The climate-change-related transition risk associated with real estate exposures in the Belgian financial sector
Climate change and the transition to a more sustainable low-carbon economy have the potential to greatly impact the economy and financial system and are thus a source of financial risks. The Belgian financial sector should therefore measure, assess, manage and also mitigate these risks. As buildings are contributing heavily to greenhouse gas emissions, it is highly probable that additional measures to increase the energy performance of buildings will be taken. To the extent that such measures are introduced late and would therefore have to be implemented abruptly, this could generate risks for energy-inefficient real estate exposures of the financial sector. The NBB therefore requires financial institutions to gather information on the energy efficiency of their real estate exposures, as will be explained in further detail by Brenda Van Tendeloo and Alexandre Francart from the National Bank of Belgium (NBB). Elisabeth Minjauw, program Director at BNPPF and President at the European Mortgage Federation (EMF), will discuss how the financial sector is dealing with these risks and what action it is taking to mitigate them. And finally, Luca Bertalot, Secretary General of the European Mortgage Federation – European Covered Bond Council (EMF-ECBC) and coordinator of the Energy Efficient Mortgage Initiative, will explain their various efforts to increase the energy efficiency of buildings across Europe.
Brenda Van Tendeloo has been working with the prudential supervisor (first CBFA, as of 2011 NBB) since 2008. She has been working on climate-related risks and sustainable finance within the prudential policy and financial stability department of the NBB over the last 4 years. To this end, she is also participating in several national, European and international working groups of institutions and networks. She is also co-chair of the cross- departmental Climate Change and Environmental Risk Hub within the NBB.
Alexandre Francart is senior coordinator for macroprudential policy at the National Bank of Belgium where he is active since 2008 in the Financial Stability Department. Among other things, he specialized in the analysis of developments in the real estate and mortgage markets and in macroprudential policy. He is a member of various financial stability committees at the European level (ECB and ESRB).
Elisabeth Minjauw is working for more than 15 years with BNP Paribas Fortis and is responsible for the implementation of all sustainable and legislative changes in the field of consumer and mortgage credits in the retail segment.
She is representing the bank in Febelfin, the Belgian banking federation, in which she is president of the commission of Credit and Economic Affairs and heading the Retail Credit Sustainable loans Committee which reunites 11 Belgian credit institutions.
She is President of the European Mortgage Federation, whom she has been closely collaborating with, over the past 4 years.
Luca Bertalot is Secretary General of the European Mortgage Federation – European Covered Bond Council (EMF-ECBC), representing the interests of EU mortgage lenders and the covered bond community in discussions with the European Institutions and stakeholders in general on all issues relating to the retail and funding sides of the mortgage business.
In his capacity as EMF-ECBC Secretary General, Luca is also Consortium Coordinator for the Energy Efficient Mortgages Initiative (EEMI). In addition, Luca is a member of the European Commission’s Sustainable Energy Investment (SEI) Forum’s Advisory Group and the Advisory Board of the Ca’ Foscari University of Venice’s Economics Department.