In this Week’s Issue: $32.8 billion across 22 deals in Transition Finance, NbS ($937.6 million), Hard-to-Abate industries ($10.5 million), and the Blue Economy ($578.4 million).
The United Arab Emirates has pledged $40 million through its Erth Zayed Philanthropies to support environmental programs in Brazil, focusing on sustainable livelihoods for Amazon Indigenous communities and combating plastic pollution. The funds come as the UAE and Brazil collaborate as part of the Climate Troika built by the hosts of COP 28, 29, and 30 to support Paris Agreement implementation.
The National Fish and Wildlife Foundation (NFWF) announced $14.7 million in grants to support regenerative agriculture practices on farms and ranches across 21 U.S. states. The funding, which will leverage $7 million in matching contributions, will promote voluntary conservation practices that improve soil health, water quality, and wildlife habitat. The initiative is backed by a collaboration of public and private partners, including USDA, EPA, and several major corporations. The grants will fund technical assistance for over 700,000 acres and help develop more than 3,000 management plans for sustainable agricultural practices.
BNDES approved BRL$1 billion ($164 million) in financing for Raízen to construct a second-generation ethanol (E2G) plant in Andradina, São Paulo, which will use sugarcane waste to produce up to 82 million liters of biofuel annually. The investment will finance 70% of the project, with Raizen expecting a total investment of BRL1.4 billion ($231 million). The investment is expected to support Brazil's goal of boosting overall national capacity for next-generation biofuel production.
The U.S. Department of the Interior has announced the investment of over $41 million from President Biden's Bipartisan Infrastructure Law for 21 water resource projects across 11 states to enhance drought resilience, ecosystem health, and community sustainability. The funding, part of the WaterSMART program, will support conservation, habitat restoration, and infrastructure improvements while advancing nature-based solutions. This investment builds on $51 million allocated in 2023. It is part of an $8.3 billion, five-year commitment to climate resilience and water infrastructure under the Biden administration's Investing in America agenda and Justice40 Initiative.
The UK Government has pledged £7.2 million ($8.78 million) to the International Nature Positive Economy Programme to help developing countries integrate nature-focused decision-making into their economies. The initiative, announced at CBD COP15, aims to enhance private sector readiness for nature-related financial disclosures, support governments in managing nature-related risks, and develop financial plans to protect ecosystems. Delivered in partnership with UNDP's BioFin and FSD Africa, the program seeks to promote sustainable growth and biodiversity preservation in vulnerable regions.
Chile has received its first $5.1 million payment under the Emission Reductions Payment Agreement (ERPA) with the Forest Carbon Partnership Facility to reduce 1.03 million tons of carbon emissions from deforestation and forest degradation. The program covers six regions and addresses wildfire, drought, and desertification risks while promoting sustainable forestry and inclusive benefit-sharing for vulnerable communities. Backed by $60 million from the Green Climate Fund, the initiative strengthens conservation efforts and supports climate resilience.
Commercial Bank International (CBI) has invested an undisclosed amount in Boomitra, a carbon project developer and Earthshot Prize winner, to advance regenerative agriculture across the Middle East, Africa, and Asia. The investment will support Boomitra’s use of AI and satellite data to improve soil health, boost crop yields, and generate carbon credits for farmers. The partnership aligns with CBI's commitment to sustainability and aims to enhance climate resilience in farming communities while supporting the UAE's environmental goals.
France Valley has launched a €200 million ($204 million) carbon and biodiversity strategy targeting greenfield afforestation across Europe, including markets like the Baltic states, France, Germany, Ireland, Romania, and Scandinavia. The strategy, with a net IRR target of 10%, will be offered to institutional investors through separately managed accounts and a pooled fund, aiming for a first close of €50 million ($51 million) this year. It will have a 15-year term, with returns generated from the portfolio's eventual divestment and carbon credits produced during the period. The firm plans to raise funds over 12-24 months.
Timberland Investment Group (TIG), part of BTG Pactual, has raised $500 million for its Latin American reforestation fund, with reforestation efforts already underway in the Cerrado biome. The fund focuses on large-scale restoration and sustainable forestry in the region, and has already invested in 46,000 hectares across Mato Grosso do Sul, with goals of adding 10,000 hectares under restoration in 2025. The company has also sold 8 million tons of carbon credits to Microsoft, and 1.3 million to Meta.
DeepGreenX and Sente Ventures have announced a $25 billion framework agreement to establish a five-year green infrastructure investment program. This program will focus on clean energy solutions, virtual grids, battery storage, microreactor power, and data center technologies. It will leverage DeepGreenX’s AI-powered data financialization platform and Sente’s deep tech expertise to overcome capital constraints and enable scalable, profitable green energy projects globally. Initial funding includes two $5 billion funds targeting projects in the US, Europe, and Southeast Asia.
The Biden-Harris Administration has announced $1.35 billion in funding through FEMA for climate resilience, with $750 million allocated to the Building Resilient Infrastructure and Communities (BRIC) program and $600 million to the Flood Mitigation Assistance program. Funded under the Bipartisan Infrastructure Law, which invests $4.5 billion in resilience programs through 2026, these grants aim to help communities mitigate natural hazards, plan for climate risks, and implement resilience projects. FEMA emphasized the role of these programs in advancing state, tribal, and local efforts to address increasing extreme weather events.
The UK government has allocated £52 million ($63 million) in funding to 25 companies, including Heinz and Hanson Cement, as part of its Plan for Change scheme to support clean energy initiatives. Heinz will use £2.5 million ($3 million) to install heat pumps at its Wigan factory to reuse heat waste, while Hanson Cement received £5.6 million ($6.8 million) for its carbon capture project aimed at capturing up to 800,000 t/y of CO2 by 2029. The funding represents two-thirds of the £154 million ($187 million) investment required for these projects, aiming to advance industrial carbon reduction in the UK.
Energy Revolution Ventures (ERV) closed an $18 million seed and series A fund targeting scalable deep-tech solutions in energy storage, carbon capture, and renewable fuels, aiming to transform energy systems. Backed by family offices, high-net-worth individuals, and Morocco's OCP Group via Bidra Innovation Ventures, ERV has invested in nine companies, including Green Li-ion, Anthro, and Oort Energy, advancing breakthroughs in energy technologies.
Mizuho Securities, in partnership with Blue Sky Solar, has launched Japan’s first tokenized infrastructure private equity fund for renewable energy. The fund, supporting eight solar facilities with a total capacity of 9.5 MW (powering approximately 9,000 homes), uses private security tokens to reduce costs and ensure controlled asset management. Blue Sky Asset Management oversees assets, while the iBet for Fin tokenization platform by BOOSTRY facilitates the issuance.
White Summit Capital has raised over $360 million for an infrastructure fund targeting decarbonization, with expectations to hit its €500 million ($509 million) target soon. The fund will focus on smaller-scale renewable energy and storage projects, as well as initiatives aimed at decarbonizing transportation and industrial sectors.
Unless Ventures has raised $90.6 million for a climate-focused fund, targeting clean manufacturing, shipping, energy, and transportation. The firm has backed startups working on decarbonizing industries like aviation and enzyme production, including Vecna, Aether, and Xwing. The funding was secured over nearly three years from undisclosed investors.
Trucks Venture Capital (Trucks VC) launched its third fund, Trucks Venture Fund 3 (TVF3), with $70 million in commitments, its largest to date, aimed at decarbonizing, improving safety, and enhancing accessibility in transportation. The fund plans to make around 30 seed investments, ranging from $500,000 to $2 million, in startups focused on electric transport, EV charging, autonomous vehicles, sustainable aviation, and more. Trucks VC's mission is to support entrepreneurs shaping the future of transportation with a focus on cleaner and safer mobility solutions.
Canadian Natural Resources Ltd (CNRL) has allocated $90 million in its 2025 budget for carbon capture projects, focusing on engineering work for the Pathways Alliance initiative aimed at achieving net-zero emissions by 2050. Despite political uncertainty following Prime Minister Justin Trudeau's resignation and unresolved federal funding through the Canada Growth Fund, CNRL remains committed to advancing its carbon capture efforts, though it also has planned a 12% increase in oil and gas production.
Origin Energy has secured $415 million in financing, including $290 million in construction debt from Natixis CIB and $125 million in tax equity from Advantage Capital, to develop the Swift Air Solar project in Ector County, Texas. Set to begin operations in March 2025, the project will supply zero-emission solar power to Occidental's STRATOS Direct Air Capture (DAC) facility, which aims to remove 500,000 tons of CO2 annually. This investment is the third collaboration between Origis Energy and Natixis CIB.
Grenergy Renovables secured $324 million in financing from a consortium of banks, including BNP Paribas and Societe Generale, for Phase 4 of its Oasis de Atacama solar-plus-storage project in Chile. This phase, named Gabriela, will include 269 MW of solar capacity and 1.1 GWh of energy storage, bringing total project financing to $967 million. The seven-phase project spans northern Chile, with earlier phases already sold to ContourGlobal.
Constellation Energy Corp has announced a $29 billion debt and equity deal to acquire Calpine Corporation, to create the largest clean energy provider in the U.S., while also taking on board a substantial gas generation portfolio. The combined entity will have nearly 60 GW of capacity from diverse low- and zero-emission sources, including nuclear, geothermal, and solar, and will serve 2.5 million customers. The transaction involves $16.4 billion in equity and $12.7 billion in assumed debt.
HDBank has successfully issued VND3 trillion ($118 million) in green bonds, marking the first such issuance by a private bank in Vietnam. The bonds, compliant with ICMA and LMA standards, will finance eco-friendly projects under HDBank's "Sustainable Finance Framework," which received a "very good" rating from Moody's. Developed with IFC's support, the framework aligns with Vietnam's carbon neutrality goals. The green bonds were fully subscribed by institutional investors and have maturities of two, three, and five years.
Commerzbank AG has initiated a pre-stabilization phase for its upcoming issuance of non-preferred green senior notes, aimed at supporting market price stability post-launch. The notes, due to mature on January 14, 2032, will be offered in denominations of €100,000 ($102,000) and listed on the Frankfurt Stock Exchange. Commerzbank, alongside other managers, may engage in stabilization activities, including over-allotment, during a period of up to 30 days after issuance.
Bpifrance has raised €1.5 billion ($1.53 billion) from its first social bond of 2025, tightening pricing to 19bps above the benchmark French sovereign bond with a coupon of 2.75%. The four-year bond attracted €3.1 billion ($3.16 billion) in orders, supporting Bpifrance’s €4 billion ($4.08 billion) sustainable bond issuance plan for 2025. Proceeds will primarily fund loans to micro-, small---, and medium-sized enterprises (MSMEs) in disadvantaged areas, natural disaster-affected businesses, innovation projects, and social economy initiatives.
The World Bank has launched its 2025 funding program with an AUD1.75 billion ($1.088 billion) AUD-denominated bond, offering a 4.35% annual rate at +42 basis points over the Australian government bond. The bond saw strong demand with AUD3.1 billion ($1.92 billion) in orders, and interest from Asian, Australian, and American investors.
Low Carbon has entered into a 10-year Power Purchase Agreement (PPA) with carbon removal project developer Deep Sky (at an undisclosed amount) to power its Deep Sky Alpha facility with 100% solar energy. The PPA will provide 10 GWh of annual electricity from Low Carbon's Lethbridge 1 solar project in Canada, supporting the facility's deployment of multiple Direct Air Capture technologies. The renewable energy-powered facility, set to begin operations in Spring 2025, will focus on capturing CO2 for permanent underground storage.
Construction decarbonization startup Tangible raised $3 million to advance its platform, which measures and reduces embodied carbon in building materials and construction processes. Founded in 2021, Tangible helps developers mitigate environmental impact, meet sustainability demands, and improve material choices, addressing embodied carbon, which accounts for 11% of global emissions. The funding, co-led by Prologis Ventures and Pi Labs, highlights the growing industry focus on sustainable construction solutions.
CATL and Anhui Conch Group have signed a strategic cooperation agreement (at an undisclosed amount) to drive green transformation in the cement industry. The partnership will leverage CATL’s battery technology and Conch’s expertise in building materials to develop zero-carbon factories, smart mining solutions, and integrated energy systems. The collaboration also aims to electrify logistics and reduce carbon emissions in cement production, a sector responsible for 7% of global carbon emissions.
Vale has signed an MoU with GreenIron (at an undisclosed amount) to reduce emissions in the mining and metals supply chain through green hydrogen technology. The collaboration includes a feasibility study for a direct reduction facility in Brazil, using renewable energy and innovative methods, while Vale supplies iron ore to GreenIron’s operations in Sweden. The partnership also involves testing low-carbon iron ore briquettes and advancing GreenIron’s CO2-free, hydrogen-based metal recycling technology, which is expected to reduce emissions by 56,000 tonnes annually.
Karman Industries, a cleantech startup focused on decarbonizing industrial heat, raised $7.5 million in venture capital to advance its electric heat pump technology, Thermal01. The company’s solution aims to replace traditional gas boilers, reducing both onsite CO2 emissions and energy costs by 25-50%. Karman Industries, founded in 2024, has now raised a total of $11.5 million in funding, with investors including Riot Ventures, Space VC, Wonder Ventures, and 8090 Industries.
Construction decarbonization startup Tangible raised $3 million to advance its platform, which measures and reduces embodied carbon in building materials and construction processes. Founded in 2021, Tangible helps developers mitigate environmental impact, meet sustainability demands, and improve material choices, addressing embodied carbon, which accounts for 11% of global emissions. The funding, co-led by Prologis Ventures and Pi Labs, highlights the growing industry focus on sustainable construction solutions.
Beneficient has committed $1.36 million in primary capital to 8F Fund, LP, managed by 8F Asset Management, marking its first General Partner Primary transaction. The investment focuses on sustainable aquaculture and was funded through Resettable Convertible Preferred Stock, expected to enhance collateral for Beneficient's ExAlt loan portfolio. This deal is projected to increase tangible book value by approximately $450,000, supporting Beneficient’s strategy of providing innovative liquidity solutions for alternative asset holders and managers.
8F Asset Management has secured $460 million in funding to support the development of the Soul of Japan facility in Tsu City, Japan, and the expansion of Pure Salmon Technology. The capital will enable the construction and operation of these aquaculture projects, focusing on sustainable seafood production. The funding will drive progress in the industry, with the facilities aiming to improve efficiency and reduce environmental impact.
XOCEAN has secured a €115 million ($117 million) investment to accelerate the growth of its ocean data platform serving offshore energy and civil hydrography sectors. The funding, from a consortium including S2G Ventures, Climate Investment, Morgan Stanley's 1GT fund, and CC Industries, will support geographic expansion, product innovation, and meet the growing demand for high-quality ocean data. XOCEAN's fleet of low-carbon, uncrewed vessels offers efficient geophysical data solutions, contributing to the development of offshore wind and other ocean-related projects. The company has already supported over 48.6 GW of offshore wind and worked with major energy companies like Ørsted and Shell.
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The Biden-Harris administration has issued new Presidential Memoranda that permanently bans future oil and natural gas leasing across more than 625 million acres of U.S. coastal waters, including the Atlantic coast, Eastern Gulf of Mexico, Pacific Coast, and parts of Alaska's Northern Bering Sea, citing minimal fossil fuel potential and environmental risks as justification despite opposition from the incoming Trump administration.
China experienced significant climate and energy developments in 2024, with CO2 emissions stabilizing at 2023 levels and potentially peaking before 2030, driven by record-low coal usage in electricity generation and expanded renewable energy deployment, though the country faces challenges in balancing economic growth with decarbonization goals amid changing global climate politics and trade tensions with the US and EU.
The UK achieved its cleanest electricity generation ever in 2024, with fossil fuels accounting for only 29% of the power mix while renewables reached 45%, resulting in CO2 emissions per unit dropping by over two-thirds in a decade to 124g of CO2 per kWh, down from 419g in 2014.
The Platform on Sustainable Finance (PSF) has launched a consultation to update and simplify the EU Taxonomy, a classification system for sustainable economic activities, by proposing improvements to the Do No Significant Harm (DNSH) criteria and expanding the scope to include new activities like digital solutions and mining of specific metals, based on extensive stakeholder feedback emphasizing the need for better usability and broader activity coverage.
A new University of Bristol report reveals the growing global criminalization of climate protests through a systematic crackdown that includes new anti-protest legislation, increased court prosecutions, and intensified policing measures. The study, examining data across multiple countries, shows varying patterns of repression: Western nations like Canada, Australia, and the UK focus on high arrest rates (20-27%), while countries like Peru and Uganda show concerning levels of police violence. This worldwide trend of suppressing climate activism coincides with governments' continued inadequate response to climate change.
TA Securities projects that carbon capture technologies (CCTs) in Malaysia will draw over $10 billion in investments by 2030, aligned with the National Energy Transition Roadmap (NETR) goal of capturing 40–80 million tons of CO₂ annually. Past projects like the $1 billion Kasawari CCS initiative highlight the sector's investment scale, while Malaysia’s geological advantages and policy frameworks, including the New Industrial Master Plan (NIMP) 2030, support its ambition to become a regional CCS hub. Long-term benefits include emissions reductions, monetized carbon markets, and the oil and gas sector’s sustainability.
Morgan Stanley has exited the Net-Zero Banking Alliance (NZBA), joining Citigroup and Bank of America amidst growing political scrutiny of net-zero commitments in the U.S. from Republican politicians and allied groups. While the bank reaffirmed its 2030 emissions goals and support for transitioning high-carbon clients, Morgan Stanley’s exit highlights a shift towards independent strategies. This follows a broader trend of tension within the GFANZ-aligned group, with insurers and asset managers also withdrawing due to legal and operational pressures.
Isometric has launched its first carbon dioxide removal (CDR) protocol for the mining industry, establishing guidelines for using mine tailings and waste rock in ex-situ mineralization processes to permanently capture atmospheric CO2, with the protocol now open for public consultation.
JP Morgan has estimated that the wildfires currently threatening Los Angeles and its surrounding areas could result in insurance losses exceeding $20 billion, with costs potentially rising further if strong winds hinder firefighting efforts. The situation remains critical as authorities struggle to contain the blaze under challenging weather conditions. The fires have put extensive pressure on the state's FAIR program, which acts as an insurer of the last resort and may struggle to cover the extensive damage to property in the expensive LA area.
S&P Global Commodity Insights has found that $53 trillion of investment will be needed by 2050 to meet clean energy supply and transmission needs globally. The study found that $17 to $25 trillion will be needed in the Asia Pacific alone, with North America and Europe also named as key investment regions. The study also suggested that physical climate impacts could cost the world's 1,200 largest companies $25 trillion in excess expenditures, lost revenue, and damages, but that a successful energy transition would reduce risks.
New research reveals that flies, the world's second most important pollinators, can only tolerate temperatures 2.3°C lower than bees before losing motor function, making them particularly vulnerable to climate change impacts, with significant implications for both high-altitude ecosystems where flies dominate pollination and for specific crops like cacao that depend on fly pollination.
A new study evaluates the European Union's capacity to achieve the targets set by the Nature Restoration Law, which requires member states to implement restoration measures on 20% of the EU’s land and sea areas by 2030. The assessment examines current restoration practices, available resources, and potential challenges across the EU27 countries in meeting these legally binding targets for ecosystem recovery and biodiversity enhancement.
New research from Shanghai Jiao Tong University demonstrates that biochar-enriched soil not only stores carbon but also enhances CO2 sorption capacity, with experiments showing that mineral-rich biochar containing Mg and Ca elements significantly improves the soil's ability to absorb atmospheric CO2 through various chemical and physical mechanisms.
Following South America's worst fire season in 14 years with 511,575 outbreaks in 2024, experts warn of another potentially severe fire season in the Amazon in 2025, citing a delayed and weak rainy season, low river levels, and the increasing use of fire as a cheaper deforestation method, despite Brazil's recent 30% reduction in deforestation rates.
The Group on Earth Observations (GEO) has launched the Global Ecosystems Atlas, a comprehensive mapping tool that aims to address the fragmented nature of ecosystem data by creating the world's first harmonized database of all ecosystems by 2026, combining existing data with remote sensing and AI to map previously unmapped regions and help track progress on global biodiversity and restoration goals.
Preliminary data shows U.S. greenhouse gas emissions decreased by just 0.2% in 2024 while the economy grew 2.7%, putting emissions 20% below 2005 levels. It fell far short of the 7.6% annual reduction needed from 2025-2030 to meet Paris Agreement targets.
Capital for Climate, along with its partner, Nature4Climate, released a first-of-its-kind landscape analysis of the nature tech market. This report illuminates a burgeoning sector that will help protect, manage, and restore nature.Click here for the report!
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