Green Bond Principles and Climate Bond Initiative

As we have reported in previous blogs, the amount of capital for clean energy financing raised by “Green Bonds” has been steadily rising. These bonds are being sold by governments and finance corporations. These investments that follow standards such as Green Bond Principles and Climate Bond Initiative ensure investors that money is financing projects that are a part of the solution to climate change.

More businesses and individuals are seeing the financial and social benefits of investing in a clean energy future. Studies show that most of us want to do something about climate change and we are willing to pay something if action is taken. And we want the companies that we purchase from to be responsible about climate change too.

One problem is that many of these bonds are unattainable to the average business or individual. Many of these opportunities are offered only to accredited investors, investors with a net worth of one million USD and an annual income of $200,000. Many of these bonds are sold in units that are unaffordable for small businesses and average citizens. How do the rest of us participate?

One solution is Carbon Xprint. CDs with a unit price that matches the cost of one ton of greenhouse gas would be offered to all businesses and individuals by a bank. With this pool of money, banks would purchase these green bonds. Then all of us would have an opportunity to take measurable action for our own carbon footprint and take meaningful steps in creating our piece of the climate change solution. We would all profit as a result.