Climate Finance & Carbon Removal - Feb 21
US Fed acknowledge financial risk of climate disasters; New $1B Latin America fund; Monitoring Enhanced Rock Weathering; Hydrogen in recycling
Michael Barr discusses climate risk and banking regulation
(February 20)
The US Federal Reserve has acknowledged the financial risks posed by climate change, particularly in light of recent natural disasters such as the California wildfires. Vice Chair for Supervision Michael Barr emphasized the need for the Federal Reserve to focus on climate-related risks to ensure the safety and soundness of banks. The pilot climate scenario analysis conducted was highlighted as an important step in assessing the impact of severe weather events on financial stability and guiding banks in their risk management practices.
Federal Reserve Board (FRB) | USA
New $1B Fund for Latin America and Caribbean Sustainable Development
(February 20)
Countries across Latin America and the Caribbean gained access to a new $1 billion fund launched by IDB Invest in partnership with the Japan International Cooperation Agency (JICA). The TADAC fund is aimed at financing infrastructure, climate mitigation, healthcare, and economic recovery, addressing a growing financing gap in the region. By collaborating with global institutions, IDB Invest hopes to mobilize private investment, potentially increasing investment capacity by an additional $1.5 billion in the next three years.
MIT Scientists Study CO2 Effects on Tropical Forests
(February 20)
Scientists César Terrer from MIT and Josh Fisher from Chapman University have embarked on a unique research project near an active volcano in Costa Rica to explore the effects of elevated carbon dioxide levels on tropical ecosystems. By utilizing natural emissions from the Rincon de la Vieja volcano, which has CO2 concentrations four times higher than the global average, they aim to study the CO2 fertilization effect. Their innovative approach involves deploying a network of 50 Bluetooth-enabled sensors to continuously monitor CO2 levels for an entire year, which can provide critical insights into carbon sequestration potential in tropical forests and aid future climate predictions.
InPlanet's Enhanced Rock Weathering Carbon Credits Initiative
(February 20)
US-based InPlanet has developed a Field Monitoring System (FMS) to collect real-time environmental data related to Enhanced Rock Weathering (ERW) on a 1,000-hectare sugarcane plantation. This system allows for comprehensive monitoring of soil, water, and gas interactions with basalt rock powder. Notably, InPlanet aims to verify carbon credits through rigorous data analysis, ensuring that the effects of rock powder applications on carbon dioxide sequestration are accurately represented and scientifically validated.
Government of Canada invests over $1.1 million to drive innovation in the blue economy
(February 20)
Canada-based PacifiCan announced over $1.1 million in funding for two projects on Vancouver Island to support sustainable aquaculture practices. This funding included $881,600 for North Island College to establish a Seaweed Innovation Hub, aimed at enhancing the sustainable seaweed industry in B.C. Additionally, $250,000 was allocated to the B.C. Shellfish Growers’ Association for the IMPACT program, which assists small-scale shellfish producers to modernize operations and boost environmental stewardship. These investments aim to promote economic growth and job creation while maintaining sustainable practices.
Solar solutions: Bio-inspired approach creates bespoke photovoltaics
(February 20)
US-based Cornell University has launched the HelioSkin project, a bio-inspired solar collection initiative, receiving $650,000 in phase I funding from the National Science Foundation’s Convergence Accelerator program. The project aims to blend photovoltaics with innovative design and materials, targeting a new solar skin product that can be utilized in various architectural settings. The team, including members from multiple disciplines, is working on developing a mechanically tracking solar-collection skin projected to support commercial endeavors in the future.
WTO's Commitment to Sustainable Fisheries through Subsidy Reforms
(February 20)
The World Trade Organization (WTO) has emphasized the importance of sustainable fishing practices through its Agreement on Fisheries Subsidies. This Agreement, which prohibits harmful subsidies, is intended to protect oceans and promote sustainable fishing worldwide. Currently, 90 out of 111 required Members have accepted the Agreement, and the WTO is urging further acceptance to meet the target before the Third UN Ocean Conference in June. The European Union has been acknowledged for its early acceptance and contributions to developing Members' implementation.
Cornerstone Laid for Europe’s Largest Green Hydrogen Plant
(February 20)
Germany-based Salzgitter Flachstahl GmbH has laid the cornerstone for one of the largest green hydrogen production plants in Europe. The plant, which will start operating in 2026, is expected to produce around 9,000 tons of green hydrogen per year for carbon-reduced steel production as part of the SALCOS® program. This initiative aims for virtually carbon-free steel manufacturing. The 100 MW electrolysis plant will be supplied by the international technology company ANDRITZ, utilizing HydrogenPro's pressurized alkaline electrolysis technology.
Novelis tests hydrogen use in recycling furnace for carbon neutrality
(February 20)
UK-based Novelis Inc. successfully tested hydrogen fuel in a recycling furnace at its Latchford plant, reducing CO2e emissions by up to 90%. The trial was part of the UK government decarbonization programme and utilized new equipment. The project, supported by a £4.6 million grant, demonstrated the potential for hydrogen to decarbonize the aluminum production process. Novelis aims to achieve carbon neutrality by 2050, with new targets for recycled content and emissions reduction.
Same ease of implementation for MATERRUP concrete as for conventional concrete
(February 20)
Materrup has developed a new concrete solution that provides the same ease of implementation as conventional concrete but with a lower carbon footprint. This innovation allows for the same application and tools while reducing environmental impact. The process promises to adhere to the same deadlines as traditional methods, potentially transforming the construction industry towards more sustainable practices.
EU Aims to Boost CDR Funding for Climate Goals
(February 20)
The EU has committed to increase funding for carbon dioxide removal (CDR) research and development, aiming to allocate at least EUR 2.6 billion during the 2028-2034 financial cycle. Current funding for CDR, estimated at EUR 657 million from 2020 to 2023, has been insufficient, representing only 0.1% of the EU's total climate action budget for that period. The proposed recommendations emphasize not only financial support but also the necessity of integrating governance and societal readiness into CDR innovations.
EIB invests EUR 50 million in Bratislavská vodárenská spoločnosť for water infrastructure
(February 20)
Slovakia-based Bratislavská vodárenská spoločnosť (BVS) received EUR 50 million from the European Investment Bank (EIB) for upgrading and extending its water supply and wastewater infrastructure. The financing will enable BVS to align its operations with EU regulations while increasing the utilization of green, biomass energy sources. The modernization aims to enhance the reliability of water supply for nearly half a million residents and make the city more resilient against climate change effects.
CFM Forms Energy Transition and Green Hydrogen Infrastructure Fund
(February 20)
Climate Fund Managers has announced the formation of Climate Investor Three (CI3), a blended finance fund designed to accelerate the energy transition and green hydrogen sectors in emerging markets, securing initial capital commitments of EUR 150 million from European donors. CI3 will support projects from development to construction, facilitating investments in the energy transition and green hydrogen markets.
The Growth of Sustainable Bond Issuances in Spain: A Beacon of ESG Resilience
(February 20)
Spain has witnessed significant progress in 2024 with the issuance of €24 billion in sustainable bonds, marking a 14% increase from the previous year. The strong growth outpaced the global increase of 2%, establishing Spain as a crucial player in the sustainable finance market amid macroeconomic challenges. The sustainable bonds issued were primarily classified as green (75%), social, and hybrid bonds, showcasing Spain's ongoing commitment to ESG objectives.
Strengthening Road Facility Safety Management Due to Climate Change
(February 20)
South Korea has revised road facility safety management standards to better respond to extreme weather conditions induced by climate change. The revision includes increasing drainage facility design frequency from 50 years to 100 years to improve flood response capabilities. The new guidelines will enhance the construction of drainage facilities and embankments, ensuring road users' safety during heavy rainfall. Overall, these measures aim to protect citizens against flooding and improve infrastructure resilience against climate impacts.
Ministry of Land, Infrastructure and Transport (MOLIT) | Republic of Korea
These are 15 of the 200 news stories we covered yesterday. You canunlock full access on Telborg.
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