50 Shades of Green: Bringing Brown-Economy
Transition Financing to the Capital Market
The emergence of environmental and social use-of-proceeds bonds has undoubtedly been a debt capital markets highlight in recent years. Yet the borrower profile in this market segment has gaps it needs to close if green bonds are to take their rightful place in the climate-mitigation agenda.
Primary green bond volumes have risen by leaps and bounds and the market has tremendous potential. This is due to the move to better standards and a positive accommodation between issuers and investors, as ESG becomes embedded in institutional mandates and borrowers start to see execution benefits from labelled issuance.
Corporate issuance now accounts for around a quarter of total GB volumes. Not surprisingly in the market’s early growth spurt, this has been skewed to renewable energy companies and power companies and utilities funding or refinancing renewables projects, and to real estate companies developing or adapting buildings with green credentials.
Astonishingly, European (predominantly Swedish) property companies have issued comparable amounts in Green Bond format, excluding the above, to all other corporate issuers world-wide; many of which from the waste management, pulp and paper, and forestry sectors.
Events Radar’s Adapting the Green Bond Market to Accommodate Brown-Economy Transition Financing Seminar will go where no other Green Bond event has gone: submitting that the GB market should accommodate issuers from the oil and gas, metals and mining, automobile and industrials sectors looking to raise transition financing that need not always be focused on renewables. This remains a highly controversial topic but this need not be the case.
Should the GB ecosystem adapt and accept that companies looking to finance their transition to lower carbon emissions will have a significant impact on the climate-change agenda and should therefore be able to finance such activities via Green Bonds?
Moderated by Keith Mullin, thought-leader and Founder of KM Capital Markets, this Events Radar Seminar will convene panels of experts to discuss these critical topics in open and interactive forum.
- 08:30 Registration
- 09:00 Conference Chair’s welcome and opening comments
Keith Mullin Founder, KM Capital Markets
- 09:20 Keynote address Getting to grips with the energy transition agenda
Jason Channell Global Head of SRI Research, Citigroup
- 09:50 Presentation: Making sense of the investor response
Manuel Adamini Head of Investor Engagement, Climate Bonds Initiative
- 10:20 Keith Mullin in conversation with Susana Meseguer Director of Financing, Repsol
- 10:45 Break
- 11:15 Panel session: Super-charging Green Bond bang-for-buck
- Are the ‘wrong’ issuers tapping the Green Bond market? Is the issuer skew undermining environmental potential and underplaying climate-change mitigation opportunities?
- Should the sustainable capital markets be more supportive of transition agendas?
- Green Bonds: maximising environmental impact or minimising funding costs?
- Financing oil companies’ operational efficiencies with green bonds? Problem?
- What will it take to shift the centre of gravity of the GB ecosystem?
- Exploring the EU Action Plan on sustainable finance. Towards formal green labelling?
- All about impact measurement or it’s all so much greenwash
- The push towards additionality
- How far have we come in the ESG/SRI/impact investing story in fixed-income?
- Is sustainable investing a buy-side game-changer?
- Seeing the wood for the [green] trees: short-circuiting the proliferation of standards, certification schemes, classifications, opinions and voluntary labelling
- Shouldn’t it up to be investors to define what is green?
- Manuel Adamini Head of Investor Engagement, Climate Bonds Initiative
- David Averre Global Head of Credit Analysis, Insight Investment
- Jason Channell Global Head of SRI Research, Citigroup
- Stephane Marciel Head of Sustainable Bonds, DCM, Société Générale
- Susana Meseguer Director of Financing, Repsol
- Nicholas Pfaff Secretary, Green Bond Principles, International Capital Market Association
- Nick Stansbury Fund Manager, National Resources, Legal & General Investment Management
- 12:45 Chairman’s Summary and Conference Close
Director of Financing, Repsol
Global Head of Credit Analysis, Insight Investment
Natural resources Fund Manager, Legal & General Investment Management
Head of Investor Engagement, Climate Bonds Initiative
Secretary, Green Bond Principles; Senior director, ICMA
Head of Sustainable Bonds, DCM, Société Générale
Global Head of SRI Research, Citigroup