixis remains mobilized to accelerate the energy transition.
COP21, held in December 2015 in Paris, resulted in several major commitments, such as limiting global temperature increase below 2 degrees Celsius, formalized in the Paris Agreement.
To enter into force, the Paris Agreement must be ratified by at least 55 Parties to the Convention accounting for at least 55% of the total greenhouse gas emissions (GHGs). Nearly one year after the Agreement was signed, the first two ratification thresholds wre achieved, thus paving the way to the implementation of the Agreement.
COP22 is the continuation of COP21. Its purpose will be to achieve the goals of the Paris Agreement, particularly concerning the adaptation, transparency and transfer of technology.
Energy transition: Natixis commitments and achievements since COP21
Natixis has maintained its course for energy transition. Following are a list of its commitments and achievements since COP21.
- In December 2015, Natixis became a signatory, along with 27 investors, of the Paris Green Bond Statement that supports universal policies that drive the development of green bonds as part of credible and efficient financial solutions.
- In May 2016, Mirova, the Responsible Investment division of Natixis Asset Management, obtained the new 'Energy and Ecological Transition for Climate' label for the Mirova Europe Environmental Equity Fund, Mirova Green Bond-Global and Mirova-Eurofideme 3 funds. The label was created by the French Ministry of Environment, Energy and Sea to identify investment funds that finance the green economy and mobilize investments towards energy and environmental transition.
- After deciding to stop financing the coal industry, Natixis confirmed this decision in its sector policy applicable to the coal industry issued in July 2016. The exclusion of coal-fired power plants and thermal coal mines, and of any company highly active in these sectors, applies to all forms of financing, worldwide. Natixis Asset Management and Natixis Assurances also implement this policy in their investments.
- In July 2016, Eurofideme 3, a fund dedicated to renewable energy infrastructure projects in Europe, managed by Mirova, a subsidiary of Natixis Asset Management, reached €350 million, way over its €200 million target.
- After the G20 Summit in Hangzhou, China, 4-5 September, Natixis Asset Management and its subsidiary Mirova along with 130 institutional investors representing over $13,000bn signed the communiqué of the G20 leaders on the necessity to step up the fight against climate change.
- Global Infrastructures and Projects (GIP), Natixis Energeco and Mirova financed several renewable energy projects in 2016:
- A leading bank in offshore wind projects, Natixis arranged several major offshore projects in 2016, such as the Beatrice wind farm in the UK, capacity of 588 MW amounting to £1,960bn, and the Merkur project in Germany, capacity of 396 MW amounting to €1,233bn.
- Since COP21, Natixis Energeco has helped finance 212 MW of renewable electric power, such as:
° A 40MW combustion turbine for Albioma on Réunion Island arranged jointly with Caisse d'Epargne Provence Alpes (Cepac). The turbine will use ethanol produced from fermentation of molasses, a second-generation biofuel. Financing amounts to approximately €40m.
° The first wind project 100% crowdfunded in the Pays de Loire region. Last September, 380 shareholders around SAS Jacterie received 5 wind turbines which are expected to generate 23,000 MWh/year, i.e. the annual consumption of more than 7,000 homes. With the support of BP Atlantique, close to €3m were raised via the crowdfunding platform Proximea. This amount was rounded out with an additional 15-year €17m financing.
- Along with the European Investment Bank (EIB), Mirova co-invested in the construction of the Langmarken onshore wind farm in Sweden (capacity of 20MW). This is the first co-investment in a renewable energy project with the European Fund for Strategic Investments (EFSI).