Finance Sector Alignment with International Climate Goals

The Greenwin project is a major international transdisciplinary research collaboration applying a solution-oriented approach targeted at increasing the understanding of links between climate action and sustainability and overcoming implementation barriers through win-win strategies.

 The project critically assesses where and under which conditions win-win and, in particular, green growth strategies work in practice and where fundamental trade-offs must be faced. The project team is focusing on four critical barriers that have been identified by practitioners and policymakers. These include:

  • Develop transformative narratives highlighting opportunities in climate and sustainability action in order to contribute to overcoming cognitive barriers and empowering people.
  • Examine climate and sustainability finance policies and governance arrangements in order to contribute to overcoming financial barriers to mitigation and adaptation.
  • Substantiate the economics of green growth in order to contribute to overcoming economic and collective action barriers to decarbonisation. Towards this end we introduce major innovations into the GEM-E3 computable general equilibrium model required to discover green growth strategies. These include developing a network based model of technological diffusion and introducing financial market constraints and adaptive expectations of agents.
  • Contribute to overcoming economic and institutional barriers through identifying win-win strategies, sustainable business models and enabling environments in three action fields of coastal zone flood risk management, urban transformations and energy poverty eradication and resilience. All these activities are embedded within a sustained international dialogue involving stakeholders from policy, research, civil society and the private sector, and an open knowledge management and capacity building strategy to promote knowledge transfer and learning beyond the project lifespan.

2DII today announced it is transferring stewardship of the Paris Agreement Capital Transition Assessment (PACTA) to RMI, formerly Rocky Mountain Institute. PACTA measures financial portfolios' alignment with various climate scenarios, including those consistent with the Paris Agreement. Under RMI’s stewardship, PACTA will remain a free, independent, open-source methodology and tool, and will continue to provide the financial and supervisory community with forward-looking, science-based scenario analysis to help users make climate-aligned financing decisions. RMI will invest in scaling up PACTA’s usability and applicability in day-to-day investment decisions as well as reporting requirements.

Access the full press release here: the coming weeks, we will update this website with additional information. For now, please note that all contact information remains unchanged.