A day of pivotal shifts in ESG investing, with banking alliances unraveling, governments tightening clean energy rules, and new capital strategies emerging for sustainable infrastructure.
At a glance – The last 24 hours have seen a dramatic realignment in the global ESG and green capital landscape, marked by the sudden dissolution of the Net-Zero Banking Alliance (NZBA), a major recalibration of India’s solar procurement policy, and Ireland’s push for electrification of commercial fleets. These developments underscore the volatility and dynamism of sustainable finance, as regulatory, policy, and market forces reshape the flow of climate-positive capital worldwide. The NZBA’s collapse, in particular, signals a potential fragmentation of banking sector climate commitments, while India’s solar policy reset and Ireland’s new incentives for fleet electrification highlight the growing influence of local content rules and targeted public funding in driving the clean transition.
Technology advance – The Sustainable Energy Authority of Ireland (SEAI) has launched a new grant program offering up to €8,000 per company to support the electrification of commercial vehicle fleets. The initiative, announced October 3, 2025, includes a comprehensive assessment of each applicant’s fleet, tailored recommendations for which vehicles and routes to electrify, and guidance on the necessary charging infrastructure. This move is designed to accelerate Ireland’s transition to low-emission transport and is part of a broader strategy to address the country’s air quality challenges and meet EU climate targets. The SEAI program is expected to catalyze significant private investment in electric vehicles and related infrastructure, supporting Ireland’s goal to decarbonize its transport sector by 2030.
Partnerships – In Thailand, leading industrial groups are urging the newly installed government to fast-track the passage of the Climate Change Act and finalize the Power Development Plan (PDP). At the Eco-Business “Unlocking Capital for Sustainability 2025” summit in Bangkok, Dr. Thanyaporn Krichtitayawuth of the United Nations Global Compact Network Thailand emphasized that regulatory uncertainty has been the primary barrier to increased private investment in decarbonization. The anticipated regulatory frameworks are expected to unlock new capital flows for renewable energy and climate technology projects, fostering partnerships between Thai corporations, international investors, and technology providers. The business community’s coordinated push for legislative clarity reflects a growing consensus that robust policy is essential to mobilize ESG capital at scale in Southeast Asia.
Acquisitions/expansions – A new academic study from Dublin City University’s Next Generation Energy Systems (NexSys) program has identified limited port capacity as a critical bottleneck for Ireland’s planned offshore renewable wind energy (ORE) expansion. The research calls for urgent capital investment and innovative funding mechanisms to develop port infrastructure capable of supporting large-scale ORE projects. Without these upgrades, Ireland risks missing its 2030 renewable energy targets and forfeiting billions in potential green investment. The report has prompted calls for public-private partnerships and green bond issuances to finance the necessary expansions, with several Irish ports now preparing proposals to attract both domestic and international capital for infrastructure upgrades.
Regulatory/policy – India’s Ministry of New and Renewable Energy issued a directive on October 3, 2025, instructing renewable energy agencies to cancel and reissue solar project tenders that were rushed through in an attempt to circumvent new local content requirements. Effective June 1, 2025, all government-backed solar projects must use domestically manufactured modules and cells, a policy shift aimed at boosting India’s clean energy manufacturing base and reducing reliance on Chinese imports. The ministry’s intervention follows reports that some agencies had allowed only seven days for bid submissions, raising concerns about transparency and compliance. The reset is expected to delay some projects but ultimately strengthen India’s domestic solar supply chain and align capital flows with national industrial policy objectives.
Finance/business – The collapse of the Net-Zero Banking Alliance, announced after a decisive member vote, marks a watershed moment for ESG investing in the financial sector. Established in 2021 as the principal forum for banks to coordinate climate action, the NZBA unraveled amid a wave of high-profile member exits and mounting antitrust scrutiny from U.S. lawmakers. The group’s dissolution leaves a vacuum in global banking sector climate governance, with its resources remaining available but no longer under a unified organizational structure. The fallout is expected to trigger a reassessment of climate commitments and reporting frameworks across major financial institutions, potentially fragmenting green capital flows and complicating efforts to standardize ESG metrics in banking. Industry observers are watching closely to see whether new alliances or regulatory-driven frameworks will emerge to fill the gap left by the NZBA’s demise.
Sources: Impakter, charteredaccountants.ie, Eco-Business, Dublin City University, India Ministry of New and Renewable Energy, ESG Dive
