The Fund submitted a report on its activities to UN

On 22 August, Russian Carbon Fund submitted a Communication on Engagement to UN Global Compact, the UN’s largest initiative in corporate and social responsibility. The Fund has been a member of UN Global Compact and its Russian branch, Global Compact Network Russia, since 2016. The report discloses information on the main activities of the Fund since August 2016; contains information on qualitative and quantitative results of its projects.

Within the “Green Breath of the Planet” program, which is aimed at conservation and restoration of forests in Russia through establishing an system of interaction between society, responsible business and the government, the Fund planted more than 110 thousand trees, which became a large contribution to mitigation of the consequences of climate change. Large Russian and international companies took part in the tree-planting events: namely, Alcoa, PepsiCo, Deutsche Bank, Gazprom neft, Bureau Veritas Russia, etc.

In 2016-2017 the program “Business for forest” was supported by the following companies: Alcoa, Analpa, Bloomberg and Siberian Service Company (SSK). The latter took part in greening the museum estate “Arkhangelskoye” and estate “Kuskovo” in the eastern part of Moscow. Together with Alcoa, the Fund planted more than 16 thousands two-year old pine trees and restored four hectares of forest in Odintsovo area of Moscow region.

During the Year of Ecology in Russia, the Fund presented an ambitious project “Forests of the Baikal – natural and climate heritage of the planet” in the Chamber of Commerce and Industry of the Russian Federation. The project for restoration of local forests will be carried out in accordance with the international standards. It will allow counting its results as carbon emission reduction units which the companies can use to meet their climate goals.

The Fund assists in conducting sustainable events in accordance with the international environmental standards. The conference “Sustainable universities for clean future” held in 2015 became the first carbon neutral event in Russia. In 2016, for the second time the forum gained a certificate ISO 20121 “Manager of a sustainable event” issued by Bureau Veritas Certification Rus.

During the Year of Ecology, the Fund took active part in the All-Russian Climate Week, organized a panel discussion “Blockchain in economics, ecology and energy of smart cities” during the Climate Forum of Russian Cities and coorganized the Forum Ecotech-2017, where the final of a contest of young people’s ecostartups and sustainability projects Climatron took place.

The Fund pays great attention to the projects in environmental education. Cooperation with United Company Rusal became one of the most memorable events of the year 2016. The Fund prepared two special projects for the largest aluminum company in the world: an issue of a corporate magazine, dedicated to global warming and sustainable development, and a communication program for the company’s employees “The Clean Step of Rusal. All that you need to know about climate change”.

In 2016, the Fund introduced a textbook on sustainable development of territories “Ecopolis” for pupils of secondary and high school. With the help of an innovative technology of augmented reality and advanced educational practices, the textbook tells the young Moscow citizens about the opportunities for urban sustainable development. PJSC Gazprom neft gave considerable support to the project.

Photo: N. Drozdov, a famous Russian zoologist and TV presenter, at the final of the contest in Moscow. Source: Russia 2018 Local Organising Committee 

The project received positive feedback and was continued in 2018. Within the 2018 FIFA World Cup Russia™, the Fund and Russia 2018 Local Organizing Committee issued “Ecocity-2018” for the pupils of the cities that hosted the World Cup.

The educational program “Ecocity-2018” was implemented in 132 schools of 11 cities which hosted the World Cup 2018 for more than 11000 schoolchildren. Regional centers for supplementary education assisted in running the project. As a result of the educational program, pupils presented their own projects on environmental conservation. A famous Russian zoologist and TV presenter N. Drozdov became an honourable guest and a member of the jury at the final in Moscow, which was held on May 22.

In 2017, the Fund launched a unique educational program – a summer lecture center “Ecopoint” in the park of Artyom Borovik in the South-West of Moscow. This new educational space was created by the Fund with the support of the program of social investments of Gazpromneft “Hometowns”. Every week leading experts in ecology, natural resource management and urban development conducted lectures and master classes for active citizens of the South-West of Moscow. On the territory of the “Ecopoint”, modern eco-infrastructure was installed: containers for separate collection of waste and batteries, bike parking and solar charging stations.

Thanks to Russian Carbon Fund and its partners: RANEPA, SDSN Russia and PJSC Sibur Holding, in 2017 global climate action hackathon #Climathon was held in Russia for the first time. During 24 hours, more than 70 Russian innovators, entrepreneurs, students and experts from five cities brainstormed or developed existing ideas to a prototype stage – this is the format of the hackathon.

Joint work of students-innovators and industry experts led to interesting projects and showed that Russia has talents and technologies for solving global problems. Further development of innovations for closed-loop economy requires infrastructure, favourable economic conditions and synergy between society, business and authorities.

Within the program “Clean technologies”, the Fund gives support to development of clean technologies by supporting promising local initiatives and importing best available foreign technologies.

On 12-16 October 2016, during the first trade fair of BRICS in New Delhi, representatives of the Fund presented Russia’s best available clean technologies for expanding economic, industrial and technological cooperation. Delegation of Russian Carbon Fund held high-level negotiations with three ministers of the Indian government, representatives of leading corporations and academic community. The Fund established diplomatic and trade relations with BRICS countries.

In the same year, the Fund presented Russian innovative projects at the 20th International exhibition of green technologies Ecomondo in Rimini and at China Eco-Development Forum in Beijing.

To attract investments in clean technologies and broaden international cooperation in fighting climate change Russian Carbon Fund developed an Integrated Program for Climate Initiatives and a Carbon register. In addition, a decentralized platform for storing data on carbon units was developed on the basis of “smart contracts” and blockchain technology.

Blockchain platform DAO “Integrated Program for Climate Initiatives” was created to store data on carbon units and transfer them – for example, to offset carbon footprint of goods and services. This instrument can be used by operators and participants of Integrated Program for Climate Initiatives, Carbon register and other programs for reduction of carbon emissions. Introduction of a blockchain platform will allow institutionalizing business environment which operates on the basis of smart contracts, minimizing transaction costs and making the process of issuing and transferring carbon units as transparent as possible.

On 14 March 2017, the first trade in history of carbon units through a blockchain platform was conducted through a digital platform DAO IPCI. Transactions were made by Russian Carbon Fund and a French trader Aera Group which is an investor in Africal environmental projects. 

DAO IPCI made it possible:

  • To commercialize environmental results of various projects, such as modernization of production, energy efficiency, renewable energy, introduction of new materials, restoration of forests;
  • To legalize and to register voluntary climate pledges, which precede compulsory regulations;
  • To create conditions for just competition on the basis of the size of “carbon footprint” of goods and to prevent antidumping measures of jurisdiction with active carbon regulation;
  • To utilize growing investment potential of markets of environmental assets and liabilities, including the market of “green bonds”.

Project DAO IPCI won the first award at an international competition Planet Tech, which gave the Fund an opportunity to participate free of charge upon invitation of Accenture Strategy in a leading startup conference Collision, which was held in New Orleans, USA in May 2017. Later in the same month, the platform was presented during the climate week for innovative financial and market solutions in Barcelona Innovate4Climate. At this international forum, the Fund reached agreements on cooperation with UNFCCC, World Bank, leaders of Verified Carbon Standard, Gold Standard, CarbonTradeXchange and other key participants of climate business community. In July 2017, the Fund presented DAO IPCI at G20 summit in Hamburg and became one of 45 co-founders of Foundations 20 - an international platform for interaction between funds of G20 countries on the issues of sustainable development and low carbon economy.

At G20 summit Russian Carbon Fund’s CEO Alexey Shadrin expressed confidence in Russia’s potential to become an international leader in the global fight against climate change. He believes that by promoting its green technologies to developing markets and by attracting international green investments for modernizing infrastructure Russia can improve its image on the global arena and gain new international partners.