Four months after the Sustainable Finance Observatory launch, on Climate Finance Day, the Scientific and Expert Committee released its first preliminary recommendations.
The release of this first report, available freely on the Observatory, confirms the transparency dynamic of the initiative and the role of the independent Committee ensuring the Observatory’s rigor and integrity.
Thanks to its members’ expertise, this preliminary report is focusing on coal and climate indicators. This report will be reinforced by a second part by the summer. It offers 16 recommendations while outligning 5 important principles that must follow the Observatory: transparency, legibility, consistency, reliability and relevance.
Regarding coal indicator:
Through this report, the Committee is to compensate the lack of a framework for the publication of coal-related sectorial policies. The aim is to accompany professional federations to harmonize coal-phase-out-related data they publish in order to prevent differentiated ambitions and strategies. These recommendations help thus elaborating a common base for shared commitments.
Regarding climate indicators:
Relying on the Declaration of the Paris Financial Centre of July, 2 2019, cornerstone of the Observatory, the Committee clarifies climate indicators. These indicators must answer to 3 significant challenges:
- the augmentation of support for companies and private individuals towars a low-carbon model;
- the augmentation of raising capitals in favor of a low-carbon transition;
- to keep on reducing the financing of harmful activities to the environment.
Over the next weeks, the Steering Committee of the Observatory will be reviewing the recommendantions for the next Observatory’s publication. The Steering Committee will answer to these recommendations by June.