Sustainability in business aviation Support Emission Reduction Projects
#SRI — 06.04.2021

Jet & Yacht Finance allows its clients to support emission reduction projects

Rémi Caroff, Jet & Yacht Finance Credit Advisor, BNP Paribas Wealth Management

Our long-term sustainable strategy aims to accompany BNP Paribas’s Clients towards a more sustainable Jet & Yacht industry.

Nowadays, having a positive impact is important for our clients. They are expecting their financing partner to provide them with options integrated into the investment proposal, (facts also shared by the Global Entrepreneur Report 2020), especially when it addresses the financing of assets such as Jet or Yacht.

Issues

How can a bank like us, BNP Paribas, support and accompany clients towards a more sustainable Jet & Yacht Finance offer?

Emission reduction projects not only avoid or capture CO2 emissions but also have social and environmental co-benefits linked to the UN Sustainable Development Goals. The contribution to this kind of project is done in parallel with strong reduction efforts and technological investment to make the industry more sustainable.

Remi Frank

Working for more responsible assets

One of our main objectives is to encourage our Ultra High Net Worth Individuals (UHNWI) clients to make the right decisions when they buy or use these assets.  Because of this, BNP Paribas Wealth Management is here to assist its clients in the green transition and enable them to account for their asset’s carbon footprint and have a more positive impact on the community. 

Our today actions are part of a clear long-term strategy We know that to reach net-zero emissions, we need to focus our efforts on reduction practices and support emission reduction projects readily available. Although the industry is shifting its practices to become more sustainable, BNP Paribas Wealth Management has decided to offer its clients the opportunity to act during this transition phase and support an emissions reduction project and aims to make the jet and yacht industries evolve toward a more socially, economically and environmentally responsible model.

 

Jet & Yacht Finance sustainable offer for climate contribution: emissions reduction project supported through ClimateSeed.

Jet & Yacht Finance has partnered with ClimateSeed to select a high-quality emission reduction project. When taking climate action, it is essential to select the right project with the right partner to make sure the project has strong environmental and social benefits. In addition, the partner proposing the project must have transparent and robust procedures which ensure that the amount linked to the contribution has been fully allocated to the project. To ensure the conformity, the Jet & Yacht Finance team has chosen to collaborate with ClimateSeed (https://climateseed.com/). ClimateSeed is our trusted climate partner, which offers a selection of high-quality carbon reduction projects. Founded in 2018, ClimateSeed is a Social Business launched by BNP Paribas in collaboration with Pr. Muhammad Yunus, Nobel Peace Prize Laureate, and benefits from the Group infrastructure in terms of compliance. As a Social Business, ClimateSeed is 100% committed to reinvesting its profits and promoting social and environmental programs to fight climate change, including education on climate-related topics for organizations and individuals. ClimateSeed developed a digital platform to increase transparency and traceability of climate contribution to emission reduction projects. For our Jet & Yacht Finance team, it became evident that ClimateSeed is the right partner with a successful 2-year track record. 

“A charity dollar has only one life; a Social Business dollar can be invested over and over again”

Pr. Muhammad Yunus.

climatseed

Supporting emissions reduction and local communities: Kenyan BURN cookstoves project

In 2020, with the support of ClimateSeed, Jet & Yacht Finance selected a project that contributes to improving wellbeing with a simple cooking device (SDG3). The cookstoves project in Kenya saves up to 4.46 tons of CO2 per stove p.a. This $40 device generates $119 of saving p.a. per household (204kg of charcoal p.a. saved). It reduces particle matter and carbon monoxide by 63% and 65%, respectively, resulting in a decrease in respiratory diseases, headaches, and itchy eyes. BURN STOVES plans to reach 4.8 million households by 2024 and has already sold 900,000+ fuel-efficient cooking stoves. The company employs 400 people of which more than half are women in its Kenyan facility. The Cookstove projects offer many environmental and social benefits for local communities in countries most vulnerable to climate change. 

jikokoa

Jet & Yacht Financing selected this project due to its strong social impact, its uniqueness, and its location.

“I was amazed by the positive impacts of this cooking device. By selecting this project, we would like to highlight that many solutions are available, and some of them are simple and impactful at the same time.” Louis-Jerome Monnier, Credit Advisor, JYF.

Climate contribution: The first step towards sustainability

Our strategy is based on several long-term features, incorporating this climate contribution solution, allows us to bring some short-term results in our Jet & Yacht Finance Sustainable Roadmap.

Climate action starts with measurement. Since 2020, Jet & Yacht Financing has started to measure the CO2 emissions from the use of the assets financed to understand their emissions. We intend to influence and educate our stakeholders to be climate-conscious and act more responsibly.  As a bank, measurement and climate contribution are some initial first steps, but we will continue to do more to accompany clients towards a more sustainable future. We are deeply convinced that we have to work together (clients, assets managers, producers, and banks) towards a zero-emissions industry.