PROVIDENCE – The Rhode Island Infrastructure Bank has taken the Green Bond Pledge, which asserts that when applicable, bonds financing long-term infrastructure and capital projects will address environmental impacts and climate change.
The pledge calls upon signatories such as municipalities and corporations to address environmental concerns when planning, designing and building or renovating infrastructure. The pledge is a joint initiative developed by international climate finance and environmental groups.
“As the state’s central hub for local infrastructure financing, we finance environmental projects and increasingly we are incorporating [environmental] resiliency into these projects, which already contain green elements,” said Jeffrey Diehl, CEO of Providence-based Rhode Island Infrastructure Bank.
“Since its inception almost 30 years ago,” Diehl added, “the bank has been an issuer of what are now regarded as green bonds. We are supportive of the efforts outlined in the Green Bond Pledge and look forward to continuing our pursuit of a more sustainable and resilient future for Rhode Island.”
The pledge is a declaration that reinforces the goals of the Paris climate agreement. Signed in 2016, the agreement by the United Nations Framework Convention on Climate Change seeks to reduce greenhouse gas emissions through mitigation, adaptation and finance.
With the stated goal to boost investment in “climate-friendly” development, the green bond market started in 2007 with initial bonds from the European Investment Bank and the World Bank. Developers of the Green Bond Pledge applauded the bank for officially supporting the cause.
“Embedding climate adaptation and resilience into new infrastructure projects at a state and municipal level has never been more critical,” said Sean Kidney, CEO of the Climate Bonds Initiative and co-convener of the pledge. “We congratulate Rhode Island Infrastructure Bank for committing to the Green Bond Pledge and expanding the space for discussion around matching climate action with finance directions at the subnational level.”
Scott Blake is a PBN staff writer. Email him at Blake@PBN.com.
