Piraeus Bank is the 2ndlargest
bank in Greece, with particular know-how in the areas of medium-sized and small
enterprises, consumer and mortgage credit, green banking, agricultural banking
(following the recent acquisition of ATEbank), capital markets investment
banking, and leasing.
During
2010-2012, Piraeus Bank ran the climabiz project (co-funded by the European
Union through the financial instrument LIFE+). In the context of this project,
Piraeus Bank developed the Climate Risk Management Model that allows for a fast
and accurate calculation of climate risks and opportunities, as well as
adaptation costs for Greek enterprises.
The
Model is the result of a two year research work and is based on climatic
forecasting models for Greece and the broader region. It can measure, in
monetary terms, climate risks for businesses in the sectors of manufacturing,
energy production, tourism, tertiary sector, agriculture and maritime
transportation. Additionally, it can estimate, for the above sectors, the cost
of adaptation practices to counter the impacts of climate change.
According
to the results of this research, the most common types of risks include increase
of operational costs due to the rise in fuel and electricity prices, the
purchase of carbon emission allowances, the increase of raw material prices;
whereas the opportunities include the increase in sales attributed to the new
climatic conditions (e.g. more soft drinks consumption due to extended warmer
days). Adaptation solutions tested by the Model involve energy saving practices
in buildings (hotels, offices, hospitals), as well as industries, especially in
regards to their production processes.
Piraeus
Bank through its initiative “Climate Drives Business” is providing consulting
services to clients, regarding climate risks and opportunities with the use of
the Model. After running all necessary calculations on the Model, a full tailor
made consultation as well as a set of potential solutions with a cost benefit
analysis for adapting to climate change is provided to the clients.
Piraeus
Bank strongly believes that this Model can provide an insight in the tangible
consequences of climate change and a way forward, especially for small business
that face today serious financial problems and seek viable solutions.
More
information about the climabiz project can be found atwww.climabiz.gr.