ImpactAlpha, June 7 – Temasek, the $283 billion sovereign wealth fund in Singapore is standing up GenZero to deploy long-term and flexible capital for technology and nature-based solutions “that can deliver positive climate impact by 2030,” said Temasek’s Frederick Teo.
In a statement, Temasek called the $3.6 billion pledge “an initial commitment.”
GenZero already has invested in U.S.-based Newlight’s methane-based biomaterials, and in energy-efficient cookstoves in partnership with C-Quest Capital.
Last year, Temasek teamed with BlackRock to launch Decarbonization Partners with $300 million toward a $1 billion goal. GenZero also is working with Brookfield Global Transition Fund, which raised $7 billion last year to reduce emissions and energy consumption.
Temasek said natural ecosystems can provide cost-effective climate mitigation for more than one-third of the emissions reductions needed by 2050. GenZero has invested in New Forests Tropical Asia Forest Fund 2 and in Perennial, formerly Crowd Agronomics, which quantifies soil carbon sequestration for farmers.
Sunny George Verghese, co-founder of the Singapore-based food distributor Olam, chairs GenZero’s board.