Climate Finance Roundup - December 19
EIB funding for Romania grids, business sustainability in France; Fugro closes sustainability linked financing; Scotland funds Great British Energy
European Union
The European Investment Bank (EIB) has provided a €70 million loan to BRD Sogelease IFN SA in Romania as part of a larger €120 million financing package. 20% of the credit line is specifically earmarked for environmental sustainability projects, including green mobility and energy efficiency improvements. The loan includes technical assistance for green investment screening and impact monitoring. European Investment Bank
The European Investment Bank (EIB) has provided a €200 million loan to Distributie Energie Electrica Romania (DEER) to upgrade and extend 200,000 km of electricity distribution network serving 4 million households. The investment will improve energy efficiency, facilitate renewable energy connections, and support Romania's energy and climate goals under the RePowerEU plan. European Investment Bank
France-based Crédit Agricole and the European Investment Bank (EIB) have strengthened their partnership with a €700 million financing package. The package includes €300 million specifically dedicated to supporting businesses and public sector organizations in their energy transition, focusing on renewable energy production, energy efficiency, and sustainable mobility initiatives. The financing will be distributed through Crédit Agricole's network of regional banks to support small businesses, mid-caps, and public sector entities in achieving their climate objectives. European Investment Bank
The French Financial Markets Authority (AMF) has published recommendations for 2024 financial statements, emphasizing the need for companies to properly disclose climate commitments and their accounting implications. The guidance includes new requirements for reporting climate risks and ensuring consistency between sustainability reports and financial statements. AMF France
The European Investment Bank (EIB) has celebrated 50 years of investment in Norway, with nearly €5 billion invested in Norwegian projects. Through the InvestEU programme, EIB and EIF are providing guarantees to Norwegian banks to deliver loans for green transformation and innovation. The partnership includes support for SMEs, venture capital funds, and sustainable transport projects. European Investment Bank
Denmark's National Bank Governor Christian Kettel Thomsen has addressed climate risks and green transition in a speech at Finance Denmark. The bank has conducted scenario analysis showing limited financial sector exposure to climate transition risks, while highlighting the need for major investments in energy system transformation. The analysis indicates that even with increased emission taxes, overall loan losses would remain limited despite impact on high-emitting customers. Bank for International Settlements (BIS)
Netherlands-based Fugro NV has secured a new EUR 400 million sustainability-linked financing package consisting of a EUR 100 million term loan and EUR 300 million revolving credit facility. The 5-year financing includes sustainability performance targets that will affect interest rates based on KPI achievement. The new package replaces existing facilities and provides improved terms. fugro.com
UK
The UK government has announced a £69 billion funding package for local councils, including over £1 billion through the Extended Producer Responsibility for Packaging scheme (pEPR) to manage household packaging waste and support investment in waste and recycling infrastructure. The funding will help councils deliver essential services and support waste management initiatives. UK Government
Scotland's GDP contracted by 0.2% in October 2023. The Scottish government has announced £8.3 billion in funding for Aberdeen-based Great British Energy and £1.4 billion for local growth projects over the next decade. The announcement came alongside GDP figures and broader economic reforms focused on employment and workers' rights. UK Government
The Maldives has announced plans to achieve 33% renewable electricity generation by 2028, requiring $1.3 billion in infrastructure upgrades. The World Bank Group has provided $42.6 billion in climate finance for fiscal year 2024, while the IMF has established a Resilience and Sustainability Fund to support climate initiatives. The speech highlights the urgent need for increased climate finance for Small Island Developing States (SIDS). Bank for International Settlements (BIS)
New Zealand's Transport Agency (NZTA) and Ashburton District Council have confirmed funding for a second Ashburton Bridge, with construction expected to begin in 2026. The project aims to improve infrastructure resilience against flooding events and enhance supply chain connectivity in Canterbury region. The bridge, which will serve 24,000 vehicles daily, has been included in the Fast Track Approvals Bill to expedite its development. New Zealand Government
The US government has announced multiple major funding initiatives through various agencies: DOI has allocated $849M for water infrastructure and $109M for orphaned well cleanup; EPA has distributed $1.6B for community climate resilience and $735M for clean vehicle transitions; and USDA has committed $335M for forest conservation. These initiatives are part of the Infrastructure Investment and Jobs Act and Inflation Reduction Act implementation. Environmental and Energy Study Institute
In Madagascar, the Green Climate Fund (GCF) and Conservation International have implemented a USD 19.3 million climate-smart agriculture program to help farmers adapt to climate change. The program, which received USD 18.5 million in GCF financing, has successfully improved food security and reduced deforestation by introducing drought-resistant crops, mulching techniques, and native fruit trees. The project has shown measurable improvements in farmer food security and is expected to benefit nearly 24,000 people while helping conserve the Ankeniheny-Zahamena and Ambositra-Vondrozo forests. Green Climate Fund (GCF)
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