When Italian energy giant Enel announced in April that it had failed to meet the carbon emissions reduction goals in a third of its sustainability linked bonds (SLB), it exposed significant deficiencies in a once-coveted form of loan aimed at reining in climate-altering carbon emissions.
It also raised concerns about whether companies such as Enel and the banks that underwrite the sustainability linked bonds were truly interested in combating climate change or in merely making misleading claims of being environmentally friendly, a practice known as greenwashing.
