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Partnership was an underlying theme in every discussion last week on how to advance climate solutions and sustainable development goals. In his opening remarks, PRI CEO David Atkin emphasized one of the organization’s core principles: Cultivating collaboration among key stakeholders, including investor signatories, policymakers, and academics.

At the Sustainable Finance Policy Conference on October 8, the PRI introduced updates to its Policy Toolkit on sustainable finance policy reforms. The event, which convened policymakers, regulators, and investors, explored reforms that support sustainability goals while maintaining competitiveness and economic resilience. Discussions also focused on how to navigate political cycles to ensure long-term support for responsible investment initiatives.

Speakers from all regions – North America, Europe, Africa – advocated for a “whole of government” approach, emphasizing the need for comprehensive coordination across various government departments, agencies, and levels. Coordination ensures that all facets of policy, from environmental regulation to financial oversight, are aligned to address systemic challenges such as climate change. In resource-based economies, from Canada to South Africa, targets along the transition trajectory must include human rights; not just to address job joss, but also to crowd people into new industries.

Speakers in all regions also noted the need to work together in addressing what have become human rights trade-offs in the path to net-zero, primarily land acquisition for renewables. Speakers acknowledged that this remains a steep learning curve that must be solved through collaboration between the Global North and South alongside governments and the private sector.

Back on the ground following PRI, speakers from the electricity sector at the Smart Growth Symposium talked about the historic undertaking of doubling the electricity grid by 2050. They called for more strategic collaborations between universities, industry, and government with better linkages between ivory towers and the shop floor. 

The room took a moment to celebrate an initiative to emulate. The University of Toronto’s long-standing reputation as a global leader in AI research acted as a foundation for bringing together researchers, government entities, and private sector partners to create the Vector Institute for Artificial Intelligence in 2017. U of T’s expertise in AI, particularly through faculty members such as Nobel Prize winner Geoffrey Hinton, provided the academic credibility and leadership that helped position Toronto as a significant hub for AI innovation globally.

On the energy transition, the university recently announced funding to make its Grid Modernization and Testing Centre, a Climate Positive Energy initiative, a reality. Industry facing, this test centre will help address a market capacity gap related to technology testing and real time simulation of various grid models. 

The Global Climate Finance Accelerator is delighted to collaborate with Climate Positive Energy and Rotman School of Management on interdisciplinary research to investigate and deploy new financing strategies and tools to accelerate the energy transition.

The Global Climate Finance Accelerator convenes partnerships across business, finance, and government on strategies, policies, procedures, and tools to finance the deployment of technically viable climate solutions.

On October 9, 2024, the Government of Canada announced the advancement of the “Made-in-Canada Sustainable Investment Guidelines,” which included provisions for categorizing investments based on their contribution to the net-zero transition. It could take up to three years, however, to finalize discussions on incentives to support the development of green projects, hindering progress on incentive structures that are crucial for attracting investments into green infrastructure and projects.

The good news is that many organizations are (more quietly) soldiering on in the face of regulatory uncertainty and political backlash. As noted in an April 2024 issue of Time Magazine, BlackRock’s Larry Fink and JP Morgan’s Jamie Dimon “know that clean technologies are where the biggest growth opportunities remain.” 

Dimon is placing his bets: To directly impact the transition to a low-carbon economy and provide investment opportunities related to climate change, conservation and biodiversity, JPM Asset Management acquired Campbell Global, a forest management and timberland investing company. The acquisition gives the firm a strategic entry point into the global carbon markets, as well as investment opportunities in climate change, biodiversity, and conservation. To hedge carbon pricing risk, the firm built its own internal management strategy rather than relying on government backstops.

Interesting opportunities in the global middle market were also widely noted at PRI this year. These businesses, historically overlooked by large institutional investors, present unique investment opportunities due to their agility and potential for rapid adoption of sustainability-related technologies and initiatives. Sustainable investors can drive significant impact in the mid-market by funding companies that are ready to invest in climate-positive solutions but lack access to capital. The sector’s flexibility makes it an ideal testing ground for innovative financing mechanisms for the deployment of technically viable, but underutilized, climate solutions. 

Some of the best examples of Action came from the deep dive into the real economy at the Ontario Chamber of Commerce + Climate Positive Energy Smart Growth Symposium. Culminating with the wrap of PRI, the Symposium dug into the specific barriers companies face in decarbonizing their operations. Many of these obstacles aren’t financial. For Uber, it’s overcoming “car-based culture”, which they’re tackling through behavioural science research in Canadian and US cities. Green uber selections, which are pennies extra per person, create a significant incentive for drivers. For Purolator, it’s access to electricity to charge their e-bikes for last mile delivery in urban areas. Surprisingly, electricity access in the parking lots housing e-bike containers don’t all have access to power. In addition to advocating with utilities, Purolator is piloting alternative sources of on-site power generation.

The Symposium left this Call to Action with its attendees: “Prioritize trying things. Some will succeed, some will fail. Persevere through the hiccups.”

Check this space tomorrow for more of what we heard on the need for partnerships and collaborative action in solving these tough challenges.

The Global Climate Finance Accelerator convenes partnerships across business, finance, and government on strategies, policies, procedures, and tools to finance the deployment of technically viable climate solutions.

Although the future of capital markets will look vastly different from the past, many systems remain anchored in backward-looking frameworks. While ESG and sustainability continue to evolve, we understand which factors are material to investment decisions through the ISSB standards and regional taxonomies. The focus must now shift to addressing organizational barriers—societal constructs that hinder progress. How do we create the flexibility needed to overcome these obstacles and align capital with socially inclusive, net-zero goals? 

First, by leaning toward curiosity, not fear. There’s political theater at play, especially around anti-trust accusations and climate-cartel fears, but there’s little legal basis according to Faegre Drinker’s Tiffany R. Reeves. Most of it is noise that critics are using to stoke a different agenda. Fear-based decisions, however, can stifle progress. The net-zero transition is a massive disruption unlike anything we’ve ever seen. That does create risks, but also tremendous opportunities.

Second, by tackling legacy systems. PRI Chair Conor Kehoe provides the example of tracking an issuer’s stock price for 18 months after a change in capex allocation, essentially penalizing investments in the transition. It’s not just about diversifying asset classes and geographies, says CalSTRS’ Kirsty Jenkinson. It’s also about making lots of small bets so capital can find its winners because we can’t tell yet who the winners are going to be. To help enable these bets, regulatory bodies must create safe harbours so companies feel comfortable disclosing scenario analysis. Finally, positive lobbying (for climate and other sustainability-related outcomes) is still rare. Leaders who may genuinely want to advance climate solutions are expressing their views quietly says Climate and Nature Solutions CEO Catherine McKenna. This reticence makes it difficult for government to action their feedback compared to louder, more public views. We need an enabling policy environment to level the playing field.

Third, by framing the political rhetoric around ESG in the appropriate investment context. Pension funds have overwhelmingly long term time horizons; tune out the noise and stick to strategy. For example, Wellington Management’s Wendy Comwell believes the US Inflation Reduction Act, with its focus on job creation in waning industrial areas and tax credits that work for nuclear as much as they do for wind, is a difficult bill to repeal irrespective of election outcome.

Tune in tomorrow for more of what we heard in the Call to Action.

The Global Climate Finance Accelerator convenes partnerships across business, finance, and government on strategies, policies, procedures, and tools to finance the deployment of technically viable climate solutions.

I am very grateful to have had learning and growth opportunities embedded in many of my vacations. From a week-long marine science camp at Clearwater Marine Aquarium built into a family trip to Florida, to a language and culture immersive experience in Italy and France during our school spring break as part of a language certificate program, I’ve been able to use my vacation time not only for rest and relaxation but also for enrichment and personal development. I hope as I advance my studies and eventually join the workforce that I will always approach vacations as an extension of life rather than a break from it.

Travelling to new places offers one the chance to blend enjoyment and education. By approaching ocean-based activities with curiosity and a sense of responsibility, tourists can turn their vacations into experiences that deepen their connection to the ocean and inspire them to advocate for its protection.

This advocacy is urgent. Life on earth cannot be sustained without the ocean. The ocean cannot be sustained unless we allow it to thrive undisrupted. Disruption to the ocean may be caused by a wide variety of factors, though two of the most prevalent are tourism and lack of education, which often go hand in hand. Tourists treading on corals, littering, and poking at fearful creatures is too often the norm rather than the exception.

There are myriad activities that will deepen our understanding of the ocean’s impact on our lives and the importance of its conservation. Visit designated Marine Protected Areas to learn more about how these areas are governed – and why – so you can apply this knowledge on your own. Find snorkelling trips that are led by marine biologists or, at a minimum, certified sustainable excursions.

Many coastal destinations offer opportunities for tourists to contribute to scientific research through citizen science programs. Activities include recording data on marine species, participating in beach cleanups, and helping with coral restoration projects. Engaging with local coastal communities provides insights into how the ocean influences daily life, from food and livelihood to cultural practices. It also can highlight the interconnectedness of human and ocean health, as well as the challenges these communities face due to climate change and pollution.

Although my marine conservation experience included some hard work, it did not exempt us volunteers from having fun! While exploring iconic Mexican landmarks such as the Mayan ruins and cenotes, our group learned how tourism can be both eco-friendly and exhilarating. Being mindful of one’s own impact on the environment includes using reef-safe sunscreens, avoiding single-use plastics, respecting wildlife, and choosing tour operators that follow sustainable practices. 

My biggest take-away from this experience is that there are numerous strategies to sustain industry without sacrificing vital ecosystems or our own mental and physical health as the cost of progress. I, like many of my fellow students, aspire to a life where my work and vacation blend seamlessly, where I can be both productive and relaxed.

Check out our fun photos and videos on Instagram @globalclimfin.

Nicole Zavagno is going into her final year of high school in Toronto, after which she aspires to study marine biology at one of Canada’s coastal universities. She is a PADI open water certified diver and training to be a lifeguard. 

In my previous post, I highlighted the various threats to coral reefs, urging readers to educate themselves and others about the gravity of reef destruction. Worldwide, approximately 14% of coral has already been lost, which will only increase if we continue to do things as we always have. In the Mesoamerican Reef, located on the coasts of Mexico, Belize, Guatemala, and Honduras, 44% of the durable boulder coral population had perished as of 2022, ultimately leading to a decline in coastal protection and marine life populations. 

By 2019, 45% of the coral colonies in the national marine park of Puerto Morelos were dead or dying. Through GVI’s in-country partnership on coral restoration, I had the opportunity to visit a land-based coral-and-crab nursery in Puerto Morelos, where I learned about cloning and assisted fertilization. I was able to observe a multitude of developing corals, as well as several tanks farming young crabs that will eventually be nurtured onto the reef. 

Scientists are trying to restore these vital ecosystems by developing coral nurseries. Within these nurseries, corals are encouraged to grow and reproduce at more rapid rates than in the wild so that they can eventually be replanted on the existing reef. Nurseries can be either field-based, occurring in the ocean and accessible via diving, or land-based, occurring in above-ground laboratories. Both methods of farming coral have their pros and cons. While field-based nurseries are relatively cost-efficient, they are vulnerable to negative environmental changes. Land-based nurseries, on the other hand, are protected against harsh environmental conditions, but are also expensive and require more advanced technology to operate.

At the lab I learned that, unlike most animals, corals reach reproductive maturity depending on their size rather than their age, which is why a main objective of the nurseries is to allow the invertebrates to reach a larger size in a shorter increment of time. The more quickly we can grow corals, the easier it will be to form reproductive colonies to help support the reef. Corals can reproduce both asexually and sexually, though the farms typically have them undergoing a method of asexual reproduction known as fragmentation. In the wild, fragmentation occurs when a coral branch is broken off a colony, and, if conditions are favourable, manages to reattach itself and form a new colony. This process is altered in the nurseries to allow the corals to grow faster. Larger corals are cut up into smaller pieces, triggering a growth response that results in numerous coral fragments growing altogether, sometimes even fusing with one another.

You can learn more about ongoing efforts to improve the Mesoamerican coral reef and fish health through the Healthy Reefs Initiative (HRI) and about coral restoration in general at the Coral Restoration Foundation. 

I will share what I’m learning about responsible and sustainable tourism in my final post next week. Meanwhile, check out some of my photos and videos on Instagram @globaclimfin.

Nicole Zavagno is going into her final year of high school in Toronto, after which she aspires to study marine biology at one of Canada’s coastal universities. She is a PADI open water certified diver and training to be a lifeguard. 

Drawn to the ocean at a very early age, I spent my childhood passionately studying aquatic life, hoping one day to pursue a career in marine biology. Upon approaching my final year of high school, I decided I would greatly benefit from a taste of real experience in the field. I was incredibly honoured with the opportunity to spend two weeks in Puerto Morelos, Mexico as an inaugural member of the Global Climate Finance Accelerator’s Youth Accelerator Program.

I worked alongside a handful of other teenagers, where I completed my PADI Open Water Diver certification and ventured among the captivating world beneath the sea. Through the under-18 program with GVI, I served as a volunteer working to conserve the reef system bordering the region’s coast. We were taught how to properly monitor and identify the species of coral, fish, sea turtles, and other aquatic life inhabiting the environment. We even spent a night observing grown sea turtles coming onto the beach to lay their eggs, where eventually the hatchlings would emerge and make the dangerous—though obligatory—trek across the sand to reach the sea.

Following my first few underwater dives, I am brimming with a deeper understanding of how vital coral reefs are to the natural environment, as well as just how threatened the reef population is. In addition to providing habitation for a multitude of marine organisms and preventing coastal erosion (since the waves break farther from the shore), reefs are a common source of food and medicine for people across the globe. They also support local businesses based on diving and snorkelling. In Puerto Morelos, for example, the tourism and fishing industries are the top economic driver; as a result, reefs play a key role in allowing the economy to thrive.

There are a variety of human-driven factors endangering coral, including pollution, overfishing, and climate change, along with related diseases, tropical storms, and sedimentation. Coral typically thrives in water temperatures ranging from 20°C (68°F) to 29°C (84°F). Rapidly increasing sea temperatures, therefore, pose a significant threat to the reef system. In areas such as the Caribbean coast, where storms and hurricanes are a frequent occurrence, reefs are even more susceptible to damage. To illustrate, Hurricane Beryl hit Puerto Morelos hard a few weeks prior to my arrival, leading to an increase in broken coral and destroyed colonies. The aftermath of the storm was visible to me in my dives.

How can we get people living far away from the evidence of climate change to care about the impacts?  People inhabiting our earth need coral. We need coral. Whether it is a local dive instructor providing for their family, fishers supporting their small businesses, or a city-dwelling patient treating an inflammatory illness, these marine invertebrates are a necessary part of our global ecosystem. More resources are needed to increase awareness about the threat to global marine life, and to educate others on what that means. 

More to come next week on how we can help. Meanwhile, check out some of my photos and videos on Instagram @globaclimfin.

Nicole Zavagno is going into her final year of high school in Toronto, after which she aspires to study marine biology at one of Canada’s coastal universities. She got hooked on the subject after seeing “The Dolphin Tale” at four years old and has never wavered since. At age 10 she had the dream-come-true opportunity to spend a week observing and learning about dolphins at Clearwater Marine Aquarium in Florida. Nicole is a PADI open water certified diver and training to be a lifeguard. She is a former provincial-level gymnast and current coach with Toronto Gymnastics International.

Given the extreme vulnerability of coastal communities to rising sea levels, coral reef bleaching, and extreme weather events, solutions for protecting them were a key item on the agenda at Afreximbank’s annual meeting in The Bahamas.

In an interview with African Business following the AGM, I  highlighted a transformative opportunity to empower local communities most affected by climate change and biodiversity loss. These communities can play a crucial role in leading the necessary adaptation to survive. By providing them with scientific knowledge about climate change—its impacts and effective response strategies— coupled with the right technology, we enable them to become active participants in protecting their environment. This also ensures the long-term sustainability of their revenue-generating industries, particularly tourism, which is especially vital when owned by the local communities themselves.

The Cat Island Conservation Institute works in the Caribbean and Africa to build the capacity of local people to participate in a sustainable blue economy. These regions suffer from a lack of data about our oceans. The Institute’s capacity building helps individuals develop the skills needed to thrive in this new science-based ocean economy, including the training and technologies required for accurate data collection about climatic patterns. Many of these coastal communities in Africa and the Caribbean are oblivious to the power and potential within the ocean, which is their birthright. Training on the scientific principles that govern the oceans they call home must be delivered in a language and format they understand and honours local cultures and traditions. 

The Conservation Institute provides comprehensive training that allows local people to collect reliable data crucial for scientific research on climate change. This data helps us understand changes in shifting weather patterns, and biodiversity changes, specifically the health of our seagrasses, coral reefs, and fish populations. For example, we don’t have a clear picture of how rainfall patterns are changing in our communities. This lack of data makes it difficult to prepare for extreme weather events, be they devastating floods or prolonged droughts, that have become increasingly common, as we saw in Kenya recently. These extreme weather events are causing disasters and death, even though the communities they affect haven’t significantly contributed to the changing climate causing these events.

Strategic and well-funded knowledge transfer equips communities with the tools and resources to become custodians of technologies generating the data underpinning the carbon and biodiversity markets in the blue economy. These markets can unlock capital for climate mitigation and adaptation solutions, safeguarding our vital ecosystem services with the potential to transform the lives of local communities through economic empowerment. By empowering local communities to access these opportunities, we advance towards a socially inclusive financial architecture.

Access to capital, however, poses a significant barrier. 

Banks in the Global North view us as high risk. We must find ways to de-risk local populations to facilitate investment. When local ownership in businesses attracting foreign direct investment, such as tourism, becomes the norm, rather than the exception,  not only is the experience more powerful – since it’s grounded in the local culture – but income stays in the country, thereby transforming the local economy. 

A sustainable blue economy is one in which we have eliminated the barriers to participation in revenue-generating opportunities presented by the ocean.

Nikita Shiel-Rolle is the founder of Young Marine Explorers Bahamas (YME Bahamas)  and the Cat Island Conservation Institute, a Bahamian non-profit organisation dedicated to marine conservation. She has a Master’s degree in Biodiversity Wildlife and Ecosystem Health from the University of Edinburgh and a Bachelor’s degree in Marine Affairs & Policy from the Rosenstiel School of Marine and Atmospheric Science at the University of Miami.

The Global Climate Finance Accelerator’s recent research through Rotman’ School of Management’sAccelerating Climate Finance experiential learning program set out to identify market and policy barriers to advancing climate solutions. We found that policy and market solutions exist. It is an enabling culture that moves them forward. Designed well, bottom-up initiatives in cities and regions can be engines of innovation, driving our much-needed economy-wide sectoral transformations and economic growth.

For example: Since joining the  Western Climate Initiative with California in 2014, Quebec has cultivated a culture of energy transition and innovation with substantial investments in the battery value chain, incentives for electric vehicle adoption, and a plan to install new clean electricity capacity and recruit qualified workers.  

Most notable in New York last week was the result of Quebec’s efforts over nearly a decade to attract global investment in support of its goals. In a historic investment from the U.S. government, the province has successfully secured capital for its critical minerals sector and the development of a tech corridor between Quebec and the state of new York.

This strategic imperative links New York City and Montreal as cross-border collaborators in fostering an employment growth-oriented cleantech ecosystem. Neither city fell upon these opportunities by accident. Their success demonstrates the importance of vision and persistence.

New York City launched its plan to strengthen the economy, combat climate change, and enhance quality of life in 2007. Ignoring the threat, and eventual realization of federal administration changes, the Plan was updated in 2015 with a continued focus on sustainability, equity, resilience, and growth. Recognizing that divisiveness and negativity accompanying the pandemic were putting targeted transformation outcomes at risk, a consortium of corporate, investment and entrepreneurial firms launched the Partnership for New York City in 2023 to collaboratively build a narrative for every citizen – students, trades, professionals – to unlock the full economic potential of New York.

By harnessing culture’s potential to unify, inspire, narrate, and sustain, New York and Quebec illustrate how a deliberate, long-term strategy can create a more cohesive and proactive community, ready to face future challenges together.

For the rest of Canada, we must first reverse a culture in peril, exacerbated by today’s pernicious information sharing platforms with newsfeeds designed to continually reinforce specific, existing worldviews and rampant “burnout fuelled by increased work stress (in conjunction with) a perpetual feed of negative information…that can inflame the polarization of political discourse.”

Much of the news today is negative, with a seeming inability to agree on a national course of action, from fiscal policy to productivity to the looming imperative of a low carbon transition.

But there’s hope. Canadian cities have long attracted diverse talents and minds. There is no shortage of U.S. cities with which to create cross-border partnerships. Community-led efforts like the University of Toronto’sClimate Positive Energy and other regional initiatives create learning labs that can – and do – transcend borders to build networks in which people can explore, test, debate, and collaborate. Funding vehicles such as the Canada Growth Fund can co-invest with US funding partners to accelerate the deployment of identified technologies. Canada’s new Indigenous loan guarantee program can attract new investment for projects in Indigenous Nations and communities.

Regional and federal governments can amplify the effects of these and other initiatives by crafting and reinforcing a national vision underpinned by coordinated policy and action. A compelling, positive vision enables citizens to see beyond the intricate web of interdependent policy actions and understand how coordinated, on the ground efforts support broader environmental, societal, and economic goals. Garnering broad-based support will facilitate transformative change.

A key success factor in Canada is fostering collaboration between provinces and territories. The ability to do so hinges on maintaining a long-term commitment from societal actors beyond political cycles in the difficult negotiations and compromises to come.

In the words of New York’s Partnership CEO: “We have to fight for the things we love.”

​We love Canada.

Susan McGeachie is co-founder and managing partner at Global Climate Finance Accelerator, which convenes partnerships across business, finance, government, and academia on strategies, policies, procedures, and tools to finance climate solutions.