Resilience bonds


A green bond” is an instru­ment made avail­able on the pub­lic mar­ket by a pub­lic enti­ty or com­pa­ny to fund envi­ron­men­tal projects, such as, for exam­ple, the devel­op­ment of renew­able ener­gies, the improve­ment of ener­gy effi­cien­cy, or the devel­op­ment of trans­port infra­struc­ture with low GHG emis­sions (https://​www​.con​nais​sancedesen​er​gies​.org/​q​u​e​s​t​-​c​e​-​q​u​u​n​e​-​o​b​l​i​g​a​t​i​o​n​-​v​e​r​t​e​-​170504).

If the Province of Que­bec had sold $500 mil­lion in bonds in 2017, its pub­lic mar­ket would have been able to fund $1.1 bil­lion in projects, includ­ing the Azur sub­way, hydrid bus­es and infra­struc­ture repairs. 

How­ev­er, the emis­sion of resilience bonds rais­es three fun­da­men­tal ques­tions: How are they dif­fer­ent from nor­mal bonds? How should a mar­ket for this type of pub­lic instru­ment be designed for Cana­di­an cities? More recent­ly, the cre­ation of resilience bonds has raised a prob­lem of mea­sure­ment. How do we prop­er­ly eval­u­ate progress made by a gov­ern­ment on resilience? This research project aims to answer these questions.