Overview
Greenbackers Investment Capital continues to grow as a business – supporting new, clean technologies and providing them with an eco system of support. In the same way in which The Sustainable Blue Economy Finance Principles (“the Principles”) continues to influence the growing global community congregating around the Blue Economy, Greenbackers support for the Principles is as strong as ever since its implementation 3 years ago.
Developed by the European Commission, WWF, the World Resources Institute (WRI) and the European Investment Bank (EIB) and hosted by UNEP FI as part of the Sustainable Blue Economy Finance Initiative. The Principles were launched in 2018 and are the world’s first global guiding framework for banks, insurers and investors to finance a sustainable blue economy. They set out ocean-specific standards, allowing the financial industry to mainstream sustainability of ocean-based sectors.
Why are the Principles so Important to Greenbackers?
We are on a mission encapsulated by our strapline – Backing the planet with investment and technology…one deal at a time.
The Ocean constitutes a huge part of the planet and the industries, businesses and people that depend upon it are a huge part of the world’s economy.
Major industries worldwide both depend upon and impact ocean health. Greenbackers considers these sectors ‘ocean-linked’ and they collectively contribute to a ‘blue economy’.
These ocean-linked sectors include (among others) shipping, seafood, marine renewable energy, port construction, coastal tourism, coastal infrastructure, and the consumption and production of solid waste material such as plastic.
With an annual economic value estimated at USD$2.5 trillion, ocean -linked sectors, or the ‘blue economy’ is equivalent to that of France, the world’s 7th largest economy.
Financial Institutions provide the financing, investment and insurance required to power ocean-linked sectors, which are increasingly attracting investors, insurers, banks, and policymakers as a new source of opportunity, resources, and prosperity.
That is why over 70 Institutions representing USD 11 trn in total asset have now joined the Sustainable Blue Economy Finance Initiative as Members or Signatories to the Principles. Greenbackers is proud to have been amongst the first to sign up.
Since Greenbackers Second Report in 2023, we have noted some “rowing back” from climate-based commitments in the recent past from some Governments. That is to us disappointing. We do, however, see continued and indeed growing commitment to the climate fight from industries and business sectors. Our view is that these industries and sectors committed some time ago to go on a carbon reduction journey and are remaining on it in spite of political vacillation. Greenbackers own business activities cover clean technologies across multiple climate related sectors – not only the Blue Economy. We are though, seeing an increasing number of viable, sustainable blue economy businesses as part of our rolling cohort of investible companies. Each one of these has the potential to contribute materially to carbon reduction target and to delivery of the UN Sustainable Development Goals. These businesses are across aquaculture, ocean energy, anchoring, seaweed, algae, sustainable shipping solutions, just to name a few. We also note consolidation in some sectors which will encourage new investment as the number of companies in a particular sector reduces and technologies, expertise, patent families and order books all converge, making larger businesses.
In addition, we are seeing the first steps towards co-located ocean energy generation with offshore wind looking at other generation technologies like floating solar, wave and tidal to deliver additional generation using existing infrastructure. This is important to ensure the sustainable use of the ocean resource.
Greenbackers continues to use the Sustainable Blue Economy Finance Principles as a part of our communications with our global network of climate focused investors. This network, comprising an audience of funds and go-to-market partners in the blue economy supply chain, is growing. Indeed it is essential that it does grow as we seek to catalyse the investment needed to build a more sustainable society.
Greenbackers is Backing the Planet – One Deal at a Time
Current implementation of the Principles
Greenbackers partners Robert Hokin (UK), Mark Hannigan (US) and Andrew Smith (UK) continue to be involved in pursuing solutions that can help deliver a sustainable Blue Economy. Greenbackers were amongst the first signatories to the Principles, and continue to be active members of Ocean Energy Europe, the World Ocean Council, the Society of Underwater Technologies, Scottish Renewables and the National Hydropower Association in the US. Andrew Smith was elected by members to continue on the Board of the UK Marine Energy Council, is an assessor for the Solar Impulse Foundation’s 1000 Solutions program and a Global Scot.
Over the past twelve months, Greenbackers has continued its work in the implementation of the Principles. One way in which we do this is by advocating for the sector at key, subject specific conferences. These included:
The Energy Industry Council‘s conferences on Wave and Tidal Energy – From Waves to Watts – where Greenbackers chaired the conference, assisted in pulling in speakers and drew out relevant themes and lines of thinking.
The De Carbonisation of the North Sea. A two-day conference exploring the North Sea’s journey, taking a closer look at a range of measures to reach set decarbonisation goals, including the development offshore wind, electrifying the oil and gas sector, promoting CCUS, new innovations, and investing in new low-carbon technologies
The Oceanovation Festival in June in The Hague. That festival – in its second year – had the theme of IGNITING SOLUTIONS FOR A SUSTAINABLE OCEAN Building on the resounding success of the 2023 edition, the OCEAONOVATION Festival stands as the heartbeat of transformative ideas, ground- breaking solutions, and collaborative spirit, globally celebrating the relentless pursuit of sustainable solutions for our Ocean.
Conclusion
Greenbackers is proud to have been one of the pioneering organisations who were the founding signatories of the Sustainable Blue Economy Finance Principles: Alimentos Ventures, Aloe Private Equity, Althelia Ecosphere, Bonafide Ltd., Boston Common Asset Management, Fishing Accelerator, Greenbackers Investment Capital, International Capital Market Association, Investas – Association Luxembourgeoise des Investisseurs Privés, Mermaid Investments, Ocean Assets Institute, Ocean Data Alliance, Pure Salmon, The Nature Conservancy, Rockefeller Asset Management, SeaAhead, SKY – Ocean Rescue Fund, 8F Asset Management. Greenbackers continues to feature the Principles in all that we do; by attendance at conferences, the launch of EU initiatives and, crucially, every day in the provision of our services here at Greenbackers Investment Capital.
NOTE: Greenbackers Investment Capital Limited, Company Number SC644035.Registered Address: 4 Royal Crescent, Glasgow, G3 7SL, United Kingdom. ICO – Registration Number ZA288862
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