This document provides an overview of financial technologies that can help drive decarbonization and unlock over $127 trillion in economic benefits. It discusses four key drivers of decarbonization: carbon pricing, carbon offsetting, carbon accountability, and influencing consumer choices. For each driver, it provides examples of climate fintech startups working in those areas, such as companies developing carbon trading platforms, monitoring carbon offset projects, analyzing corporate carbon footprints, and incentivizing lower carbon lifestyles. The document concludes that widespread carbon pricing will be key to decarbonizing economies and that climate fintech is uniquely positioned to create value in addressing the climate crisis.
Many businesses and governments have been reporting on environmental and climate data for over 15 years now, but the way they do is set to change. Following the UN’s Paris
Agreement to address climate risk by cutting greenhouse gas emissions, financial regulators are increasingly concerned about the systemic risks that climate change poses to the financial
system. After the 2008 financial crisis, regulators do not want any disorderly transitions in the market due to a misallocation of capital
Searching for a new mission to work on, I analyzed in Internet how to get in contact which industrial companies which got strong compromise with our future. Not so easy :-)
Hereby I share you from CDP (Carbon Disclosure Project) the "A-List" Report End 2014 ("A" like we all now from energy efficiency labels). Herein you will find 767 companies with clear sustainable strategies. And at the end of the report the black sheeps which did not contribute transparency dates to CDP for the Climate Performance Leadership Index (CPLI).
Interesting, too...all these companies performed in sum better than reference index values on stock exchange. see for details the added report
Many businesses and governments have been reporting on environmental and climate data for over 15 years now, but the way they do is set to change. Following the UN’s Paris
Agreement to address climate risk by cutting greenhouse gas emissions, financial regulators are increasingly concerned about the systemic risks that climate change poses to the financial
system. After the 2008 financial crisis, regulators do not want any disorderly transitions in the market due to a misallocation of capital
Searching for a new mission to work on, I analyzed in Internet how to get in contact which industrial companies which got strong compromise with our future. Not so easy :-)
Hereby I share you from CDP (Carbon Disclosure Project) the "A-List" Report End 2014 ("A" like we all now from energy efficiency labels). Herein you will find 767 companies with clear sustainable strategies. And at the end of the report the black sheeps which did not contribute transparency dates to CDP for the Climate Performance Leadership Index (CPLI).
Interesting, too...all these companies performed in sum better than reference index values on stock exchange. see for details the added report
Recognizing that climate-related financial reporting is still evolving, the Task Force’s recommendations provide a foundation to improve investors’ and others’ ability to appropriately assess and price climate-related risk and opportunities. The Task Force’s recommendations aim to be ambitious, but also practical for near-term adoption. The Task Force expects to advance the quality of mainstream financial disclosures related to the potential effects of climate change on organizations today and in the future and to increase investor engagement with boards and senior management on climate-related issues.
Improving the quality of climate-related financial disclosures begins with organizations’ willingness to adopt the Task Force’s recommendations. Organizations already reporting climaterelated information under other frameworks may be able to disclose under this framework immediately and are strongly encouraged to do so. Those organizations in early stages of evaluating the impact of climate change on their businesses and strategies can begin by disclosing climate-related issues as they relate to governance, strategy, and risk management practices. The Task Force recognizes the challenges associated with measuring the impact of climate change, but believes that by moving climate-related issues into mainstream annual financial filings, practices and techniques will evolve more rapidly. Improved practices and techniques, including data analytics, should further improve the quality of climate-related financial disclosures and, ultimately, support more appropriate pricing of risks and allocation of capital in the global economy.
Interesting and concerning to see a leading company involved in the supply chain of one of the least efficient sources of fossil fuels listed as a climate leader. Does (or should this) signal a concern for those relying on CDP data and rankings for thier investment decisions?
Climate risk disclosure: What are the financial and asset impacts of physical...Briony Turner
This presentation was given as part of Futurebuild 2020 | 4 March | Session: How do we achieve '100% net zero carbon'? You will need to download it to use the hyperlinks.
Find out more about the recommendations arising from my PhD in this LinkedIn post: Stepping out -recommendations for mainstreaming climate change adaptation of England's social housing stock: https://www.linkedin.com/pulse/stepping-out-recommendations-mainstreaming-climate-change-turner/
The Transition Pathway Initiative (TPI) is a
global initiative led by asset owners and supported
by asset managers, established in January 2017.
Aimed at investors, it assesses companies’ progress
on the transition to a low-carbon economy,
supporting efforts to address climate change. Over
67 investors globally have already pledged support
for the TPI; jointly they represent nearly US$19 trillion
combined Assets Under Management and Advice.
Using companies’ publicly disclosed data, TPI:
• Assesses the quality of companies’
management of their carbon emissions
and of risks and opportunities related to
the low-carbon transition, in line with the
recommendations of the Task Force on
Climate-related Financial Disclosures (TCFD).
• Assesses how companies’ planned or
expected future Carbon Performance
compares with international targets and
national pledges made as part of the 2015
Paris Agreement on climate change.
• Publishes the results via an open-access online
tool: www.transitionpathwayinitiative.org.
TPI strategic relationships
The Grantham Research Institute on Climate
Change and the Environment at the London School
of Economics and Political Science (LSE) is TPI’s
academic partner. It has developed the assessment
framework, provides company assessments, and
hosts the online tool. FTSE Russell is TPI’s data
partner. FTSE Russell is a leading global provider
of benchmarking, analytics solutions and indices.
The Principles for Responsible Investment (PRI)
provides a secretariat to TPI. PRI is an international
network of investors implementing the six Principles
for Responsible Investment.
Too often, climate change is thought about as a challenge for future
generations. But as records continue to be broken, it is increasingly clear
that the effects of climate change are being felt today.
There is no doubt that the Paris Agreement was a major milestone in
establishing the framework for tackling climate change, by setting the global
goal of limiting global warming to less than 2°C and moving to a net zero
emissions economy by the second half of the century. But we should not
lose sight of the fact that 2°C warming still involves substantial change for
our infrastructure, our economy and our communities.
For investors, this means that the physical risk dimensions of climate
change must be part of the risk assessment process, and that increasing
investment into adaptation to ameliorate the effects of climate
must accelerate.
Given that climate change has been such a dominant topic in public debate
for a number of years now, it is perhaps surprising that relatively little work
has focused on the practical aspects of adaptation, particularly on how to
finance it. Where this work has taken place, it is predominantly focused on
public finance, while the hard yards of increasing private sector investment
into adaptation is only now beginning.
This report looks explicitly at how to increase investment into adaptation.
Developed through a multi-stakeholder climate adaptation finance
consultation process, it aims to identify real world investment barriers and
recommend potential solutions, with the goal of enabling the finance sector
to access adaptation investment opportunities. It also sets out a pathway
ahead with specific recommendations that IGCC will be taking forward.
Comments of participants in this process are included throughout the report.
Throughout this guide, we have sought to identify practical examples
of investment models currently being applied or with the potential to
be adopted to meet the challenges to adaptation investment identified
through this consultation process. By looking at what works today, we are
better able to identify solutions for scaling up investment.
Recognizing that climate-related financial reporting is still at an early stage, the Task
Force’s recommendations provide a foundation to improve investors’ and others’ ability
to appropriately assess and price climate-related risk and opportunities. The Task Force’s
recommendations aim to be ambitious, but also practical for near-term adoption. The Task
Force expects to advance the quality of mainstream financial disclosures related to the
potential effects of climate change on organizations today and in the future and to increase
investor engagement with boards and senior management on climate-related issues.
Improving the quality of climate-related financial disclosures begins with organizations’
willingness to adopt the Task Force’s recommendations. Organizations already reporting
climate-related information under other frameworks may be able to disclose under this
framework immediately and are strongly encouraged to do so. Those organizations in early
stages of evaluating the impact of climate change on their businesses and strategies can
begin by disclosing climate-related issues as they relate to governance, strategy, and risk
management practices. The Task Force recognizes the challenges associated with measuring
the impact of climate change on an organization or an asset, but believes by moving climaterelated
issues into mainstream financial filings, practices and techniques will evolve more
rapidly. Improved practices and techniques, including data analytics, should further improve
the quality of climate-related financial disclosures and, ultimately, support more appropriate
pricing of risks and allocation of capital in the global economy.
Driving Transformative Change: The Role of the Private SectorSustainable Brands
The risks and opportunities involved in addressing climate change are becoming better understood in cabinet and board meetings around the world. Businesses will need to consider whether they want to be disrupted and left behind, or be the disruptors who take proactive actions to grow into the change and benefit from new opportunities. Investors will increasingly seek out those companies that are taking the latter approach.
Observability Concepts EVERY Developer Should Know -- DeveloperWeek Europe.pdfPaige Cruz
Monitoring and observability aren’t traditionally found in software curriculums and many of us cobble this knowledge together from whatever vendor or ecosystem we were first introduced to and whatever is a part of your current company’s observability stack.
While the dev and ops silo continues to crumble….many organizations still relegate monitoring & observability as the purview of ops, infra and SRE teams. This is a mistake - achieving a highly observable system requires collaboration up and down the stack.
I, a former op, would like to extend an invitation to all application developers to join the observability party will share these foundational concepts to build on:
Recognizing that climate-related financial reporting is still evolving, the Task Force’s recommendations provide a foundation to improve investors’ and others’ ability to appropriately assess and price climate-related risk and opportunities. The Task Force’s recommendations aim to be ambitious, but also practical for near-term adoption. The Task Force expects to advance the quality of mainstream financial disclosures related to the potential effects of climate change on organizations today and in the future and to increase investor engagement with boards and senior management on climate-related issues.
Improving the quality of climate-related financial disclosures begins with organizations’ willingness to adopt the Task Force’s recommendations. Organizations already reporting climaterelated information under other frameworks may be able to disclose under this framework immediately and are strongly encouraged to do so. Those organizations in early stages of evaluating the impact of climate change on their businesses and strategies can begin by disclosing climate-related issues as they relate to governance, strategy, and risk management practices. The Task Force recognizes the challenges associated with measuring the impact of climate change, but believes that by moving climate-related issues into mainstream annual financial filings, practices and techniques will evolve more rapidly. Improved practices and techniques, including data analytics, should further improve the quality of climate-related financial disclosures and, ultimately, support more appropriate pricing of risks and allocation of capital in the global economy.
Interesting and concerning to see a leading company involved in the supply chain of one of the least efficient sources of fossil fuels listed as a climate leader. Does (or should this) signal a concern for those relying on CDP data and rankings for thier investment decisions?
Climate risk disclosure: What are the financial and asset impacts of physical...Briony Turner
This presentation was given as part of Futurebuild 2020 | 4 March | Session: How do we achieve '100% net zero carbon'? You will need to download it to use the hyperlinks.
Find out more about the recommendations arising from my PhD in this LinkedIn post: Stepping out -recommendations for mainstreaming climate change adaptation of England's social housing stock: https://www.linkedin.com/pulse/stepping-out-recommendations-mainstreaming-climate-change-turner/
The Transition Pathway Initiative (TPI) is a
global initiative led by asset owners and supported
by asset managers, established in January 2017.
Aimed at investors, it assesses companies’ progress
on the transition to a low-carbon economy,
supporting efforts to address climate change. Over
67 investors globally have already pledged support
for the TPI; jointly they represent nearly US$19 trillion
combined Assets Under Management and Advice.
Using companies’ publicly disclosed data, TPI:
• Assesses the quality of companies’
management of their carbon emissions
and of risks and opportunities related to
the low-carbon transition, in line with the
recommendations of the Task Force on
Climate-related Financial Disclosures (TCFD).
• Assesses how companies’ planned or
expected future Carbon Performance
compares with international targets and
national pledges made as part of the 2015
Paris Agreement on climate change.
• Publishes the results via an open-access online
tool: www.transitionpathwayinitiative.org.
TPI strategic relationships
The Grantham Research Institute on Climate
Change and the Environment at the London School
of Economics and Political Science (LSE) is TPI’s
academic partner. It has developed the assessment
framework, provides company assessments, and
hosts the online tool. FTSE Russell is TPI’s data
partner. FTSE Russell is a leading global provider
of benchmarking, analytics solutions and indices.
The Principles for Responsible Investment (PRI)
provides a secretariat to TPI. PRI is an international
network of investors implementing the six Principles
for Responsible Investment.
Too often, climate change is thought about as a challenge for future
generations. But as records continue to be broken, it is increasingly clear
that the effects of climate change are being felt today.
There is no doubt that the Paris Agreement was a major milestone in
establishing the framework for tackling climate change, by setting the global
goal of limiting global warming to less than 2°C and moving to a net zero
emissions economy by the second half of the century. But we should not
lose sight of the fact that 2°C warming still involves substantial change for
our infrastructure, our economy and our communities.
For investors, this means that the physical risk dimensions of climate
change must be part of the risk assessment process, and that increasing
investment into adaptation to ameliorate the effects of climate
must accelerate.
Given that climate change has been such a dominant topic in public debate
for a number of years now, it is perhaps surprising that relatively little work
has focused on the practical aspects of adaptation, particularly on how to
finance it. Where this work has taken place, it is predominantly focused on
public finance, while the hard yards of increasing private sector investment
into adaptation is only now beginning.
This report looks explicitly at how to increase investment into adaptation.
Developed through a multi-stakeholder climate adaptation finance
consultation process, it aims to identify real world investment barriers and
recommend potential solutions, with the goal of enabling the finance sector
to access adaptation investment opportunities. It also sets out a pathway
ahead with specific recommendations that IGCC will be taking forward.
Comments of participants in this process are included throughout the report.
Throughout this guide, we have sought to identify practical examples
of investment models currently being applied or with the potential to
be adopted to meet the challenges to adaptation investment identified
through this consultation process. By looking at what works today, we are
better able to identify solutions for scaling up investment.
Recognizing that climate-related financial reporting is still at an early stage, the Task
Force’s recommendations provide a foundation to improve investors’ and others’ ability
to appropriately assess and price climate-related risk and opportunities. The Task Force’s
recommendations aim to be ambitious, but also practical for near-term adoption. The Task
Force expects to advance the quality of mainstream financial disclosures related to the
potential effects of climate change on organizations today and in the future and to increase
investor engagement with boards and senior management on climate-related issues.
Improving the quality of climate-related financial disclosures begins with organizations’
willingness to adopt the Task Force’s recommendations. Organizations already reporting
climate-related information under other frameworks may be able to disclose under this
framework immediately and are strongly encouraged to do so. Those organizations in early
stages of evaluating the impact of climate change on their businesses and strategies can
begin by disclosing climate-related issues as they relate to governance, strategy, and risk
management practices. The Task Force recognizes the challenges associated with measuring
the impact of climate change on an organization or an asset, but believes by moving climaterelated
issues into mainstream financial filings, practices and techniques will evolve more
rapidly. Improved practices and techniques, including data analytics, should further improve
the quality of climate-related financial disclosures and, ultimately, support more appropriate
pricing of risks and allocation of capital in the global economy.
Driving Transformative Change: The Role of the Private SectorSustainable Brands
The risks and opportunities involved in addressing climate change are becoming better understood in cabinet and board meetings around the world. Businesses will need to consider whether they want to be disrupted and left behind, or be the disruptors who take proactive actions to grow into the change and benefit from new opportunities. Investors will increasingly seek out those companies that are taking the latter approach.
Observability Concepts EVERY Developer Should Know -- DeveloperWeek Europe.pdfPaige Cruz
Monitoring and observability aren’t traditionally found in software curriculums and many of us cobble this knowledge together from whatever vendor or ecosystem we were first introduced to and whatever is a part of your current company’s observability stack.
While the dev and ops silo continues to crumble….many organizations still relegate monitoring & observability as the purview of ops, infra and SRE teams. This is a mistake - achieving a highly observable system requires collaboration up and down the stack.
I, a former op, would like to extend an invitation to all application developers to join the observability party will share these foundational concepts to build on:
Removing Uninteresting Bytes in Software FuzzingAftab Hussain
Imagine a world where software fuzzing, the process of mutating bytes in test seeds to uncover hidden and erroneous program behaviors, becomes faster and more effective. A lot depends on the initial seeds, which can significantly dictate the trajectory of a fuzzing campaign, particularly in terms of how long it takes to uncover interesting behaviour in your code. We introduce DIAR, a technique designed to speedup fuzzing campaigns by pinpointing and eliminating those uninteresting bytes in the seeds. Picture this: instead of wasting valuable resources on meaningless mutations in large, bloated seeds, DIAR removes the unnecessary bytes, streamlining the entire process.
In this work, we equipped AFL, a popular fuzzer, with DIAR and examined two critical Linux libraries -- Libxml's xmllint, a tool for parsing xml documents, and Binutil's readelf, an essential debugging and security analysis command-line tool used to display detailed information about ELF (Executable and Linkable Format). Our preliminary results show that AFL+DIAR does not only discover new paths more quickly but also achieves higher coverage overall. This work thus showcases how starting with lean and optimized seeds can lead to faster, more comprehensive fuzzing campaigns -- and DIAR helps you find such seeds.
- These are slides of the talk given at IEEE International Conference on Software Testing Verification and Validation Workshop, ICSTW 2022.
Generative AI Deep Dive: Advancing from Proof of Concept to ProductionAggregage
Join Maher Hanafi, VP of Engineering at Betterworks, in this new session where he'll share a practical framework to transform Gen AI prototypes into impactful products! He'll delve into the complexities of data collection and management, model selection and optimization, and ensuring security, scalability, and responsible use.
Communications Mining Series - Zero to Hero - Session 1DianaGray10
This session provides introduction to UiPath Communication Mining, importance and platform overview. You will acquire a good understand of the phases in Communication Mining as we go over the platform with you. Topics covered:
• Communication Mining Overview
• Why is it important?
• How can it help today’s business and the benefits
• Phases in Communication Mining
• Demo on Platform overview
• Q/A
GridMate - End to end testing is a critical piece to ensure quality and avoid...ThomasParaiso2
End to end testing is a critical piece to ensure quality and avoid regressions. In this session, we share our journey building an E2E testing pipeline for GridMate components (LWC and Aura) using Cypress, JSForce, FakerJS…
Encryption in Microsoft 365 - ExpertsLive Netherlands 2024Albert Hoitingh
In this session I delve into the encryption technology used in Microsoft 365 and Microsoft Purview. Including the concepts of Customer Key and Double Key Encryption.
UiPath Test Automation using UiPath Test Suite series, part 4DianaGray10
Welcome to UiPath Test Automation using UiPath Test Suite series part 4. In this session, we will cover Test Manager overview along with SAP heatmap.
The UiPath Test Manager overview with SAP heatmap webinar offers a concise yet comprehensive exploration of the role of a Test Manager within SAP environments, coupled with the utilization of heatmaps for effective testing strategies.
Participants will gain insights into the responsibilities, challenges, and best practices associated with test management in SAP projects. Additionally, the webinar delves into the significance of heatmaps as a visual aid for identifying testing priorities, areas of risk, and resource allocation within SAP landscapes. Through this session, attendees can expect to enhance their understanding of test management principles while learning practical approaches to optimize testing processes in SAP environments using heatmap visualization techniques
What will you get from this session?
1. Insights into SAP testing best practices
2. Heatmap utilization for testing
3. Optimization of testing processes
4. Demo
Topics covered:
Execution from the test manager
Orchestrator execution result
Defect reporting
SAP heatmap example with demo
Speaker:
Deepak Rai, Automation Practice Lead, Boundaryless Group and UiPath MVP
A tale of scale & speed: How the US Navy is enabling software delivery from l...sonjaschweigert1
Rapid and secure feature delivery is a goal across every application team and every branch of the DoD. The Navy’s DevSecOps platform, Party Barge, has achieved:
- Reduction in onboarding time from 5 weeks to 1 day
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- Maintenance of superior security standards and inherent policy enforcement with Authorization to Operate (ATO)
Development teams can ship efficiently and ensure applications are cyber ready for Navy Authorizing Officials (AOs). In this webinar, Sigma Defense and Anchore will give attendees a look behind the scenes and demo secure pipeline automation and security artifacts that speed up application ATO and time to production.
We will cover:
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- How to streamline operations with automated policy checks on container images
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At WSTS 2024, Alon Stern explored the topic of parametric holdover and explained how recent research findings can be implemented in real-world PNT networks to achieve 100 nanoseconds of accuracy for up to 100 days.
Why You Should Replace Windows 11 with Nitrux Linux 3.5.0 for enhanced perfor...SOFTTECHHUB
The choice of an operating system plays a pivotal role in shaping our computing experience. For decades, Microsoft's Windows has dominated the market, offering a familiar and widely adopted platform for personal and professional use. However, as technological advancements continue to push the boundaries of innovation, alternative operating systems have emerged, challenging the status quo and offering users a fresh perspective on computing.
One such alternative that has garnered significant attention and acclaim is Nitrux Linux 3.5.0, a sleek, powerful, and user-friendly Linux distribution that promises to redefine the way we interact with our devices. With its focus on performance, security, and customization, Nitrux Linux presents a compelling case for those seeking to break free from the constraints of proprietary software and embrace the freedom and flexibility of open-source computing.
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Paper presented at SYNERGY workshop at AVI 2024, Genoa, Italy. 3rd June 2024
https://alandix.com/academic/papers/synergy2024-epistemic/
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1. N O V E M B E R 2 0 2 0
CLIMATE FINTECH
Financial technologies to drive decarbonization
and unlock $127+ trillion in economic benefit
2. ABOUT THIS REPORT
This report was compiled by CommerzVentures, an independent VC firm sponsored by Commerzbank
Group.
Our goal is to give an overview of the emerging ecosystem of financial technology startups facilitating
climate action (“Climate FinTech”). Given the existential threat posed by climate change, governments,
businesses and we as individual consumers must act urgently.
Achieving a rapid reduction of carbon emissions will be key, which is where Climate FinTechs can play a
crucial role. We aim to provide insights into the economic mechanisms they build on, as well as their
technologies and business models, allowing readers to assess the development of this space.
4. P A R T I
P A R T I I
DRIVERS OF
DECARBONIZATION
P A R T I I I
CARBON PRICING
P A R T V
CARBON
ACCOUNTABILITY
P A R T V I
INFLUENCING CONSUMER
CHOICES
P A R T V I I
OUTLOOK
CLIMATE
FINTECH
P A R T I V
CARBON OFFSETTING
THE RATIONALE
6. Decarbonization is rational, urgent,
and inevitable (1/2)
● Failure to prevent further climate change will lead to
unprecedented human hardship and economic damage
● To avoid the most dangerous impacts, the Paris Climate
Accord of 2015 sets out a framework for limiting global
warming to well below 2C
● To reach the Paris target, we can only emit an additional
400bn tons of CO2 in total1
(2020 emissions are projected at
35bn tons, implying only 11 more years of emissions at the
current pace)
● Meeting the Paris target would yield an economic benefit of
$127tn to $616tn within this century (in the form of avoided
damage)2
1 Intergovernmental Panel on Climate Change (IPCC)
2 Wei, Y., Han, R., Wang, C. et al. Self-preservation strategy for approaching global
warming targets in the post-Paris Agreement era. Nat Commun 11, 1624 (2020).
7. ● Emission reductions and programs to draw down carbon
from the atmosphere in line with the Paris target will require
investments of $18tn to $114tn1
● As the realities of climate change become ever more
apparent, it is inevitable that governments will enact policies
to mobilize these investments and build low-carbon
economies (“Inevitable Policy Response”)
● Decarbonizing the global economy will be very high on the
agenda of governments, corporations, and investors. It will
also need to be driven by individual consumers
● Climate FinTechs will provide solutions to support the
decarbonization agenda of all stakeholders and to channel
the required investments
Decarbonization is rational, urgent,
and inevitable (2/2)
1 Wei, Y., Han, R., Wang, C. et al. Self-preservation strategy for approaching global
warming targets in the post-Paris Agreement era. Nat Commun 11, 1624 (2020).
9. Decarbonization will be driven by four economic levers
$
Introduce a carbon price
covering all products, relative to
carbon-intensity. Cover both
domestic production and
imports (Border Carbon Tariff).
Direct carbon taxes and/ or
cap-and-trade schemes are
conceivable
CARBON PRICING
Channel funds into carbon
reduction and atmospheric
carbon drawdown projects
CARBON OFFSETTING Make companies’ climate
impact financially material, hold
jurisdictions accountable for
emission reductions, enforce
rigorous accounting and
reporting on climate impact
CARBON ACCOUNTABILITY
Financial and social incentives
for consumers to transition to a
low-carbon lifestyle
INFLUENCING CONSUMER
CHOICES
CARBON ANALYTICS
Real-time carbon analytics as
key enabling infrastructure
12. ● In most of today’s carbon pricing schemes, a cap is set on the
total level of certain greenhouse gases that can be emitted by
installations covered by the scheme. The cap is reduced over
time so that total emissions fall
● Within the cap, companies receive or buy emission allowances
(“credits”), which they can trade. The limit on the total number
of credits available ensures that they have a value. If a
company reduces its emissions, it can keep the spare carbon
credits to cover its future needs or sell them to another
company
● Major carbon credit schemes have been introduced in the EU,
several US states, South Korea, and New Zealand. Carbon
credits have been one of the best-performing commodities over
the last three years, and are a rapidly-emerging asset class
● Carbon pricing schemes are spawning ecosystems of related
products, services and enabling technologies (e.g. tokenization,
exchanges, custody and brokerage, investment data and
products)
CARBON
PRICING
13. Climate FinTechs linked to carbon pricing
CARBON PRICING
Terrapass provides carbon offsets and
renewable energy certificates to
homeowners and business customers.
Both can calculate their carbon footprint
online and buy certificates.
Spark Change provide investors direct
exposure to the value of physical carbon
allowances, through securities issued via its
platform. Carbon securities can be held as a
standalone investment or be integrated into
equity and fixed income products.
Source: Screenshot from sparkchange website
Source: Screenshot from Terrapass website
15. ● Governments, businesses and consumers offset their
emissions by paying for carbon reduction projects. In order to
reduce the carbon footprint effectively, offsetting is used in
addition to direct emission reductions
● In the compliance market, companies or governments buy
carbon offsets in order to comply with caps on the total amount
of carbon they are allowed to emit
● In the voluntary market, individuals, companies, or
governments purchase carbon offsets to mitigate their own
emissions from transportation, electricity use, and other
sources.
● In the future, large parts of the voluntary market may become
mandatory, ie. the price of certain products will need to include
offsets
● Both markets present opportunities for big data analytics,
regulatory technologies (RegTech), InsurTech, PSD2 “account
information services”, and Neo Banks
CARBON
OFFSETTING
16. Climate FinTechs enabling Carbon offsetting
CARBON OFFSETTING
Pachama, a carbon-offsetting ‘RegTech’
company, monitors projects using
high-resolution satellite imagery. Based on
LiDAR imaging and machine-learning
algorithms, Pachama is able to remotely
monitor forests and estimate their carbon
sequestration and biomass.
Source: Screenshot from Pachama website
Source: Screenshot from Greenly website
Greenly leverages real-time consumer
payment data to measure individual carbon
footprints. Consumers are shown how they
can reduce their footprint and are offered
offsets to compensate for the remaining
footprint.
18. ● Some of the largest global investors across the world (such as
BlackRock, the Japanese Government Pension Fund and
Norges Bank Investment Management) already consider
sustainability as central to their investment mandate
● Demand for investments in climate-transparent companies is
also driven by retail investors and regulation (e.g. MiFID II and
ESG criteria)
● As a consequence, more and more investors see Companies’
climate impact as financially material
● Technology can play an important role in enabling
climate-related disclosures and in making them auditable and
replicable
● Climate impact management & reporting software is another
key opportunity
CARBON
ACCOUNTABILITY
19. Climate FinTechs for carbon accountability
FINANCIAL ACCOUNTABILITY KlimaMetrix offers automated carbon
footprint analytics for companies, with a
special focus on industries that face
immediate regulatory pressure regarding
carbon emissions, such as shipping, airlines
and heavy industry.
ClimateView optimizes carbon abatement for
cities and regions, identifying a path that
maximizes carbon reduction while minimizing
impact on GDP. Its software enables
real-time tracking of a city’s climate transition,
and makes it accessible in a unified
dashboard (“Climate Board”).Source: Screenshot from ClimateView website
Source: Screenshot from KlimaMetrix website
21. ● Everyday consumer choices will be the biggest driver for
decarbonizing our economies
● Producing material goods consumes energy and leads to direct
carbon emissions, both from the production process and the
transportation of the finished goods
● If consumers were to shift their spending from carbon-intensive
material products to services and digital products, the effect
would be dramatic
● Governments will seek to influence consumer choices, creating
a huge opportunity for startups helping consumers to adopt a
low-carbon lifestyle
● Real-time payment data is a starting point for consumer carbon
footprint analytics and for financial products with in-built
incentives to lower carbon footprint
● Climate FinTechs are uniquely positioned to combine financial
incentives with insights from behavioral science
INFLUENCING
CONSUMER CHOICES
22. Climate FinTechs influencing consumer choices
INFLUENCE CONSUMER CHOICES
Source: Screenshot from By Miles website
Doconomy provides a global standard for
consumer carbon footprinting. It powers
banking & payment card products and
loyalty schemes, incentivizing a low-carbon
lifestyle.
By Miles (CommerzVentures portfolio) offers
“pay by the mile” car insurance. Customers
save money by driving less. Owners of
electric vehicles typically drive less than
owners of internal combustion engine (ICE)
cars, thus By Miles also offers policies
especially tailored to electric vehicles.
Source: Screenshot from Doconomy website
24. The key to decarbonizing our economies will be an
adequately high and universally applied price for
carbon.
It will provide the financial incentives to businesses and
consumers for lowering their footprint and to raise the
funds needed for investments in low-carbon
technologies and carbon removal.
As of today, carbon pricing covers only c. 20% of
global emissions. There are hopeful signs that this
share will increase substantially, and that the price
itself will become more meaningful (ie. $100+ per ton).
Climate FinTech will be in a unique position to
create deep economic and social value.
Overall, the Climate FinTech space overall is still at a
relatively early stage. But it has extraordinary
momentum, and the rationale for further
acceleration is very clear.
25. “The fiercest carbon fighters will
build the most valuable businesses”
Our credo at CommerzVentures
On a Friday morning in August 2018, a then 15-year-old
Swedish girl called Greta made a placard with the inscription
“Skolstrejk för Klimatet” (“School Strike for Climate”) and sat
down outside her school.
Back then, who could have guessed that Greta would within
a matter of months spark the global “Fridays for Future”
movement, and inspire millions of people to walk out of
schools and workplaces in protest?
Awareness of the pressing need for climate action is rapidly
becoming mainstream: People are demanding answers from
their political and business leaders.
FinTech founders with the genuine desire to help solve this
crisis, applying their expertise and entrepreneurial energy, will
be on the right side of history. The stakes have never been
higher. And neither have the number of opportunities.
26. Lorenz Hering
Paul Morgenthaler
CONTACT
If you are building a FinTech or InsurTech company helping to
decarbonize our economies, we at CommerzVentures
would be happy to hear from you.