Center for Climate-Aligned Finance

📢 New Guide Available for Download! How To Incorporate Sector-Level Analysis into Transition Finance Approaches. This practical how-to guide introduces 5 key steps needed for banks to move from an institution-level transition finance strategy to implementation: ·       Clarify Institution-Level Transition Strategy ·       Identify Priority Sectors ·       Understand the Sector-Level Levers of Transition ·       Assess Clients and Projects ·       Identify Institutional Levers and Product Offerings This guide dives into step 3 to explain the use cases for sector scenarios when seeking to understand the sector-level levers of transition. 👉 Download the guide today at RMI's Transition Finance Resource Hub https://lnkd.in/geGJcdgQ  

Increasing investment in clean hydrogen requires coordinated engagement between financial institutions, project developers, and policymakers. RMI and Mission Possible Partnership are mobilizing clean hydrogen buyers’ clubs and market mechanisms to aggregate demand and tee up bankable offtake contracts. RMI is also connecting the Hydrogen Demand Initiative with the financial sector to support design of the U.S. Department of Energy’s up-to-$1 billion demand-side incentive. Learn more from RMI’s Shravan Bhat, Nabil Bennouna, and Valeriya Azarova’s op-ed in Latitude Media: https://bit.ly/3yAuyTl #Hydrogen #CleanHydrogen #ClimateFinance

We recently asked 10 large financial institutions about the clean #hydrogen deals they're seeing in the US Gulf Coast. Their reaction (see article below) was sobering and informative: many projects are stuck for many reasons. So, what do we do? We think closer coordination between finance, industry, and policymakers is the place to start. Curious if you agree! RMI's work is part of the Mission Possible Partnership's US Hubs program, in partnership with the Bezos Earth Fund. https://lnkd.in/dHt9AvYD

RMI is on a mission to collect real world transition finance case studies to help banks see how they can turn ambition into transactions, detailing key success factors and learnings. In this case study, Standard Chartered describes how they provided a $25 million transition trade finance facility to a prominent Asian steel company to support their ongoing procurement of scrap steel as part of their scrap-based electric arc furnace (EAF) production. Read the full case study: https://bit.ly/4c8nSJZ

RMI is on a mission to collect real world transition finance case studies to help banks see how they can turn ambition into transactions, detailing key success factors and learnings. In this case study, Standard Chartered describes how they provided a $25 million transition trade finance facility to a prominent Asian steel company to support their ongoing procurement of scrap steel as part of their scrap-based electric arc furnace (EAF) production. Read the full case study: https://bit.ly/3XZTaiP

5 common questions about transition finance are answered by RMI experts in our latest article. 2024 has been called the "Year of Transition Finance". Tricia Holland and Dr. Elizabeth Harnett provide a primer to key questions we are often asked when talking about this topic: • What is transition finance? • How does it help limit global warming? • How can we ensure it's credible, and not greenwashing? • What financial instruments are in scope? • What challenges remain? Read the article to learn the answers and check out our Transition Finance Resource Hub to dive deeper! https://bit.ly/4dcEP6L #TransitionFinance

📢 Introducing our new “Transition Finance How-To Guide” series! Transition finance is emerging as a core concept for financial institutions seeking to align portfolios and business strategies with net zero goals. In this series of guides, RMI's Center for Climate-Aligned Finance outlines key steps to turn transition finance ambition into action based on real-world examples and insights. In our first report “How To Design Transition Finance Approaches” RMI’s Dr. Elizabeth Harnett, Tricia Holland and Kaitlin Crouch-Hess outline key design questions and summarize the advantages and trade-offs of different approaches currently seen in the market. This guide offers financial institutions critical insights for deciding how to design a transition finance approach to meets their needs. For more information on this series and to download the guide, check out our Transition Finance Resource Hub https://bit.ly/4cxsf2a

Great to join Karen Fang, Global Head of Sustainable Finance at Bank of America and Joel Makower, Chairman at GreenBiz Group at the recent GreenFin 2024. Transition finance means making smart investment decisions to build energy assets vital to today's prosperity and energy security while accelerating the retirement of dirty assets with cheaper, more abundant and cleaner sources of power. We discussed cutting through the noise of definitions, false theoretical base, where investment opportunities exist today, and what's on the horizon for innovation. Watch the video starting at the 30 min mark to hear our full discussion: https://lnkd.in/ekX2h4CS  

Hosted by RMI and UK Finance, the Transition Finance Today side-event at London Climate Action Week brought together leading experts to share insights on the opportunities, challenges, and frontiers of innovation in transition finance. A huge thank you to our speakers André Abadie, Laurence Patricia Alexandre, Sarah Boon, Kaitlin Crouch-Hess, Dr. Elizabeth Harnett, Vanessa Havard-Williams, Peter Kanning, Melissa Ocampo, and Richard Tarboton.   It was an engaging session sharing reflections on the progress being made and what else is needed to mobilize transition finance at scale. This included a wide range of topics including the need to balance credibility with feasibility, the role of banks in advancing client transitions and shaping policy incentives, and the benefits of collaboration to overcome barriers across the finance industry. At the event, RMI launched the ✨ Transition Finance Resource Hub ✨, the most comprehensive resource available for financial institutions to learn more about how to accelerate transition finance in their institution. Visit this online resource to find case studies, how-to guides, and practical guidance to help financial institutions turn transition finance ambition into action 👉 https://lnkd.in/gjb-Cpw8  

To reach 🌳 net zero emissions, we need to both finance climate solutions like low-carbon electricity, buildings, and transport, but also finance the transformation of polluting parts of the economy. Transition finance supports solutions for reducing emissions from high-emitting sectors of the economy that may not otherwise be eligible for green finance. 📢 RMI's new Transition Finance Resource Hub provides a one-stop shop to learn more about transition finance. The Hub contains videos, articles, how-to guides, case studies, FAQs, industry guidance, and more. Check it out and bookmark this valuable resource today! https://lnkd.in/gdN53GVh #LCAW2024 #ClimateAction