Energy and ecological transition for the climate label
The Energy and ecological transition for the climate label for investment funds completes the array of financing tools provided for by the law of 17 August 2015 on energy transition for green growth.
Born out of the considerations of the June 2014 banking and financial conference, this label aims to steer a portion of savings towards energy and ecological transition and to bring French ecological excellence to the European level.
The preparatory work for the launch of the label was carried out by the Office of the Commissioner general for sustainable development in conjunction with some 15 expert representatives from a group of interested parties. Documents resulting from this work on the label were put up for public consultation from 22 September to 11 October 2015.
Decree No 2015-1615 of 10 December 2015 on the “energy and ecological transition for the climate” label, which sets out terms for the implementation and governance of the label was published in the French Official Journal of 11 December 2015.
It sets out :
- the “energy and ecological transition for the climate” label, its aims and principles ;
- the Label Committee established within the Ministry, its composition and functioning ;
- the methods for creating, revising and approving the Criteria Guidelines that determines the criteria that the investment funds must meet to benefit from the “energy and ecological transition for the climate” label ;
- the labelling procedures for funds, also known as certification of the funds ;
- the role of certifying organisations and tracking and monitoring procedures for funds which have obtained the label.
The decree refers to the orders on technical elements :
- A ministerial order setting out :
- the label’s Criteria Guidelines : the Criteria Guidelines defines the criteria that a category of funds must meet in order to receive the label ; a criterion is one of the label’s measurable requirements,
- the purpose of the Control and Monitoring Plan guidelines for the label ; this plan aims to describe the principles governing the inspection and monitoring methods to be used by certification bodies in the process of and after awarding the label, so that the inspection and monitoring methods used by the certification bodies are equivalent from one certification body to another.
- A ministerial order for deciding the composition of the label committee and setting out how it works : members of the label committee are appointed by order of the Ministry of Ecology. Their term of office lasts three years. Ministerial order to be published.
Novethic and EY France can now receive applications from investors and portfolio management companies who wish to obtain the Energy and Ecological Transition for the Climate Label.
These two organisations were selected following a call for expression of interest for the selection of certifying organisations for the label, which was launched on 11 December 2015 and closed on 28 January 2016.
- Presentation of call for expression of interest (PDF - 101 Ko)[in French only]
- Application pack for call for expression of interest (PDF - 58 Ko)[in French only]
- Decree No 2015-1615 of 10 December 2015 on the “Energy and Ecological Transition for the Climate” label (PDF - 324 Ko)
- Order of 10 March 2016 on the approval of the criteria guidelines and the framework inspection and monitoring plan for the “Energy and Ecological Transition for the Climate” Label (PDF - 147 Ko)
- Criteria Guidelines (PDF - 773 Ko)
- Qs & As about the Criteria Guidelines (PDF - 297 Ko)
- Control and Monitoring Plan Guidelines (PDF - 262 Ko)
The first six funds have just been labelledfor a total amount of assets under management of 715 million euros. These are:
- Sycomore Éco Solutions(30 million euros), presented by the asset management company Sycomore. This equity fund invests anim-portantshareof its assets in ecological activities and follows a demand-ingenvironmental philosophy that is likely to send a positive signal to businesses that adapt their business models to ecological and climate-related requirements.
- Mirova Eurofideme 3(350 million euros), presented by the asset management company Mirova.This infrastructure fund is focused on renewable energies and aims to invest in clean energies within Europe. This SICAV(open-ended investment fund)invests in debt securities issued for energy and ecological transition while ensuringtransparency on how the capital raised is used.
- Mirova Green Bonds Global(65 million euros). This green bond fund carries out systematically an ESG review of each financed project.
- Mirova Europe Environmental Equity Fund(160 million euros). This thematic equity fund invests in shares of European companies that are positively geared toward environmental challenges, in other words they offer innovative solutions in three major areas: energy efficiency, the food production cycle and water management.
- Demeter4 infra(60 million euros), presented by the asset manage-ment company Demeter Partners. This infrastructure fund invests in projects that are ready-to-build and already in operation, targeting sec-tors linked to the environment and to the energy and ecological transi-tion, specifically renewable energies, energy efficiency and water or waste processing.
- PREDIREC EnR 2030(45 million euros), presented by the asset man-agement company ACOFI Gestion. This bond fund aims to meet the needs of stakeholders in the windor photovoltaic sectors over periods of 5 to 15 years. The financing provided allows stakeholders in the renewa-ble energy sector to retain ownership of their asset portfolios and to hold on to the management of their facilities whilst conducting other projects in France and elsewhere in the world.