Transport BEST PRACTICE FOR ISSUING GREEN BONDS

The document provides a framework for issuers to align transport-sector green bonds with a 1.5°C warming limit. It details a three-step certification process (pre-issuance, issuance, and post-issuance), defines eligible low-carbon transport assets, and establishes specific emission thresholds for passenger and freight transport. It highlights Brazil as a growing market where transport is the third most financed taxonomy category for green bonds (10%), and provides a case study of Rumo S.A. regarding rail freight modernisation.

• The Climate Bonds Standard and Certification Scheme is a voluntary labelling system designed to align investments with the Paris Climate Agreement's goal of limiting global warming to 1.5 degrees celsius. As of January 2023, the scheme has been applied to hundreds of debt instruments totaling USD 260 billion equivalent.
• In Brazil, the transport sector represents 10% of green bond financing, making it the third most financed taxonomy category. The document notes that by December 2021, only four green issuances were solely allocated to the sector, while seven others had partial allocations.
• Certification for transport bonds requires a three-step process: pre-issuance (identifying eligible uses, creating a framework, and obtaining a verification report), issuance (engaging investors and listing on platforms like Nasdaq or IADB), and post-issuance (submitting a verification report within 12-24 months and annual update reports thereafter).
• Eligible transport projects must meet specific mitigation thresholds and disclosure requirements. For passenger transport, the limit is 50gCO2 per p-km until 2026, after which only zero-emission is eligible. For freight, the limit is 25gCO2 per t-km until 2030, decreasing to 21gCO2 by 2050 and 18gCO2 after 2050. Additionally, fossil fuel transport must constitute less than 25% of cargo or rolling-stock, and vehicles powered exclusively by biofuels are excluded.
• The document cites Rumo S.A. as a case study for a Certified Bond focused on the modernisation of railway transportation, including the acquisition of rail freight vehicles and the expansion of railway lines, provided they meet a universal emission limit of 25 gCO2 per t-km for activities occurring in 2020.

APA

Climate Bonds Initiative (n.d.). Transport BEST PRACTICE FOR ISSUING GREEN BONDS. https://www.climatebonds.net/files/drupal-files/files/Climate%20Bonds%20Transport%20Brochure_21%20March%202023_EN.pdf

Chicago

Climate Bonds Initiative. Transport BEST PRACTICE FOR ISSUING GREEN BONDS. n.d. https://www.climatebonds.net/files/drupal-files/files/Climate%20Bonds%20Transport%20Brochure_21%20March%202023_EN.pdf.

Wikipedia

{{cite report |author=Climate Bonds Initiative |title=Transport BEST PRACTICE FOR ISSUING GREEN BONDS |url=https://www.climatebonds.net/files/drupal-files/files/Climate%20Bonds%20Transport%20Brochure_21%20March%202023_EN.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{climatebondsinitiativendtransport, author = {{Climate Bonds Initiative}}, title = {{Transport BEST PRACTICE FOR ISSUING GREEN BONDS}}, institution = {Climate Bonds Initiative}, url = {https://www.climatebonds.net/files/drupal-files/files/Climate%20Bonds%20Transport%20Brochure_21%20March%202023_EN.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }