Apple's $2.2 billion 'Green Bond' issue will fund carbon emission reductions

Posted:
in General Discussion edited November 2019
Apple has just issued a $2.2 billion "Green Bond" offering in Europe, with the proceeds devoted to global initiatives to lower carbon emissions and other environmentally conscious programs.

Solar arrays for iCloud, paid for in part with previous Green Bonds
Solar arrays for iCloud, paid for in part with previous Green Bonds


The new debt sale nearly doubles what Apple has done in the past, bringing the total issued over the last few years to $4.7 billion. Apple says that previous Green Bond allocations have been doled out to 40 environmental programs across the planet. About 66 percent of Apple's renewable energy comes from these investments.

Specific energy projects funded by Green Bonds include aquifers in Oregon, solar rooftop projects in Japan. Practical applications for Apple include the development of the 100% recycled aluminum alloy in the MacBook Air and Mac mini, expansion of Apple's environmental testing lab in Cupertino, plus iPhone disassembly robots Daisy and Liam.





"Apple is unwavering in its commitment to addressing the urgent threat of climate change. The time for action is now. By issuing an additional $2.2 billion in green bonds, we will accelerate our work to lower carbon emissions across our supply chain and beyond, building on our successful transition to 100% renewable energy. Apple's progress is proof positive that businesses don't have to choose between what's right for the planet and a healthy bottom line."

Like Apple's other bond offerings, the Green Bonds are functionally used to borrow money from investors seeking a safe investment. Green Bond offerings are specifically committed to allocating funds for use in environmental projects.

Apple's first green bonds were issued in a Feb. 2016 sale worth $1.5 billion. In March 2017, the company broke down how the first $441.6 million of that was spent, noting that most of it went towards buildings and renewable energy.

Apple was one of many U.S. entities that vowed to continue supporting the Paris climate accord, despite President Donald Trump announcing the country would pull out.

Comments

  • Reply 1 of 9
    Green is green. At Apple's cost of funds, they can fund project with long paybacks. Probably achieving 'alpha' returns in the long run.

    minicoffee
  • Reply 2 of 9
    Where are their equally unrelated to Apple’s core business competencies big investments in next-generation nuclear?
    edited November 2019
  • Reply 3 of 9
    spice-boyspice-boy Posts: 1,450member
    Green is green. At Apple's cost of funds, they can fund project with long paybacks. Probably achieving 'alpha' returns in the long run.

    Paybacks as in the people of earth my have a planet to live on in the future? I know Apple is a business and profits are mostly why it exist but remember you can only make a profit if you have a breathing customer.  
    tmayinfinate13propodminicoffee
  • Reply 4 of 9
    mknelsonmknelson Posts: 1,128member
    Where are their equally unrelated to Apple’s core business competencies big investments in next-generation nuclear?
    Apple is probably looking for shorter term changes.

    The government of Saskatchewan surprised a lot of folks a few weeks back by discussing Nuclear to replace Coal (already being phased out) and Natural Gas generation, but acknowledged that Nuclear would be 20-30 years to get approval, build, etc. (Much Uranium is mined in SK - there's even a Uranium City).
    minicoffee
  • Reply 5 of 9
    If this money is to be spent in Europe then Poland, Belarus and Ukraine would be good places to start.
    A very high proportion of the Electricity generated in Poland comes from Coal and often not very good coal (high in Sulphur) at that.
    h2pminicoffee
  • Reply 6 of 9
    Rayz2016Rayz2016 Posts: 6,957member
    Where are their equally unrelated to Apple’s core business competencies big investments in next-generation nuclear?
    Probably don't want to pour cash into the next-generation nuclear disaster.
    propod
  • Reply 7 of 9
    smalmsmalm Posts: 677member
    If this money is to be spent in Europe then Poland, Belarus and Ukraine would be good places to start.
    A very high proportion of the Electricity generated in Poland comes from Coal and often not very good coal (high in Sulphur) at that.
    Flue-gas desulfurization was invented some 90 years ago. Maybe you missed that...
  • Reply 8 of 9
    toddzrxtoddzrx Posts: 254member
    Rayz2016 said:
    Where are their equally unrelated to Apple’s core business competencies big investments in next-generation nuclear?
    Probably don't want to pour cash into the next-generation nuclear disaster.
    Please educate yourself on nuclear before posting ignorant comments like this. 
    jony0
  • Reply 9 of 9
    irelandireland Posts: 17,799member
    Give the land for a nominal fee—or for free—to the right kind of farmer who will bring in sheep and plan the grazing around those solar panels to regreen those yellow areas with nature’s organic matter and to help pull carbon down into those soils: https://vimeo.com/80518559
    edited November 2019 minicoffee
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