The implementation plan that Arlington County expects to propose in June 2020 needs to include the creation of a green bank – a quasi-public entity established to facilitate private investment into local low-carbon, climate-resilient infrastructure.
"As part of Europe’s promise to become the first 'climate-neutral' continent by 2050, the region is emerging as a leader in creating standards for green investments. But the push to get its banks to back sustainable assets needs careful scrutiny."
Utilities like Duke Energy and Xcel Energy have issued billions in green bonds to fund renewables development. Green banks in New York, Connecticut and other states are backing investments in distributed resources and energy efficiency. It appears much more institutional money wants in on the green opportunity.
As an initial exploration, this paper seeks to examine the sectors in which the Climate Bank may invest and the types of projects which it could finance. Taken together, the Climate Bank’s investments could have significant impact towards economy-wide decarbonization.
"There won’t be a transition to clean energy without a way to finance what could be the largest infrastructure project ever undertaken. Green banks — purpose-built financial institutions that facilitate funding of clean-energy projects — aim to lead the way."
The National Climate Bank would provide financing to regional, state and local green banks and invest in projects that reduce carbon emissions. The bill would also provide technical assistance for the start-up of new green banks around the country.