Tom Friedman is the New York Times columnist most often associated with promoting the new green economy, but Sunday’s Times Magazine article is a reminder that Paul Krugman, who won a Nobel Prize in Economics in 2008 for his work on international trade, has something to say as well. And say it he does, in [...]
The split incentive problem in commercial energy efficiency upgrades
Buildings consume 40% of the energy used in the United States, with commercial buildings accounting for just under half (18%) of that total. 2/3 of the energy is used in the building systems (HVAC, lighting, water). Energy efficiency improvement projects in existing buildings generally show very favorable return on investment, often with shorter payback periods [...]
SBIR Reauthorization – a rare piece of good sustainability news from Congress
It’s a fair bet that few people would include “US Congress” in the same sentence as “accomplishment” and “good news” these days. Adding the word “sustainability” would probably cause even Google to come up empty. So it’s worth noting last week’s reauthorization of the SBIR (Small Business Innovation Research) program. In fiscal 2010, this program [...]
Are Commoditization or Aggregation solutions for small-scale project finamce?
There is general agreement that, below a certain size, the transaction costs of a renewable energy project become prohibitive relative to the scale of the benefits. Typical transaction costs include the time and cost involved in: The many legal documents and agreements – land leases, power purchase agreements, financing, agreements among partners and owners, construction [...]
Tax breaks and subsidies for energy
Hovering in the background of several current energy and sustainability-related news stories is the question of tax breaks and subsidies for energy. In the wake of the BP oil spill disaster, the Senate Finance Committee will discuss a possible rollback of oil and gas tax incentives, partly to fund clean energy incentives and job creation. [...]
Fannie and Freddie stall PACE programs
In May, Fannie Mae and Freddie Mac threw a monkey wrench into programs set up to encourage and enable homeowners to make energy savings investments in their homes. PACE (Property Assisted Clean Energy), described in this earlier post, funds energy improvements as a property betterment, allowing the payments to be made alongside property taxes and [...]
Mutual Fund proxy voting on climate continues upward trend
The fifth annual study of Mutual Fund proxy voting on climate change from CERES shows a continuing upward trend in the number of fund families voting for climate-related proxies. The growth has been steady and impressive over the five years the study has been conducted, indicating that a growing number of asset managers are taking [...]
An overview of Exchange Traded Funds
Understanding the structure and characteristics of Exchange Traded Funds is essential to effectively evaluating the potential benefits and pitfalls of this investment vehicle First, the basics. An Exchange Traded Fund owns a basket of securities, like a mutual fund, but the shares of the fund are a tradeable security. Retail investors buy and sell the [...]
The Outlook for Green Investing – Lessons from Overseas Markets
The SRI program committee of the Boston Security Analysts Society is pleased to present “The Outlook for Green Investing: What Can We Learn From Overseas Markets” on April 29th. The program will feature Jack Robinson, President and Chief Investment Officer of Winslow Management Company, and Sara Elford, Sustainability Research Analyst at Canaccord Adams. Jack Robinson [...]
Sustainability and venture capital investing – which way is up?
Investors, policy makers and interested observers can be forgiven if they’re having a hard time determining whether they should be optimistic or pessimistic about the future of emerging companies in sustainability based on what’s going in venture capital. The best advice is probably that they shouldn’t be trying to do it at all – at [...]
