News in the spotlight: Bloomberg acquires Viridios AI´s Carbon Credit Data and Analytics platform
Bloomberg L.P. and Viridios Group have finalized a strategic transaction to enhance Bloomberg’s carbon market data and analytics. Ownership of Viridios AI’s voluntary carbon credit dataset and analytics will transfer to Bloomberg, along with key team members. Eddie Listorti, CEO of Viridios Group, praised the team’s five years of innovative work on this unique dataset.
Regulatory & Law
The EU Platform on Sustainable Finance has published a proposal for the categorization of SFDR products
The EU Platform on Sustainable Finance has proposed a categorization scheme for products under the SFDR to align with EU sustainability goals and investor preferences. The scheme includes three categories: Sustainable (taxonomy-aligned or sustainable investments without harmful activities), Transition (investments aiding the transition to net-zero), and ESG Collection (products improving environmental or social performance while excluding harmful activities). Unclassified products fall outside these categories. The proposal emphasizes measurable criteria, mandatory disclosures, and alignment with the EU Taxonomy, recommending further testing to refine thresholds and criteria.
EFRAG releases the Voluntary Sustainability Reporting Standard for non-listed SMEs (VSME)
EFRAG has released its technical advice on the Voluntary Sustainability Reporting Standard for non-listed micro, small, and medium-sized enterprises (SMEs), following a public consultation from January to May 2024. This standard, developed at the European Commission’s request, aims to help SMEs access sustainable finance by providing standardized reporting on sustainability, simplifying the current fragmented ESG data requests. It includes a Basic and a Comprehensive Module to address most disclosure needs from business partners such as banks, investors, and large companies. The VSME is designed to reduce reporting burdens and open up new opportunities for SMEs in financing and sustainability transitions. In 2025, EFRAG plans to support the uptake of the VSME with digital tools, guides, and educational materials.
IOSCO launches a new network to support the adoption of the ISSB Standards in Emerging Markets
IOSCO’s Growth and Emerging Markets Committee (GEMC) has launched a network to support the adoption of ISSB Standards in 31 jurisdictions. The network helps emerging markets implement global sustainability reporting standards through capacity building and regional information sharing. Endorsed by IOSCO in 2023, these standards promote consistent sustainability disclosures. The initiative covers over half the world’s population and significant shares of global GDP and market capitalization. GEMC collaborates with the ISSB and World Bank to provide technical assistance, aligning local practices with global standards to benefit markets worldwide.
U.S. Department of the Treasury Releases Final Rules for Clean Hydrogen Production Tax Credit
The U.S. Department of the Treasury has released final rules for the Clean Hydrogen Production Tax Credit (Section 45V) under the Inflation Reduction Act. The new regulations offer flexibility and clarity for hydrogen producers, particularly those using renewable energy, natural gas with carbon capture, and renewable natural gas (RNG). To qualify for the full credit, projects must meet emissions standards and prevailing wage requirements. The rules also provide pathways for electrolytic hydrogen and methane-based hydrogen, with adjustments to reflect new clean power generation, carbon capture, and accurate methane leakage rates. This framework aims to accelerate clean hydrogen production and job creation in key industries while ensuring adherence to environmental standards. The Treasury and IRS have incorporated feedback from stakeholders, enhancing investment certainty and driving the growth of the hydrogen industry.
Green Bond & ESG Bond Issuances
Council of Europe Development Bank (CEB) issues GBP 300m social inclusion bond
The Council of Europe Development Bank (CEB) issued its debut GBP 300 million Social Inclusion Bond Benchmark, maturing in January 2028, marking its first public benchmark of 2025. This is the CEB’s 20th Social Inclusion Bond and the first GBP-denominated social-labelled benchmark in the SSA market since July 2023. The bond attracted strong investor demand, with the orderbook exceeding GBP 380 million, enabling a final spread of SONIA MS+32bps and a reoffer price of 99.857%. Priced on January 2, the bond offers a 4.375% annual coupon and a 4.427% yield. This issuance strategically extends the CEB’s GBP curve, appealing to investors with its attractive spread and tenor.
Products and Services
Bloomberg acquires Viridios AI´s Carbon Credit Data and Analytics platform
Bloomberg L.P. and Viridios Group have finalized a strategic transaction to enhance Bloomberg’s carbon market data and analytics. Ownership of Viridios AI’s voluntary carbon credit dataset and analytics will transfer to Bloomberg, along with key team members. Eddie Listorti, CEO of Viridios Group, praised the team’s five years of innovative work on this unique dataset. Emilie Gallagher, Global Head of Commodities at Bloomberg, highlighted the value of this acquisition for expanding Bloomberg’s offerings in carbon markets. The partnership aims to provide high-quality data and insights for navigating evolving carbon markets. This move strengthens Bloomberg’s leadership in carbon credit analytics. The collaboration underscores a shared commitment to innovation in sustainable finance.
Norwegian investor Equinor has secured financing of USD 3bn for its Empire Wind 1 project
Equinor’s Empire Wind 1 project in the US has secured over USD 3 billion in project financing, with financial close achieved in December 2024. The project, set to power 500,000 New York homes by 2027, represents a total investment of approximately USD 5 billion, including expected tax credits. Located 15-30 miles southeast of Long Island, Empire Wind 1 will deliver 810 MW to the New York City grid and create over 1,000 union jobs during construction. Equinor plans to farm down its stake to enhance value and reduce exposure. Jens Økland, acting EVP for Renewables, emphasized the project’s value-creation potential, while Molly Morris, SVP for Renewables in Americas, highlighted its role in strengthening US energy security and economic growth. The South Brooklyn Marine Terminal redevelopment is already employing over 1,000 workers. Strong lender interest allowed the project to secure competitive financing terms.
Net Zero Commitments
Morgan Stanley, Citi Group and Bank of America (BofA) exist Net-Zero Banking Alliance (NZBA)
Morgan Stanley, Citigroup, and Bank of America have recently exited the UN-backed Net-Zero Banking Alliance (NZBA), following similar moves by Goldman Sachs and Wells Fargo. The NZBA, part of the Glasgow Financial Alliance for Net Zero, aims to align the financial sector’s activities with the Paris Climate Agreement. These exits come amid increasing pressure from Republican lawmakers, who criticize ESG policies and climate-focused alliances. Despite leaving, all three banks reaffirmed their commitment to achieving net-zero goals independently. Analysts suggest that regulatory requirements for sustainability have reduced the necessity of participating in such groups. Republican-led probes have also scrutinized NZBA members for allegedly restricting credit to the oil industry.