Nearly 90 private equity firms representing over US $700 billion in AUM have signed up to the Initiative Climat International (iCI), a first of its kind climate initiative for private equity, supported by the Principles for Responsible Investment (PRI). The PRI is calling on the private equity industry to accelerate its drive on climate action and encourages its signatories to join iCI.
Members of iCI commit to recognising the risks and opportunities that climate change presents to their investments, contribute to the Paris Agreement’s objectives, and actively engage with portfolio companies to reduce their greenhouse gas emissions. Members work collaboratively across a variety of working groups to implement their commitments.
Fiona Reynolds, CEO of the PRI, commented: “The PRI calls on the private equity industry to step up climate action. We see the industry making progress on ESG in several areas, including climate, although this varies greatly firm-by-firm and region-by-region. We are pleased to support iCI, which provides a much-needed vehicle for ESG practitioners and other PE professionals to collaborate on a common challenge. Its members are committed to sharing knowledge, tools, experience, and best practice methods amongst peers to better prepare GPs for the inevitable changes ahead as LPs make their own net-zero commitments.”
Recognising the important role that the private equity industry will need to play in the shift to a global net zero economy, the group of leading private equity firms will work to understand and address how the industry can accelerate the transition to net zero. The initiative aims to develop guidance for private equity firms on net zero by COP26 in November 2021, in addition to addressing key data and disclosure challenges in private markets by developing common metrics and methodologies for measuring and reporting emissions (including Scope 3).
iCI will collaborate with other organisations and experts to drive convergence around best practices and to advance climate action amongst the private equity industry.
More information on iCI and how to join can be found here.
Supporting comments include:
Nigel Topping, COP26 High-Level Climate Action Champion commented: “It is great to see the momentum amongst private equity investors who are committing to take action ahead of COP26. The private equity industry has a vital role to play in financing the transition to net-zero, I therefore encourage firms to join iCI and to work towards joining the Race to Zero.”
Cornelia Gomez, Head of ESG, PAI Partners commented: “As a founding member of the initiative, PAI Partners is very excited by the journey accomplished so far. 2021 will be a tipping point for environmental action and engagement amongst the private equity industry is increasing exponentially. The iCI is best positioned to generate consensus among private equity players on frameworks and methodologies to address climate change; also creating a fertile ground for ambitious strategies and commitments”.
Peter Wilson, Managing Director, HarbourVest Partners commented: “We firmly believe that it is only through collaboration that we can meet the enormous challenges of climate change. We applaud the Initiative Climat International for its ability to convene this large group of PE firms and the ambitious goals of this effort, and we are delighted by the strides GPs are making towards convergence on best practices to understand climate risk.”
Serge Younes, Head of Sustainability, Investindustrial commented: “As an active member of iCI, we are collaborating with our peers to translate the shared ambitions for net-zero into concrete methodologies and tools to enable a commitment to set science-based targets to limit global warming to well below 2C. Our ambition is to make climate action mainstream business practice in private equity. We encourage our peers to sign up to this important industry initiative and join the Race to Zero ahead of COP26.”
Notes to editors
For media enquiries, please contact:
Rojîn Kiadeh, Communications Specialist, PRI
[email protected]
About the Initiative Climat International (iCI)
iCI was the first international initiative for private equity firms aiming to address climate change. It was originally launched as the iC20 (Initiative Climat 2020) in 2015 by a group of French private equity firms to contribute to achieving the Paris Agreement’s objectives – to limit global warming to well below 2C, and to pursue efforts to limit warming to 1.5C.
iCI is a global community of investors seeking to understand better and manage the risks associated with climate change. Members commit to sharing knowledge, tools, experience and best practice among peers to help build and manage both climate-aligned and climate-resilient portfolios.
iCI is supported by the Principles for Responsible Investment, and is a Supporting Partner of The Investor Agenda.
iCI is open to all private equity firms and investors to join.
iCI commitments
- We recognise that climate change will have adverse effects on the global economy, which presents both risks and opportunities for investments.
- We will join forces to contribute to the objective of the Paris Agreement to limit global warming to well below 2C and in pursuit of 1.5C.
- We will actively engage with portfolio companies to reduce their greenhouse gas emissions, contributing to an overall improvement in sustainability performance.
Members
21 Centrale partners
Access Capital Partners
Activa Capital
Alliance Entreprendre
Alter Equity 3P
Alven
Amundi PE
Andera Partners
Antin Infrastructure Partners
Apax Partners
Apicap
Ardian
Arkéa Capital
Astorg
Azulis Capital
BC Partners
Bregal Investments
Caisse des dépôts et consignations
Capital Croissance
Capital Dynamics
Capital Export
CAPZA
Cerea Partners
Church Commissioners for England
Ciclad
Cinven
Coller Capital
Conquest
Credit Suisse
CVC Capital Partners
Demeter Partners
Educapital
EMK Capital
Energy Impact Partners
Equistone Partners Europe
Eurazeo
Eutopia Gestion
Foresight Group
FSN Capital
Gaia Capital Partners
HarbourVest Partners
Hg Capital
Horizon Capital
Idinvest Partners
IK Investment Partners
Innovafonds
Intermediate Capital Group
Investindustrial
IXO Private Equity
Keensight Capital
Korelya Capital
LBO France
LFPI Gestion
LGT Capital Partners
Mayfair Capital
MBO & Co
MCapital
Momentum Invest
Montagu Private Equity \
Motion Equity Partners
Naxicap Partners
NiXEN
NorthEdge Capital
Omnes Capital
PAI Partners
Palatine Private Equity
Pantheon Ventures
Pechel
Permira
Qualium Investissement
RB Capital
Ring Capital
Rothschild & Co
Sagard Private Equity Partners
Seventure Partners
Silverfleet Capital
Siparex Groupe
StepStone Group
Stirling Square
Swen Capital Partners
TowerBrook
TPG
Triton
Turenne Groupe
UI Investissement
Weinberg Capital
Yotta Capital
