With the Climate Fund for Companies, myclimate offers large companies in the German-speaking region the opportunity to create a credible, dedicated tool for holistic corporate climate protection. The climate fund makes it possible to reduce greenhouse gas emissions within the company’s value chain and to finance climate protection beyond it.
It enables a 360° approach: reductions and climate protection financing occur holistically both within and outside the value chain.
With a climate protection fund, companies charge an internal price for CO₂ (also known as “internal carbon pricing”), giving them a perfect indicator of their environmental impact and, if necessary, a tool to set their targets and measure their achievement.
The majority of the money paid into the fund remains in the company’s immediate environment. All cash flows remain transparent.
The fund gives you the freedom to choose a tailor-made climate protection project – locally or globally.
With the climate fund, myclimate supports you in implementing holistic, effective climate protection. The basis for this is often an internal valuation of your own calculated emissions (known as “internal carbon pricing”). The finance raised in this way can be supplemented by other sources of income, such as donations, CSR budgets and public funds, and paid into the company’s own climate fund.
We are happy to help you set up and implement your very own climate fund. As a first step, we offer a rough concept study as a basis for decision-making before detailed fund regulations are drawn up. The second step is the implementation of the long-term commitment.
A key part of the offer is the development and financing of a project portfolio. This consists of reduction measures and climate protection projects within and beyond the company’s own value chain (beyond value chain mitigation). The projects can be implemented and financed independently in your own country and/or abroad.
In combination with reduction targets (e.g. set as part of the Science-Based Targets initiative, SBTi), a climate fund is an ideal way to progress along the path to net zero and is thus compatible with the goals of the Paris Agreement. By making climate contributions in addition to specific internal reduction measures, your company assumes responsibility towards those most affected by the climate crisis.
Setting up a climate fund is worthwhile for large companies with a large greenhouse gas footprint. A long-term commitment of five to 15 years is a prerequisite for effective results. Significant internal and external sources of finance for the fund (> 0.5 million Swiss francs per year) must be able to be identified and, ideally, you should have an initial budget. As a first step, myclimate always draws up a fund concept and a set of regulations. The aim is to develop a project portfolio consisting of more than three projects.
In regular meetings, a fund committee made up of representatives of the donors decides on the project applications submitted by the project management. This project management is made up of representatives of the company and experts from myclimate. myclimate is responsible for the project reviews and helps develop the ground rules so that the funds are used as effectively and efficiently as possible. myclimate has a right of veto on the committee to ensure climate integrity.
In the first phase, myclimate supports clients in setting up the climate fund by developing a concept and. If desired, detailed regulations are drawn up as part of the second step.
In the subsequent implementation phase, myclimate’s core task is to develop and manage the project portfolio together with the client. This includes overall project management, portfolio management, carbon reporting, development of climate protection projects including project sourcing, comprehensive due diligence, preparing applications, certification and monitoring, conclusion of project contracts and participation in governance. At the client’s request, myclimate can also take over the management of the fund, including financial reporting.
A lead time of three months and a processing time of three months can be expected for the development of the concept. It takes about six months to finalise the regulations, followed by the fund agreement. It can take up to a year for a climate fund to get up and running.
The climate fund product allows you to make a more comprehensive commitment to climate protection than with conventional offsetting models. In addition to making contributions to certified climate protection projects, a climate fund enables you to reduce emissions in your own company and its environment, and to develop client-specific projects.
The composition of the project portfolio is worked out individually with the client and can vary greatly from one case to the next. The balance between beyond-value-chain projects and internal emissions reductions often shifts towards the company’s own value chain over time.
In order to make the most effective use of the fund’s resources, economic measures and climate-friendly internal guidelines are not financed with those resources. Wherever possible, the climate fund should be used to support and initiate projects that would not be economically attractive for the company without the fund contributions. This may include internal reduction measures, such as solar-power generation or converting the vehicle fleet to electric.
This product is part of the climate strategy.
