Daily ESG Briefing: Investors consult on responsible climate lobbying practices

The latest developments in sustainable finance

AP7, BNP Paribas Asset Management, and The Church of England Pensions Board have partnered with Chronos Sustainability to launch a global consultation asking what makes for responsible climate change lobbying practices. Responses will contribute to the development of a framework assessing whether, and to what extent, corporate lobbying is aligned with the goals of the Paris Agreement. The coalition is seeking perspectives from a variety of global stakeholders until 19th July.

China saw $55.8bn of green bonds issued in 2019, according to the China Green Bond Market 2019 Research Report conducted by the Climate Bonds Initiative, China Central Depository & Clearing Co. Research Centre and HSBC. Low-carbon transport was the single largest theme (37%), followed by energy (28%), and water (18%). The $55.8bn represents a 33% increase from the $42bn issued in 2018, with Industrial and Commercial Bank of China (ICBC) being the largest Chinese issuer. 

Asset manager Ambienta has achieved Climate Neutral status for its Scope 1-3 carbon emissions and has pledged to become net positive this decade, through investment in conservation and afforestation projects. The assessment was conducted in partnership with South Pole. 

Lighthouse, an initiative of the Institute of Financial Analysts, supported by the Madrid stock exchange, has devised an ESG rating methodology for small- and medium-sized businesses, in a bid to offer investors adequate data to make sustainability-based investments. KPMG has developed the methodology. 

NRW.BANK will become the first German development bank to issue a social bond. It will launch a social bond programme dedicated to five Sustainable Development Goals: no poverty, quality education, decent work and economic growth, reduced inequality and sustainable cities and communities. Its inaugural deal is set to be a 15-year, €1bn, no-grow transaction. 

ING, HSBC, and Lloyds have come under fire from NGOs for adherence to the Equator Principles. According to a new database of projects financed by banks signed up to the Principles, created by BankTrack, the has been “patchy implementation of existing rules, alongside other reporting problems and inconsistencies.”