World’s first green climate bond from a Uni

Monash University has issued what they are claiming is the world's first climate green bond from a university, which will contribute to the tertiary institution's net zero emissions target.

The institution raised $218 million to fund low carbon developments.

It was structured to provide investment options in both US and Australian dollars over 15, 17.5 and 20 years, while the bond was also certified by the Climate Bonds Standards Board.

Climate Bonds Initiative's chief executive, Sean Kidney, said the university's climate bond represented best international practice in matching climate and sustainability objectives, with capital raising.

"Monash University has joined the international pacesetters in green finance with this certified climate bond. They are providing leadership by example for both domestic and international tertiary institutions and wider investment sectors," Kidney said.

Monash University's president and vice chancellor, Professor Margaret Gardner, said: "Monash has a responsibility to provide strong and visionary leadership on sustainable development".

"We want our campus network to be exemplars of environmental, social and economic best practice".

Over the next two years Monash University would allocate funds to a portfolio of projects, which met both low carbon building and solar criteria, set by the climate bonds standards.

Second opinions would also be sought by Moody's Investors Services, while Ernst and Young would verify if funds aligned with the climate bonds' standards.