Current advances in Carbon Capture, Utilization, And Storage (CCUS)

illuminem summarises for you the essential news of the day, reviewed by our editorial team. Read the full piece on Forbes or enjoy below:

🗞️ Driving the news: Australia’s sustainable finance taxonomy is facing criticism that it could enable greenwashing by classifying the purchase or refinancing of already-green buildings as climate-aligned, even when the transaction delivers no additional emissions reductions

🔭 The context: The taxonomy, released by the Australian Sustainable Finance Institute in 2025 and now being piloted by major banks, super funds and financial institutions, aims to provide a common standard for identifying climate-aligned investments
• Critics argue that financing ownership of buildings that already meet green standards does not itself contribute to decarbonisation
• A 2019 Woolworths green bond provides a precedent: around 86% of its A$400m proceeds financed leases on existing low-carbon stores, while only 14% funded energy-efficiency improvements

🌍 Why it matters: Australia’s impact-investing market has expanded rapidly, making the credibility of sustainable finance labels increasingly important for ensuring capital genuinely contributes to climate outcomes
• Critics also warn of potential conflicts where organisations involved in setting sustainability standards have commercial interests in certifying or marketing qualifying financial products

⏭️ What’s next: ASFI’s new guidance raises the standards required for green buildings but continues to allow refinancing of existing assets, leaving pressure on regulators and industry to demonstrate that “climate-aligned” financing results in meaningful additional emissions reductions

📈 One stat: Australia’s impact-investing market grew from A$19.9bn in 2020 to A$157bn in 2025, with about 93% of the increase coming from green, social and sustainability bonds

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