What is a Just Transition?
A just transition is the idea that as the world moves from an extractive to a low-carbon regenerative economy, the transition must be inclusive and equitable and generate wealth in under-resourced communities that have faced systemic barriers to access to capital and opportunities to build wealth.
We believe investors can play a critical role in integrating just transition principles into the investment decisions that empower the clean energy transition.
Just Transition Investment Framework Report Highlights
The report begins with a summary of disparities in health outcomes and disproportionate impact of environmental pollution and climate change on people of color, indigenous peoples, low-income communities, women, and coastal communities in the United States and globally.
Our firm intends to use this Just Transition framework to identify investable solutions that seek to:
Support
Self-Empowerment
Provide resources to support educational programs, technical assistance, and capacity building within vulnerable and impacted communities
Center Gender and
Racial Equity
Incorporate opportunities for racial and gender equity approach at all levels of the firm and investments
Democratize
Decision-Making
Utilize community-based decision-making practices involving all stakeholders, ensuring the inclusion of workers and BIPOC communities that have been historically oppressed
Support
Workers
Ensure that workers are not displaced and receive the support they need to thrive in their home communities
Measure Impact
Outcomes
Measure material social and environmental impact outcomes for individuals, families, and communities
Work for
Policy Change
Advocate for policy changes to support a just transition at the local, state, federal, and/or global levels
Build Community
Wealth
Ensure wealth creation in communities that are disproportionately impacted
Utilize a Blended
Finance Structure
First loss capital plus catalytic capital allocation