1、Avoided emissions&Sustainable finance Accelerating decarbonization by aligning the efforts of business and finance 2Avoided Emissions&Sustainable FinanceContentsThe role of financial institutions in decarboni-zing the economy 06Avoided emissions use cases in sustainable finance asset classes 1001.05

2、.02.04.03.Preface 03Challenges of the avoided emissions concept 30Avoided emissions in regulatory and voluntary landscape 34In-depth case study:Calculating and reporting financed avoided emissions 253Avoided Emissions&Sustainable FinanceThank you to our Knowledge partners for their contributions to

3、this paper:Thank you to our Project partner for this paper:4Avoided Emissions&Sustainable FinancePrefaceSince the mid-1990s,frameworks like the Greenhouse Gas Protocol(GHG P),Carbon Disclosure Project(CDP),Global Reporting Initiative(GRI)and more recently Task Force on Climate-related Financial Disc

4、losures(TCFD)and Partnership for Carbon Accounting Financials(PCAF)have laid out the foundation for emissions measurement,disclosure and reduction by private market actors.These frameworks focus on the quantification of generated or financed emissions following an inventory accounting approach which

5、 in turn should lead to accountability and strategies to reduce these emissions.While reduction-led efforts play a critical role in countering the surging climate crisis,humanity is not on track to limit global warming to 1.5C above pre-industrial levels.In 2030,greenhouse gas(GHG)emissions must go

6、down 43%compared to 2019 levels to hit net-zero emissions by 2050.However,current emissions reduction commitments for 2030 are only at 7%.Furthermore,climate change and other grand societal challenges(biodiversity preservation,water security,health,and migration,to name just a few)are becoming incre