Development of green issuanceOn September 4th 2009, the Norwegian government introduced an amendment to The Planning and Building Act of June 2008 to implement guidelines for addressing climate change at the local government level.
According to the amendment, in effect from January 2010, municipalities and counties must now draw up an energy and climate plan as part of their annual budgets. Plans must include information about carbon emissions in municipalities, information about energy systems, emission forecasts and emission reduction targets.
The central government’s of focus areas include transport, energy consumption, agricultural measures, waste management and the environmental impact of municipal procurement operations. It was in relation to these projects KBN wanted to take action and started to offer the green interest rate.
In June 2016 KBN launched its updated Green Bond framework and will continue to offer a discounted lending rate to projects satisfying the criterias in the green lending programme.
Read more: KBN Green Bond Framework