About the Apparel Impact Institute: Aii identifies, validates, funds, and scales proven quality solutions to accelerate positive impact in the apparel and footwear industry. Aii programs focus on areas that result in positive environmental impact from the production of apparel and footwear products to improve the industry. To learn more about this program, email Lewis Perkins
As an Addendum to the WRI & Aii joint report on “Apparel & Footwear Sector Roadmap to Net Zero Emissions,” Aii is investigating the total financial funding/ investment required to achieve the implementation recommendations from the report, as well as identifying the most promising areas for financial capital to play a role. We believe this work will provide direction for future pilots of financial tools, with the ultimate goal of creating a larger role for financial capital in facilitating the energy transition of the apparel supply chain.
Part 1. “Size of the Prize” Analysis on Key Reduction Opportunities
Aii team, along with research partners, will quantify the estimated financial investment required to decarbonize the apparel & footwear supply chain. For example:
Part 2. Mapping Available Sustainable Financial Tools and Key Barriers / Accelerants
Aii team will map the landscape of currently available financial tools/instruments that manufacturers/brands can access (e.g. supplier trade finance, green bonds) as well as identify promising new financial tools/structures. Additional value will come from bank and industry perspectives on the challenges and accelerants to broader adoption of these tools (e.g. loan must be at least a certain size for bank underwriting). Examples of apparel brands that have utilized these financial tools will also be included (e.g. Walmart, Puma).
|Methodology review, identify interviewees and data sources
|Data collection and stakeholder interviews
|Final stakeholder interviews and Size of the Prize modeling
|Draft report and initial conclusions
|Stakeholder review and comment period
|Finalize report and conclusions, prepare for public release
|Report released publicly, webinar/panel event (TBD)
This project is funded by HSBC