|
| |
| |
|
|
Printer Friendly Page
Climate Change
On May 8, 2007, Citi announced that it will direct $50 billion over the next 10 years to address global climate change through investments, financings and related activities to support the commercialization and growth of alternative energy and clean technology among the clients and markets it serves, as well as within its own businesses and operations.
The $50 billion target is a realistic estimate based on market-based activities and transactions with clients as well as energy saving, “green” projects within Citi’s own operations and includes nearly $10 billion in activities Citi has already undertaken to address climate change to date.
“With a presence in more than 100 countries, Citi holds a unique position within the global community. This informs our commitment to bring forward the best solutions for our clients, while also benefiting the people and the communities where we operate,” said Charles Prince, Chairman and CEO of Citi.
“As a global leader in financial services, we recognize our responsibility to confront climate change and the importance of identifying and helping implement new solutions for our clients and our businesses. We will continue to partner with environmental experts and clients as we address this issue,” Prince said.
Citi’s Markets & Banking group plans to invest in and finance over $31 billion in clean energy and alternative technology over the next ten years through the expansion of existing activities and the launch of new client services. Citi recently advised and financed the $2.15 billion acquisition of a major US wind portfolio by EDP - Energias de Portugal that plans to bring over 9,000 MW of new wind development projects to market. In April 2007, Citi Alternative Investments created a standalone investment center called Sustainable Development Investments (SDI). SDI builds on Citi’s Sustainable Development Investment Program with an expected ten-fold increase in its capital commitment to over $2 billion of private equity over the next ten years in renewable and alternative energy, clean technologies, energy efficiency, carbon credit markets, waste and water management and sustainable forestry.
In addition, on May 16, 2007, Citi announced that it is committing $1 billion to the Clinton Climate Initiative (CCI), a project of the Clinton Foundation, to implement the new Energy Efficiency Building Retrofit Program in partnership with large city governments. Citi will provide expertise and financing for the first generation of projects in CCI’s landmark program aimed at significantly reducing energy use in public and private buildings, which are responsible for between 50 percent of greenhouse gas emissions in most cities and over 70 percent in large cities, including New York.
Citi is further addressing the important issue of climate change by:
- Committing to reduce our carbon emissions by 10% from our 2005 level by 2011;
- Purchasing renewable energy for our operations;
- Reporting on CO2 emissions from power projects we finance; and
- Implementing business initiatives that include investment and product solutions.
Last year, Citi announced a goal to reduce our global emissions by 10% from our 2005 level by the year 2011. To further this effort, we have joined the U.S. Environmental Protection Agency (EPA) Climate Leaders Program, an industry-government partnership of leaders that are adopting aggressive goals to reduce emissions at facilities.
Citi also purchases green power to further reduce Citi's carbon footprint. In 2005 we purchased 10,478 MWh of certified green electric power, and in 2006 we purchased 52,283 MWh globally. For more information on our efforts to minimize our environmental footprint, please see our Energy Footprint page, or refer to pages 42-44 of our 2005 Citizenship Report.
In addition, to minimize the environmental impact of our buildings, in 2005 Citi implemented a number of initiatives to change the way we construct new facilities and retrofit existing ones. Using data gathered from 89 buildings in the U.S., we are preparing them for entry into the EPA Energy Star System, the first step of our plan to obtain Leadership in Energy and Environmental Design (LEED) certification for the buildings in our existing portfolio.
 |
Through our Sustainable Development Investment group (SDI), Citi targets investments to a number of sectors that have clear climate benefits. The SDI program is run through Citi’s private equity business and includes a focus on growth capital opportunities in renewable energy, sustainable forestry and clean technology. In 2006 SDI invested in Permolex, a US-Canadian firm producing ethanol; Solarfun, a Chinese manufacturer of solar photovoltaic cells and modules; and Chrysalix, a Vancouver-based clean energy fund. For more information please see our SDI page.
In the summer of 2006, Sharp Electronics Corporation and CitiMortage signed a joint marketing agreement to offer a unique financing program for home owners to purchase and install solar power systems.
In February 2007, Citi, along with over 90 co-signers, endorsed the Global Roundtable on Climate Change (GROCC) Joint Statement on Climate Change. Citi is also a signatory of the 3C (Combat Climate Change) initiative.
Later that month, Citi released a position statement on climate change that recognizes the significant risks climate change poses to the global economy and the need for urgent action. To see the full statement, please see our Citi Position Statement on Climate Change.