AXA Publishes its 2021 Climate Report
We are proud to be featured on page 69 of AXA's 2021 Climate Report, recognizing our work with clients addressing some of the greatest environmental challenges facing the world today.
Below is AXA's original press release. Peruse to learn more about the important initiatives of our affiliates.
AXA Publishes its 2021 Climate Report
AXA today announced the publication of its 6th Climate Report. This report fulfils the legal requirements for non-financial reporting as well as the voluntary approach of the Task Force on Climate-related Financial Disclosures (TCFD), which AXA has supported since its creation. It describes AXA's responsible investment and insurance initiatives in the fight against climate change and measures the Group's progress in its ambition to reach the objectives of the Paris Agreement.
Among the various indicators measuring AXA's activities with regard to climate change, this report highlights the "warming potential" methodology, which measures the impact of the Group's investments on global warming by 2050. This year, it stands at 2.7°C, significantly below the market, whose potential is 3.2°C. This indicator is key for AXA, which committed to limiting the warming potential of its investments to 1.5°C by 2050.
The report also shows that the "green" share of AXA's portfolios is increasing - driven in particular by the €25 billion green investments planned by 2023 - and that the carbon footprint of investments continues to decline, in line with the -20% target by 2025 set by AXA's strategic plan Driving Progress.
These indicators are part of a fundamental methodological effort by the financial industry to measure its climate impact, anticipate and manage climate-related risks for its business and stakeholders, and determine effective action plans.
A decisive decade begins in the fight against climate change. Our climate report is an essential tool for measuring the effectiveness of our strategy and the distance we still have to go to meet the Paris Agreement targets by 2050. There is still a long way ahead. We must all commit to accelerating the transition to lower carbon and more resilient economies. AXA is determined to play its part.
Thomas Buberl, CEO of AXA
This 2021 Climate Report is available on AXA’s website at the following address: https://www.axa.com/en/press/publications/2021-climate-report
CEO Interviewed by Risk & Insurance
New Energy Risk CEO Tom Dickson is quoted in Risk & Insurance for the article, "A Hardening Renewable Energy Market Renews Interest in Basic Risk Management: Soaring losses have underwriters raising rates while backers insist on greater coverage. Developers are caught in the middle."
Considering the headline, Tom says, "There could not be a more exciting and challenging time in renewable energy." Learn about how NER's "expansive view of renewables, from biomass to fuel cells to energy storage" is part of the solution, and more.
Read the complete article here.
NER Releases its 2020 Sustainability Report
Sustainability is at New Energy Risk's core. Our business model delivers performance insurance solutions to a wide range of energy technologies and related infrastructure projects and technologies that have a major impact on our world, from reducing emissions, to creating more sustainable fuels, to finding new uses for municipal and industrial wastes, to new models for low-carbon transportation. We help drive these technologies to scale and foster greater customer adoption to accelerate a more sustainable society.
We are proud of our clients, who are committed to solving some of the world's most pressing environmental issues. Collectively, they are reducing landfills and building a circular economy, reducing dependence on aging centralized power grids, reducing transportation’s dependence on petroleum, and preventing harmful greenhouse gas emissions.
Published on the heels of Earth Day, read a letter from our CEO, Tom Dickson, and chief actuary, Sherry Huang, plus learn about New Energy Risk's representative client impact in our second annual report:
Want to learn more about our contribution to sustainability efforts? Check out AXA XL's Climate Risk Report and find New Energy Risk on page 26.
NER Featured by AXA XL in Climate Risks Report
New Energy Risk is proud to be featured in AXA XL's Climate Risks report, Protecting What Matters. Read how NER is contributing to innovative insurance solutions for emerging climate risks in our spotlight on page 26. Download the full Climate Risk brochure here.
From our CEO, Tom Dickson, "Mitigating and reversing climate change is arguably the greatest opportunity for innovation ever seen by humanity. Technology
developers and their partners are stepping up to this enormous challenge with creative solutions that are both impactful and commercially viable. While new technology comes with risks, risk cannot stop us from creating a better future."
New Energy Risk Supports Carbon Capture Bill
As an insurance solutions provider who is contributing to the de-risking of $3B+ of carbon capture projects, we see how a longer development timeline and increased revenue certainty enabled by a 45Q extension and direct pay, coupled with increased credit values, would positively contribute to the financing and completion of these exciting projects.
Tom Dickson, CEO, New Energy Risk
Today, the US Senate introduced the Carbon Capture, Utilization, and Storage Tax Credit Amendments Act. Learn about the implications from the Carbon Capture Coalition's press release, and find the text of the Bill here.
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New Energy Risk Helps Bring Fuel Cells to New York City
New Energy Risk (NER), a leader in customized performance insurance solutions for breakthrough technology projects, announced today that it has helped facilitate the purchase and financing of fuel cells in Staten Island, New York. The insurance solution developed by NER was a key component of the project’s financing and execution strategy.
The fuel cells totaling 12 MW in capacity across three sites were installed by joint venture including Daroga Power LLC. Project financing was in part provided by NY Green Bank, a division of the New York State Energy Research and Development Authority (NYSERDA), and New York’s $1 billion sustainable infrastructure investment fund. Daroga Power is poised to become the largest owner/operator of community distributed energy generation projects in New York City, with a total fuel cell and solar portfolio capacity of 20 MW.
NER, a member of the AXA XL group of companies, conducted a proprietary technoeconomic analysis, and then developed an insurance solution and monitoring schedule that addresses the operation of the fuel cells for up to 12 years. This is the first time NER has supported an investment by NY Green Bank.
“For years, we have been very pleased to support the expansion of fuel cells around the world,” said Tom Dickson, CEO of NER. “The installation of these fuel cells in New York City is another great example of infrastructure that provides reliable and cost-effective power, with the peace of mind that performance insurance provides.”
“Daroga Power is at the cutting edge of sustainable infrastructure serving New York City,” said Ory Moussaieff and David Matt, founders of Daroga Power. “With this insurance solution by New Energy Risk, we were able to close our financing and more than triple our fuel cell capacity. It would not have been possible without NER.”
“NY Green Bank is pleased to provide financing for fuel cell-powered community distributed generation projects, which benefit from the credit enhancement provided by NER’s performance insurance product,” said Alfred Griffin, president of NY Green Bank. “Our investments and activities support Governor Cuomo’s nation-leading goals to combat climate change, as outlined in the Climate Leadership and Community Protection Act, which requires that 70 percent of the State’s electricity come from renewable sources by 2030.”
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About New Energy Risk
New Energy Risk is a pioneer of large-scale, breakthrough technology performance insurance solutions. Founded in 2010, the company provides complex risk assessment and serves as a bridge between technology innovators, financiers, and insurers. New Energy Risk has helped its customers unlock over $2 billion in financing for commercializing renewable energy and new technology deployments that address global challenges. Insurance policies are administered through New Energy Risk affiliate Complex Risk and Insurance Associates, LLC, CA License #0I24307. To learn more, visit www.newenergyrisk.com.
About AXA XL
AXA XL provides insurance and risk management products and services for mid-sized to large multinational companies, and reinsurance solutions to insurance companies globally. As a leading global insurer, AXA XL offers services in over 200 countries and territories for 90% of Fortune 500 businesses. To learn more, visit www.axaxl.com.
CEO Interviewed by AXA XL for Fast Fast Forward
New Energy Risk CEO Tom Dickson was interviewed by AXA XL, the #1 P&C commercial lines insurance platform serving clients in more than 200 countries, for Fast Fast Forward. This award-winning thought leadership platform provides articles, interviews and podcasts on a diverse range of topics, including technology, innovation and new thinking on risk.
Learn more about “the future of [our] custom technology risk solutions, and the crucial gap [we] fill in the marketplace,” plus a peek under the hood of our model and how diversity improves our team performance.
Read the complete interview here.
NER in The Economist
New Energy Risk is pleased to have been cited by The Economist in print (31-Oct-2020 edition) and online.
Greenbacks for greenery: Climate-conscious venture capitalists are back
"Specialised insurance firms, such as New Energy Risk... help financiers manage the risk" of "green innovators... attracting innovative financing methods."
Read the full article here (note: article may be behind The Economist's paywall).
New Energy Risk Helps Bring Fuel Cells to South Korea
New Energy Risk (NER), a leading provider of customized performance insurance solutions for breakthrough technology projects, announced today that it has helped facilitate the purchase and financing of fuel cells in South Korea. The insurance solution provided by NER is a key component of the project's financing and execution strategy.
The Bloom Energy fuel cells totaling 19.8 MW in capacity were installed by SK Engineering & Construction Co. Ltd. (SK E&C). The project is owned by SE Greenenergy Co., Ltd., in which Korea South-East Power Co., Ltd. (KOEN) holds an 85% stake and SK E&C holds the remaining 15%. This is the largest Bloom Energy project in South Korea to date, and Bloom Energy's second largest in the world.
This project reflects South Korea's growing interest in reducing carbon emissions, coupled with a power strategy emphasizing distributed power generation. The Bloom Energy fuel cells produce on-site power that is both clean and reliable. This is the first-ever solid oxide fuel cell project financed in Korea and will provide enough electricity to power approximately 43,000 homes.
NER, an affiliate of the global insurance group AXA XL, conducted a proprietary technoeconomic analysis, and then developed an insurance solution and monitoring schedule that addresses the operation of the fuel cells for 15 years. NER and Bloom Energy have worked together on prior performance insurance solutions in the United States.
"Our mission at New Energy Risk is to enable technologies that are addressing global challenges," said Tom Dickson, CEO of NER. "With this announcement of our first transaction in Korea, we are thrilled that our business itself can reflect that global perspective." He continued, "Bloom Energy is a longstanding client, and our relationship with Bloom is one that we're very pleased to support as the company expands its impact throughout the world."
"Technology innovation is a worldwide necessity and we are proud that New Energy Risk has helped bring the latest fuel cell technology to South Korea," said Tom Hutton, founder and chairman of New Energy Risk. "As NER grows, it further reflects our goal to expand the scope of insurable risks and develop high-value performance insurance solutions supported by deep technical domain and underwriting expertise."
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CEO Interviewed by Norton Rose Fulbright
New Energy Risk CEO Tom Dickson was interviewed by Partner Todd Alexander of Norton Rose Fulbright, a global law firm offering full business law services, for the podcast Currents, which offers "in-depth discussions on the latest developments in project finance and renewable energy from a legal perspective."
Listen and learn about how New Energy Risk is "enabling project finance and bankability for new technologies through insurance. We go over the void that New Energy Risk is filling, how its product offerings evolve over time, how to scale energy storage, how carbon capture will compare to other industries, trends in capital markets and more."
Listen to Currents Episode 115 here.