A global blended finance initiative to develop mid-size climate resilient infrastructure & nature-based solutions.

Our Mission is Funding What Matters

Investing in Subnational climate-smart infrastructure and nature-based solutions delivering measurable and certified climate and sustainable development impact at the local level.

Theory of Change

The goal of the SCF is to catalyse climate mitigation and adaptation solutions at the subnational level through a transformative finance model. The model is designed to attract public and private investment and to deliver certified climate and Sustainable Development impacts and Nature-based Solutions. The subnational level is key: 70% of known climate solutions are located within the remit of subnational authorities. Significant additional investment is needed in this sector to achieve the climate goals of the Paris Agreement. The SCF presents a positive disruption on how subnational climate projects should be structured, de-risked, and funded by both public and private investors, while monitored and benchmarked at the highest level of rigour and quality.

Why we do what we do

50%
carbon emissions need to be reduced by 2030 and to net-zero by 2050
90%
of waste in LICs is either disposed in unregulated dumps or openly burned, causing serious health and climate consequences
37%
can be contributed through nature-based solutions to to mitigate climate change and meet the Paris climate goal

The opportunity

Sustainable Energy Solutions

  • Solar photovoltaic farms
  • Energy storage solutions
  • Wind parks
  • Biomass power plants
  • Energy efficiency solutions

waste & water management

  • Waste sorting, treatment, recycling facilities
  • Composting facilities
  • Proven conversion technologies
  • Water & Sanitation

Urban development solutions

  • Climate infra and urban transport
  • Digital infrastructure
  • Smart city development
  • Sustainable tourism infrastructure

sustainable agriculture

  • sustainable agriculture
  • Integrated food and agri value chains
  • Agriculture technology or agritech
  • Controlled environment agriculture

Target impact

  • Enable access to clean and affordable energy
  • Reduce CO2 emissions
  • Create local jobs
  • Support education and economic growth through reliable electricity
  • Provide access to clean water
  • Combat domestic and ambient pollution
  • Support a circular economy and sustainable use of resources
  • Improve health and well-being
  • Sustainably manage, and restore natural and modified ecosystems
  • Provide human well-being and biodiversity benefits

SCF impact objectives

Subnational Climate Finance About Scf Picto Energy

1.8bn

KWh/y RE production
Subnational Climate Finance About Scf Picto Decent Work

20,000

4’000 for women direct jobs created
Subnational Climate Finance About Scf Picto Sustainable Cities

17m

citizens with improved living conditions
Subnational Climate Finance About Scf Picto Climate Action

82m

T CO2 eq. reduction

Structure and Members

A partnership of consortium members providing leading expertise along the entire value chain

Fund Manager

Pegasus Capital is an experienced Fund Manager accredited by the GCF and focused on investing in sustainability & wellness.

Technical Assistance Manager

International Union for Conservation of Nature (IUCN) is a membership Union composed of both government and civil society organisations. Accredited at the GCF, IUCN is responsible for the Technical Assistance component of SCF. IUCN is a pioneer in developing Nature-based Solutions projects, and its high standards on environmental and social safeguards.

Subnational Infrastructure

R20: Regions of Climate Action is an International not-for-profit organization set up to accelerate the implementation of sustainable low-carbon climate-resilient infrastructure, in support of the Paris Climate Agreement and the SDGs.

Impact Certification

Gold Standard is an international standards NGO specializing in SDG and impact measurements and third-party certification. Gold standard will be responsible for monitoring and certification issues.

Anchor Investor of Concessional Capital

The Green Climate Fund (GCF) is the is the world’s largest dedicated fund helping developing countries reduce their greenhouse gas emissions, set up by the UN system. It has committed to USD $150 million of equity in a first-loss position (with a concessional return) to SCF and USD $19.5 million of grant funding for Technical Assistance.

High-level advisory committee

Governance of the Subnational Climate Fund (SCF) includes a High-level Advisory Committee. The role of the committee is to advise the SCF Consortium on best opportunities to invest in regard to SCF mission, and more widely on the theory of change encompassed by SCF.

This Committee is composed of well-known experts in their field of expertise in climate science, finance/economies, sector/technical, biodiversity/nature-based solutions, and environmental/social management systems (ESMS).

The Chairperson of the Committee, in consultation with the Consortium, may add members or supporting experts to assist existing members as may be needed to achieve the goals of the Committee in a timely and comprehensive manner.

Subnational Climate Finance About Scf Henry Gonzalez

Henry Gonzalez

Deputy Executive Director, Green Climate Fund

Subnational Climate Finance About Scf Lloyd Day@2x

Lloyd Day

Deputy Director General, Institute for Cooperation on Agriculture

Subnational Climate Finance About Scf Paolo Gomes

Paolo Gomes

Chairman, Orango Investment Corporation

Subnational Climate Finance About Scf Frannie Leautier@2x

Frannie Leautier

Partner, CEO of SouthBridge Investment

Subnational Climate Finance About Scf Michael E Mann@2x

Michael E. Mann

Presidential Distinguished Professor in the Earth and Environmental Science Department at the University of Pennsylvania and the director of the Penn Center for Science, Sustainability and the Media

Subnational Climate Finance About Scf Liesje Mommer

Liesje Mommer

Leading the Wageningen Biodiversity Initiative & Professor Plant Ecology & Nature Conservation at Wageningen University & Research

Sans Titre (11)

Sergey Nuzhdin

Principle Investigator, Nuzhdin Research Lab at University of Southern California

Subnational Climate Finance About Scf Michael Posner@2x

Michael Posner

Professor of Ethics and Finance at NYU’s Stern School of Business

Subnational Climate Finance About Scf Susan Rockefeller

Susan Rockefeller

Founder and Editor-in-Chief of Musings

Subnational Climate Finance About Scf Dr Armando Sardi

Dr. Armando Sardi

Director, The Institute for Cancer Care, Chief of Surgical Oncology, Mercy Medical Center, Baltimore, MD

Subnational Climate Finance About Scf Veronica Scotti@2x

Veronica Scotti

Chairperson Public Sector Solution, Group Managing Director, Swiss Re

A Worldwide approach

The consortium was able to secure 42 Non-Objection Letters (NOL) from emerging countries registered to the GCF.