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08/06/2022
Climate Report
Scenario analysis of transition risk in finance – Towards strategic integration of deep uncertainty
The restructuring of the economy towards a low-carbon system will lead to develop activities that are aligned with the needs of a net zero economy, to restructure others in order to make them compatible with these needs and to stop harmful activities. The financial sector needs to anticipate these dynamics to address strategic risks and […]
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26/04/2022
Climate Report
Include mandatory banking transition plans within Pillar 2
The transition plans aim to establish a progressive decarbonisation strategy by 2050, in line with the European Union’s objectives. The European Central Bank, through Frank Elderson, as well as several NGOs are calling for transition plans to be made mandatory for banks and to be integrated into prudential regulation. This note first looks at why […]
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11/02/2022
Climate Report
Carbon sinks: is France’s ambition realistic?
The French National Low-Carbon Strategy (SNBC) aims at doubling the volume of CO2 removals thanks to the contribution of the forest-based sector, the agricultural sector and the geological carbon capture and storage technologies. The projections concerning these compartments and the underlying technical assumptions have been explored and compared to the existing literature in an in-depth analysis, with the goal of clarifying the challenges and conditions for this massive increase in carbon removals. The conclusions are that far-reaching changes are required in the different sectors and that some objectives for the forest-based sector may be impossible to achieve.
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27/01/2022
Climate Brief
Design principles of a carbon farming scheme in support of the Farm2Fork & FitFor55 objectives
In order to reach the objectives of the recently approved EU Climate Law, the agricultural sector has to simultaneously reduce significantly its level of emission, increase the amount of carbon it sequesters, and augment the production of biomass in substitution of fossil fuel – which are to be phased out in the short term. In […]
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15/12/2021
Climate Report
Landscape of Climate Finance in France – 2021 edition
A steep rise in investment in low-carbon vehicles and sustained climate investment in other sectors, a fall in the financing of fossil fuels, a climate funding deficit of over 13 billion that recovery measures are unlikely to offset...
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25/11/2021
Climate Report
Challenges to implementing adaptation on the ground- 5 case-studies in France
In order to understand what public financial institutions can do, I4CE and Ramboll have analyzed 5 territorial projects, from the Vosges to the Dordogne, which are trying to meet the challenge of adaptation. Beyond their differences, each of the cases studied shows that adaptation requires, above all, dedicating time and resources to change the way projects are designed and carried out.
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25/11/2021
Climate Report
Adaptation : Public financial institutions (also) have a role to play – a study based on the french example
In this study, I4CE reviews the characteristics and areas of intervention of public financial institutions, which make them essential actors for adaptation. The study also reviews all of the Public Financial Institutions' business lines to determine their levers for action.
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09/11/2021
Climate Report
Promoting and reporting on climate action carried out within the framework of the Low-Carbon Standard
In the context of the development of the Low Carbon Label, one of the recurring questions from potential financiers is: "What am I allowed to say and do when financing certified low carbon projects? With this publication, I4CE provides operational and pragmatic answers.
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21/10/2021
Climate Report
Global Carbon Accounts in 2021
Explicit carbon pricing systems - a tax or a carbon market - continue to develop around the world. In the 2021 edition of its Global Carbon Accounts, I4CE presents the main trends and provides an overview of these public policies ...
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14/10/2021
Climate Brief
Does more sustainable food increase consumer budgets?
Eating less animal products and wasting less reduces the budget, but increasing consumption of organic products increases it. In total, does adopting a sustainable diet increase or decrease consumer spending?
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14/10/2021
Climate Report
Assessing the sustainability of the French food system: methodological issues and results
To learn more about the methodology used by I4CE to assess the contribution of financing flows to the emergence of a sustainable food system, this technical paper introduces it and identifies its limitations and key methodological challenges for the future.
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14/10/2021
Climate Report
The Good, the Bad and the Unclear : Environmental Budget Tagging
This study takes stock on the experience of some twenty countries and several international development institutions in Environmental Budget Tagging. It identifies the expected benefits and the conditions to achieve them : take into account the measures that are unfavorable to the environment, consider the outcomes of assessed measures and not only their intention, repeat the exercise over time and fit it into the existing administrative culture and processes…
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23/09/2021
Climate Report
Indexing capital requirements on climate : What impacts can be expected ?
As the main financier of the French and European economies, banks play a key role in financing the transition. Their current contribution in France is in the order of 8 billion euros per year, but this will need to more than double according to estimates by I4CE. To accelerate this shift for banking institutions and to prevent their increasing exposures to climate risks, the debate has tended to revolve around whether or not there is a need to reform prudential requirements.
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16/07/2021
Climate Report
Climate stress tests: The integration of transition risk drivers at a sectoral level
Since 2018, and under the initiative of the NGFS, the network of central banks and supervisors for greening the financial system, several central banks and supervisors have begun to conduct their first climate stress test exercises to determine the vulnerability of financial institutions to climate-related risks. In order to help central banks to carry out this type of exercise, the NGFS published in 2020, its first guide to climate scenarios analysis that can be used in climate stress tests.
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30/06/2021
Climate Brief
No adaptation without operational requirements and human resources
Increasingly frequent heat waves, long droughts, coastal erosion and changing flood risks are all impacts of climate change that will be problematic for the French economy and society. How detrimental this impact will be, will largely depend on what we have anticipated. If we organise ourselves well, we will be able to ensure we make the best decisions for a collective management of risks, development and economic choices, better suited to changing climates. However, regardless of whether we choose to reduce the exposure and vulnerability of populations, facilities and activities upstream or accept an increased share of risk, we must be prepared.
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23/06/2021
Climate Report
Climate: a look back at 10 years of French government spending
Of course, public money will not do everything; but without public money, it seems difficult today to conceive of a transition that is acceptable to all and sufficiently ambitious. With the French presidential campaign about to begin, the budget that the goverment allocates to the transition will certainly be the subject of intense debate. […]
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04/06/2021
Climate Report
Operationalization Framework on Aligning with the Paris Agreement
In 2017, the International Development Finance Club (IDFC) together with the group of Multilateral Development Banks (MDBs) made a joint commitment to “align financial flows with the Paris Agreement”. Since its commitment, the IDFC had focused its efforts on identifying what alignment means and implies.
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20/05/2021
Climate Report
Taking climate-related disclosure to the next level – minimum requirements for financial institutions
In 2015, France pioneered requirements for climate-related disclosure from financial institutions, asking them to explain their strategy for integrating climate-related risks and for contributing to the achievement of the Paris Agreement objectives and the French national low-carbon strategy. Three years of implementation yielded mixed results and requirements are in the course of being updated in […]
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24/03/2021
Climate Report
Landscape of climate finance – 2020 Edition
The Landscape of Climate Finance is a comprehensive study of domestic investments which support climate mitigation in France. This study maps the financial flows supporting investments leading to the reduction of greenhouse gas emissions (GHG) across the French economy.
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15/03/2021
Climate Report
Climate assessment of local authority budgets: methodological guide
For local governments, it is when expenditures are debated that it is possible to question them and to channel them towards the climate transition. That’s why I4CE and its partners co-constructed a common and shared methodology to assess a local budget according climate issues.