In a landmark move to support sustainable initiatives and projects,the City of Vancouver launches its first Green Bond
“Green Bonds offer an environmental and social investment tool that will support the City’s efforts to build sustainable infrastructure for many generations to come.”
Former Vancouver Mayor Gregor Robertson
As much as municipal elections filled recent headlines, it’s another event that will have the longest-lasting—and most positive—impact on the City of Vancouver.
On September 12, the City of Vancouver fulfilled its promise of becoming the world’s Greenest City by 2020. That was the day Vancouver issued its first Green Bond offering of $85 million to fund environmentally sustainable initiatives and projects, including competitive returns for investors. This inaugural Green Bond pays a 3.10% coupon interest rate and matures on September 21, 2028.
In its Green Bond Framework, the City states that the net proceeds of Green Bond issuances will be used to finance or re-finance Council-approved, environmentally-sustainable capital projects.
Eligible capital project categories include but are not limited to:
- renewable energy
- energy efficiency
- green buildings
- clean transportation
- pollution prevention and control
- sustainable water and waste water management
- environmentally sustainability management of living natural resources.
The following are some of the projects approved in the City’s capital plans for Green Bond-funding:
- Fire Hall 17 Renewal – A new Net Zero Energy fire hall that will be Passive House and LEED Gold (v4) certified. Environmental benefits include reducing energy use from natural gas and electricity down to zero, along with reduced greenhouse gas (GHG) emissions and water consumption.
- Roddan Lodge Redevelopment – As part of Vancouver’s priority to increase affordable housing stock, this project will contribute to Downtown Eastside housing targets by providing more than 200 social housing units. Environmental benefits include: reducing energy use from natural gas and electricity; and reductions in GHG emissions and water consumption.
- Neighbourhood Energy Utility – This system, operational since 2010, enables recycling of waste heat sources in the community and secures 100% renewable energy outcomes for buildings connected to the system. Environmental benefits include significant GHG reductions for new building developments in the False Creek area.