Mr Åkerholm spoke at the Globe Forum conference's
keynote session in Stockholm on the topic "Market Initiatives and
Winning Policies".
Mr Åkerholm referred to emissions trading systems as
an example for introducing pricing mechanisms to cover environmental
externalities. Referring to the pan-European carbon trading system, he
acknowledged that it seems to be much easier to reach a consensus on
the system than to implement it. "A fundamental paradox in relation to
sustainability issues is that while on the one hand there is a growing
consensus that the long-term cost of non-action is likely to be very
high, there is on the other hand an unwillingness to take needed action
because of the short-term costs", he adds.
The financial sector's impact on the environment is
considerable, though mainly indirect through the projects it finances.
Financiers will have to take increasingly into account environmental
and sustainability criteria (not only conventional risk and return) as
a precondition for providing financing to a project. International
Financial Institutions, such as NIB, can spearhead such a development
as they are publicly owned institutions driven by mandate rather than
profit.
One example of such activity was setting up a
European post-2012 carbon credit fund. The recently launched fund will
support environmentally beneficial projects via the acquisition of
carbon credits generated in the period starting in 2013, that is, after
the Kyoto Protocol commitment period and the second phase of the
European Trading System. The initiative to set up the Fund was taken by
the European Investment Bank and alongside NIB, also Caisse des Dépôts,
Instituto de Crédito Oficial and Kreditanstalt für Wiederaufbau are
participating.
"For NIB and its member countries in the North,
climate change mitigation and adaptation are key priorities. Alongside
other initiatives, the participation in the European Post-2012 Carbon
Fund is a way for NIB to address these challenges proactively,"
Åkerholm says.
NIB is an International Financial
Institution owned by eight member countries: Denmark, Estonia, Finland,
Iceland, Latvia, Lithuania, Norway and Sweden. The Bank provides
long-term loans on market terms to private and public projects that
strengthen competitiveness and enhance the environment. The
environmental loans in 2007 amounted to EUR 368 million. NIB has the
highest possible credit rating and acquires the funds for its lending
by borrowing on the international capital markets. The Bank has some
160 employees and total assets amounting to 20 billion euros. NIB's
headquarters are located in Helsinki, Finland.
For further information, please call:
Mr Johnny Åkerholm, President and CEO, at +358 10 618 001
Mr Jukka Ahonen, Director, Head of Communications, at +358 10 618 0295
Mr Johnny Åkerholm, President and CEO, at +358 10 618 001
Mr Jukka Ahonen, Director, Head of Communications, at +358 10 618 0295