The Investor Group on Climate Change, which represents institutional investors of over $900bn across the economy, welcomes the announcement of the investment mandate for the Clean Energy Finance Corporation.

The Clean Energy Finance Corporation is one important element of a comprehensive climate policy framework, which includes a carbon price to drive low cost abatement; a Renewable Energy Target to support energy generation; and, financing vehicles that seek to attract private capital to low carbon investments and build capacity in investment markets.

"Organisations like the CEFC can attract and support private sector interest in low carbon investment and address gaps in financial services markets," said Nathan Fabian, Chief Executive of the IGCC. “We think co-financing will quickly become a crucial part of the lowcarbon investment landscape.”

New IGCC reports by the Australian National University on the Mining and Minerals, Property and Construction and Oil and Gas sectors show increasing climate risks for investors. Reports also show that cost effective mitigation and adaptation opportunities are available.

At the Conference of Major Superannuation Funds yesterday in Brisbane, IGCC launched three new reports examining climate change risks and opportunities for investors in Australian industry sectors.

In a first for investors seeking to understand climate impacts, the reports combine comprehensive analysis of climate change risks and adaptation opportunities with energy and carbon risks and mitigation opportunities. The reports show that companies and their investors are already facing climate risks and that they will increase.

The Investor Group on Climate Change (IGCC) today welcomed the Federal Government's decision to maintain the Renewable Energy Target at current 2020 levels. Maintaining the RET will support investor confidence in Australia's renewable energy infrastructure.

“Policy stability and predictability are key to maintaining investor confidence in renewable energy,” said Nathan Fabian, Chief Executive of the IGCC.

IGCC also welcomes Federal Government support for a later review of the RET in 2016. Investors see every policy review as risking a change in policy direction, so clear Government support for the current RET policy.

The First Global Investor Forum on Climate Change on 13-14th June 2013 marks a historic moment in the growing efforts of the international investor community to address climate change. For the first time, members of the four international climate change investor groups, representing over US$20 trillion assets under management globally, will be present in one location, together with leading asset owners, insurance companies and institutional investors from across Asia.

GIC consists of four members: the Asia Investor Group on Climate Change (AIGCC), the Investor Group on Climate Change (IGCC), the Institutional Investors Group on Climate Change (IIGCC) and the Investor Network on Climate Risk (INCR) representing Asia, Australia/New Zealand, Europe and North America respectively.

IGCC welcomes today's Climate Change Authority (CCA) Renewal Energy Target (RET) recommendations in favour of stability in Australia's low carbon policy regime.

“A stable RET, as part of a stable climate policy environment, is critical to support the allocation of investment capital to Australia's low carbon economic transition,” said Mr. Nathan Fabian, Chief Executive of the IGCC.

“By recommending maintenance of the 41,000 GWh large scale renewable target and reducing the frequency of future RET reviews, the CCA has avoided undermining the confidence of investors in the clean energy sector.”