There is broad recognition that achieving international climate goals will require a significant reduction in greenhouse gas emissions from carbon-intensive sectors. The issuance of a Transition Bond may attract a more diverse pool of investors and help companies fund projects aimed at decarbonizing operations and supporting the progression to a low-carbon economy.
In the first of our series of position papers focused on ‘hard-to-abate’ sectors, we outline views on possible decarbonization pathways for crude steel production as well as potential areas for investment that can facilitate progress along such pathways.