ForestAu is committed to addressing multiple aspects of environmental impact in order to contribute to the achievement of all 17 Sustainable Development Goals (SDGs).
The organization recognizes that various factors, such as access to clean water, adequate nutrition, decent working conditions, sustainable economic growth, infrastructure development, and technological innovation, play crucial roles in sustainable development. To effectively tackle these challenges, ForestAu implements projects that encompass all SDGs, rather than focusing on a single goal. By adopting a holistic approach, the organization aims to create synergies between different objectives and maximize the positive impact on communities and the environment.
One of ForestAu's key strategies is prioritization
Recognizing the interconnectedness of the SDGs, the organization ensures a solid foundation for progress by addressing basic necessities first. For example, providing access to clean water and nourishment (SDG 2) is essential for promoting health, education, and economic opportunities, which in turn support other SDGs like poverty eradication (SDG 1) and quality education (SDG 4).
ForestAu also emphasizes the importance of having a clear view of the end goal. By aligning project objectives with the SDGs, the organization can work towards specific targets and milestones. This helps guide decision-making processes, resource allocation, and project implementation, ensuring that efforts are effectively contributing to sustainable development.
Furthermore, ForestAu certifies investors with Environmental Credits, which serves as a mechanism to encourage and reward sustainable investments. These credits provide a tangible measure of the positive environmental impact generated by investors' contributions. By certifying investors, ForestAu promotes accountability and transparency in environmental initiatives while incentivizing sustainable practices and funding for projects aligned with the SDGs.
Overall, ForestAu aims to improve and prolong the impact of its projects by considering the broader context of the SDGs. By addressing multiple dimensions of environmental impact and employing strategies such as prioritization, goal alignment, and investor certification, the organization strives to create sustainable and comprehensive solutions that contribute to the achievement of the SDGs.
ForestAu Green Projects
ForestAu's green projects undergo a rigorous analysis by the specialist team to ensure they meet the requirements for inclusion in the fund's portfolio. Here's a breakdown of the process:
Compliance with ESG Guidelines: The assessment starts by evaluating how the prospect aligns with Environmental, Social, and Governance (ESG) guidelines. ForestAu uses the 17 SDGs as parameters to gauge the project's potential impact across various aspects of sustainable development. The team assesses the project's contribution to the SDGs, looking for meaningful and measurable positive impacts. Projects that are considered regular investments or "business as usual" are excluded from further analysis, as ForestAu seeks projects that go beyond standard practices and make a significant difference in achieving the SDGs.
Financial Viability Analysis: Once a prospect demonstrates a level of compliance with the ESG guidelines, it advances to the financial viability analysis. This analysis is crucial in determining whether the project is economically sustainable and can generate positive financial returns. ForestAu evaluates the project's financial projections, cost structure, revenue potential, and potential risks. The goal is to ensure that the project not only aligns with sustainable development goals but also offers a viable and profitable investment opportunity.
By combining the assessment of compliance with ESG guidelines and the financial viability analysis, ForestAu aims to identify projects that have a positive impact on the environment and society while also being economically prosperous. This dual focus ensures that the projects in ForestAu's portfolio contribute to sustainable development goals and provide attractive investment opportunities for stakeholders.
