Financing Climate Futures

Acknowledgements

The Financing Climate Futures: Rethinking Infrastructure initiative is a collaborative effort between the Organisation for Economic Co-operation and Development (OECD), the United Nations Environment Programme (UN Environment) and the World Bank Group (WBG). The financial support of the German Federal Ministry for the Environment, Nature Conservation and Nuclear Safety (BMU) is gratefully acknowledged.

The initiative was launched in response to an invitation from the 2017 G20 Hamburg Climate and Energy Action Plan for Growth to “compile ongoing public and private activities within the G20 for making financial flows consistent with the Paris goals and, building on this, to analyze potential opportunities for strengthening these efforts”.

This report was prepared under the supervision of Anthony Cox and co-ordinated by Virginie Marchal (OECD Environment Directorate). Norbert Gorißen (BMU), John Roome (WBG) and Simon Zadek (UN Environment) provided strategic guidance to the project.

The lead authors are Douglas Herrick (Chapter 2), Kate Kooka (Chapter 4 Chapter 7), Virginie Marchal (Chapter 1 Chapter 5), Michael Mullan (Chapter 2), Edward Perry (Chapter 3) from the OECD Environment Directorate (ENV), and Naeeda Crishna Morgado (Chapter 6) from the OECD Development Co-operation Directorate (DCD).

Particular thanks are expressed to the members of the project core team for their invaluable support, guidance and contributions to the project: Claudia Keller and Till Kötter (BMU), Céline Ramstein (World Bank Group), Zoe Lagarde (OECD) and Felicity Perry (UN Environment Inquiry).

The report benefited from comments and contributions from a number of OECD Directorates: Centre for Entrepreneurship, SMEs and Local Development (CFE); Centre for Tax Policy and Administration (CTP); Directorate for Financial and Enterprise Affairs (DAF); Development Co-operation Directorate (DCD); Economics Department (ECO); Directorate for Employment, Labour and Social Affairs (ELS); Environment Directorate (ENV); Directorate for Public Governance (GOV); Directorate for Science, Technology and Innovation (STI); Trade and Agriculture Directorate (TAD); and the Office of the Secretary General (OSG).

The authors would like to specifically thank the following individuals for their insightful comments and contributions:

 

UN Environment	Mahenau Agha, Juan Chebly, Iain Henderson, Michael Logan, Marcos Mancini, Olivier Lavagne d’Ortigue, Felicity Perry, Nader Rahman, Simon Zadek
World Bank Group	Carter Brandon, Marianne Fay, Stéphane Hallegatte, Stephen Hammer, Alzbeta Klein, Shagun Mehrotra, Céline Ramstein, John Roome, Julie Rozenberg
BMU	Norbert Gorißen, Claudia Keller, Till Kötter
OECD	CFE: Isabelle Chatry, Dorothée Allain-Dupré, Marissa Plouin, Sena Segbedzi; CTP: Luisa Dressler, Florens Flues, Kurt Van Dender; DAF: Géraldine Ang, Timothy Bishop, Raffaele Della Croce, Joel Paula; DCD: Nicolina Lamhauge, Bérénice Lasfargues, Jens Sedemund, Özlem Taskin; ECO: Andrés Fuentes Hutfilter; ELS: Duncan MacDonald; ENV: Shardul Agrawala, Rodney Boyd, Nils Axel Braathen, Simon Buckle, Lisa Danielson, Antoine Dechezleprêtre, Kathleen Dominique, Kate Eklin, Jane Ellis, Ivan Hašcˇicˇ, Raphaël Jachnik, Katia Karousakis, Britta Labuhn, Mariana Mirabile, Daniel Nachtigall, Mikaëla Rambali, Dirk Röttgers, Isabel Seeger, Robert Youngman; GOV: Juliane Jansen and Paulo Magina; STI: Mario Cervantes, Nick Johnstone, Manuela Vitrella; TAD: Guillaume Gruère

Duncan Cass-Beggs and Julia Staudt provided guidance on the strategic foresight aspects of the project (OSG).

The comments and suggestions from external reviewers are also gratefully acknowledged:

Richard Baron from the 2050 Pathways Platform; Jan Corfee-Morlot from 3CS; Frédéric Asseline from the Asian Development Bank; Mariana Deheza, Damien Navizet, Bertrand Reysset from Agence Française de Développement; Louisa Hall, Robert Moore, Jonny Wyatt from the United Kingdom’s Department for Business, Energy and Industrial Strategy; Julia Reinaud from Bill Gates Catalyst 3; Lotte Westermann from the German Federal Ministry for Economic Co-operation and Development (BMZ); Helena Wright from E3G; Sung-Ah Kyun from European Bank for Reconstruction and Development; Sophie Bartosch, Julia Anna Bingler and Lutz Weischer from Germanwatch; Katharina Schneider-Roos from Global Infrastructure Basel; Claudio Alatorre Frenk, Amal-Lee Amin, Marco Buttazzoni, Susana Cardenas, Ivan Corbacho Morales, Maricarmen Esquivel Gallegos, Luz Fernandez García, Giovanni Leo Frisari, Amy Lewis, Mariana Silva Zuniga, Daisy Streatfeild, Adrien Vogt-Schilb and Graham Watkins from the Inter-American Development Bank; Ajay Gambhir and Adam Hawkes from the Grantham Institute Imperial College; Christopher Kaminker from Skandinaviska Enskilda Banken.

The comments and suggestions provided by the following OECD committees are also acknowledged: Environment Policy Committee, Committee on Financial Markets, Development Assistance Committee, Working Party on Climate, Investment and Development, Working Party on Integrating Environmental and Economic Policies, Joint Task Force on Institutional Investors and Long-Term Financing, and the DAC Network on Environment and Development Co-operation.

The three organisations are grateful to the participants of the two workshops that were organised as part of the initiative:

• “Financing infrastructure for a sustainable future”, Washington DC, 25-26 April 2018.

• “Aligning financial flows with low-emission, resilient infrastructure”, Paris, 28-29 June 2018.

The report also benefited from other outputs developed as part of the initiative:

• Shifting the Lens, a publication led by UN Environment that explores the benefit of scenarios and foresight approaches in informing climate policies, infrastructure investments and financing decisions today to trigger the transformation needed.

• A series of forthcoming case studies on specific jurisdictions, technologies or actors that could play an important role in the transition:

  • Achieving clean energy access in sub-Saharan Africa, Corfee-Morlot, J., P. Parks, J. Ogunleye and F. Ayeni.

  • Blockchain, infrastructure and the low-emission transition, OECD.

  • Digital finance and citizen action in financing the future of climate-smart infrastructure, UN Environment.

  • Emerging strategies for decarbonising energy-intensive industries, Oluleye, G., N. Shah, A.D. Hawkes, Imperial College London Consultants.

  • Financing resilient urban infrastructure: Lessons from World Bank and global experience, The World Bank Group.

  • Mobilising commercial capital for sustainable infrastructure: Insights from national development banks in Brazil and South Africa, OECD.

  • Financing climate objectives in cities and regions to deliver sustainable and inclusive growth, OECD.

The report was prepared for publication under the supervision of Elizabeth Del Bourgo from the OECD Environment Directorate, with editorial work being undertaken by Fiona Hinchcliffe. Thank you to OECD Public Affairs and Communication Directorate colleagues Janine Treves for editorial and content support, and Catherine Bremer for media relation support. Christina Theophilidou of the OECD Environment Directorate provided editorial and secretarial support to the project, and production support was provided by Jessica Li and Stéphanie Simonin-Edwards.