California IBank Commits $25 Million to Wildfire Risk Reduction Efforts
The funds will support forest restoration and biomass technologies through the California Wildfire Innovation Fund.
- By Robert Yaniz Jr.
- Sep 13, 2024
In an effort to tackle the state’s wildfire crisis, California’s Infrastructure and Economic Development Bank (IBank) has invested $25 million in the California Wildfire Innovation Fund. This investment, part of the state's Climate Catalyst Revolving Loan Fund, aims to support efforts to restore forests, reduce wildfire risks and implement new biomass technologies.
The Climate Catalyst Revolving Loan Fund was established to finance crucial climate solutions, offering flexible, low-cost loans to public and private entities. IBank's inaugural investment in the fund supports the California Wildfire Innovation Fund—a project managed by conservation non-profit Blue Forest—which aims to address wildfire risks through forest restoration and by encouraging private sector investment in solutions like wood utilization.
“Catastrophic wildfires are one of the most devastating manifestations of climate change in California,” IBank Executive Director Scott Wu said in a statement. “We are excited to announce this Climate Catalyst Fund commitment, providing the public investment needed to accelerate projects and promote innovation in wildfire threat reduction, while building key partnerships with private capital to promote the state’s goals.”
The partnership also includes the CSAA Insurance Group, one of California's largest property insurers. Together, IBank and CSAA aim to advance forest health initiatives that will reduce wildfire threats and contribute to the state's carbon neutrality goals by 2045.
“The message from California’s policy leadership in addressing the wildfire crisis is clear: governments at every level must do more, faster, and at a sustained pace, and we need partnerships with the private sector,” Dan Adler, IBank’s Deputy Director for Climate Finance, said in a statement. “The same is true for climate solutions across the board – governments can help create markets that the private sector can invest in and provide strategic capital to help those markets grow. Our new partnership with Blue Forest and CSAA is a perfect example of these principles, and a great example of what our Climate Catalyst Fund is intended to achieve.”
The $25 million contribution from IBank, combined with CSAA's support, is expected to drive further investment in innovative forest restoration and resilience projects.
About the Author
Robert Yaniz Jr. is the Content Editor for Environmental Protection.