Global built environment engineering consulting firm Arup has been certified by the Climate Bonds Standard Board to be an Approved Verifier of green bonds, adding to its portfolio of advisory services.
Arup becomes the first engineering firm in the US to become a green bond verifier.
Green bond verification is clearly going mainstream as it becomes part of advisory offerings.
As services grow around green bond offerings, it’s a sign of market maturity.
First engineering consulting firm to become approved verifier of green bonds
There are a limited number of organisations that have been approved as verifiers of green bonds. Tim Treharne, Americas Advisory Services Leader, Arup said: “We’re delighted to be able to offer our skills and experience in the built environment to issuers and investors working towards the net zero of our future.”
As the only engineering consulting firm in the US to become an approved verifier, Arup will provide independent technical expert reviews for sustainable financing across the building, energy, transportation, water, and waste management sectors. Treharne added, “Arup has a strong track record working with government agencies, NGOs, property owners and developers, and financial institutions on an ever-increasing number of low carbon projects and assets globally.”
More to be added to its portfolio
Arup will also be participating in an industry working group with the Climate Bonds Initiative to develop sector criteria for steel, cement, and hydrogen projects that are important in the transition to a carbon-free economy.
Arup has said it is excited to add this offering to its portfolio of Advisory Services that consists of Strategy and Insights, Finance and Economics, Programs and Projects, Assets and Operations, People and Organizations, Sustainable Development Advisory and ESG service lines.
“Our Certification work proudly delivers a mark of best practice in green labelling across the globe” said Sean Kidney, CEO, Climate Bonds Initiative. “To continue our mission of ensuring capital is purposed for climate solutions, we need verifiers with the technical expertise to help us champion market integrity.”
Figures from the Climate Bond Initiative show green, social, sustainability, sustainability-linked, and transition (GSS+) labelled debt reached a combined volume of $417.8 billion in the first half of 2022 (H1 2022), representing a year-on-year (YoY) fall of 27% against H1 2021.
However, signs of a revival emerged as green issuance picked up in Q2, increasing by 25% on Q1 volumes with a total of $121.3 billion.