Temasek allocates $3.6b for eco-friendly investments

Singapore-based investment company Temasek Holdings has pledged S$5 billion (US$3.6 billion) to launch GenZero, an investment platform committed to global decarbonization.

GenZero CEO-designate Frederick Teo (left) and Temasek International chief sustainability officer Steve Howard / Photo credit: Temasek

GenZero will offer long-term and flexible capital to companies from the early to mature stages under three areas: technology-based solutions, nature-based solutions, and carbon ecosystem enablers.

Current Temasek International managing director of sustainable solutions Frederick Teo will be leading GenZero as CEO-designate, fully transitioning into this role by July 1, 2022. Olam Group CEO Sunny Verghese will helm the board and work alongside fellow members Goh Swee Chen, Steve Howard, Ruth Nussbaum, and Alan Thompson.

GenZero has already invested in US-based biomaterial producer Newlight and is collaborating with social impact project developer C-Quest Capital to distribute energy-efficient cookstoves to rural households in Southeast Asia.

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The investment platform is also working with the Temasek-BlackRock joint venture Decarbonization Partners and Brookfield Global Transition Fund to support decarbonization and reduced-emissions solutions.

In its bid to support carbon ecosystem enablers, GenZero has invested in climate solutions firm South Pole, which aids organizations in reducing emissions; Asia-based Climate Impact X, a global marketplace and exchange for high-quality carbon credits; and US-based Perennial, which uses AI to measure carbon sequestration on farm land.

Currency converted from Singapore dollars to US dollars: US$1 = S$1.37