In 2008, the Crédit Agricole continued incorporating the environment in its businesses by supporting an environmentally friendly agriculture, financing environmental projects, offering responsible products to both private and institutional clients and by factoring environmental risks into its financing and investment business lines.
Taking into account the indirect impacts
Forum for an environmentally friendly agriculture
Drawing on its long-standing presence in and intimate knowledge of the farming world, the Group has set up several partnerships to promote an "environmentally friendly" agriculture and biodiversity. With the Farre association1 to launch initiatives such as "Graines de paysages" (Seeds for a landscape), aimed at making people aware of the need to protect biological diversity and of the critical importance of agriculture. With Agence Bio2 to develop the production and distribution of organic products. With the Ligue de Protection des Oiseaux (LPO) (League for the Protection of Birds)3 to develop, along with 160 farmers, an experimental programme to restore biodiversity in rural surroundings and to define a number of "High Environmental Value" indicators as recommended by the "Grenelle de l’environnement" talks. Or Calyon’s association with Heifer to promote diversity and fight hunger in a region of China.
Financing environmental investment
Several Group subsidiaries finance this type of project, in particular Unifergie, for which this is the core business, Crédit Agricole Private Equity, which launched the first institutional FCPR (venture capital fund) in 2006, and Capenergie, entirely dedicated to renewable energies and which currently has EUR 109 million under management.
Calyon continued in 2008 its initiatives to finance renewable energies, which form an integral part of the strategy of its Project Finance business line. Wind energy projects now account for 15% of our financing for electricity production projects.
And let us not forget Emporiki Bank, which finances EUR 340 million worth of renewable energy projects.
Offering environmentally responsible products
The Group is fully committed to its clients, whether it be for savings products, financing or investment. Some of the Regional Banks have been offering an environment range of one to twelve products since 2006. In 2007, Crédit Agricole launched the “energy saving” loan, combined with the Livret développement durable. This loan may be used to finance energy conservation works in older houses at preferential interest rates (e.g. insulation, solar water heater, wood-burning heaters, windows, etc...).This product is distributed by the Regional Banks network since 2007, and by LCL one since 2008.
The Group Cariparma FriulAdria also offer “Fiducia Contante Energia Solare”, a loan to finance the installation of solar panels in homes.
Several environmental funds are also offered by Crédit Agricole Asset Management Group’s subsidiary IDEAM4, as well as by the Private Banking business line, as “CAAM Funds – Aqua Global”, a water-themed fund created in 2007.
Factoring in environmental risks
As a co-founder of the Equator Principles alongside nine other banks worldwide in 2003, Calyon was the first French bank to commit itself to assessing the social and environmental impact of every project of over USD 10 million in Project Finance and to include obligations for the borrowers where necessary.
A responsible approach to investing that Crédit Agricole Asset Management also advocates by applying the UN’s Principles for Responsible Investment since 2006.
Focus
The Climate Principles
The Group has made tackling climate change one of the priorities of its environmental policy. This commitment was reinforced in late 2008 with the adoption of the Climate Principles, coordinated by “The Climate Group”.
For Crédit Agricole, this initiative involves in particular the development of a commercial and risk management policy, taking climate change into account in all of the Group’s business lines, as well as in cross-functional departments such as procurement and human resources.
- Partnership initiated in 2003 and renewed in 2007.
- Partnership signed in 2008.
- Partnership renewed in 2008.
- The first French asset management company wholly dedicated to SRI
