The enabling environment for a Paris-compliant financial system is robust in the Netherlands. The Dutch government offers a wide range of green financial support instruments mostly in the form of grants and tax reliefs. These instruments should primarily increase the deployment of renewable energy and energy efficiency.The DNB shows a strong commitment to greening the financial industry in the Netherlands, which it has manifested by setting up the Sustainable Finance Platform, co-initiating and chairing the international Network on Greening the Financial System (NGFS) and becoming the first central bank to sign the UN Principles on Responsible Investment (PRI). In June 2020, several PMs started an initiative to improve the sustainability of the Dutch financial sector “Van oliedom naar gezond verstand: verduurzaming van de financiële sector”. In 2020, the Dutch government expanded the subsidy program Stimulating Sustainable Energy Production (SDE++).
The explicit commitment of the financial sector to the Paris Agreement has to materialize in the coming years. Some state-owned entities and municipalities have already developed their own climate-related criteria and divestment goals, which can grow into a nation-wide strategy. The further development of sustainable public procurement will help the Netherlands to make sure that public spending drives the Dutch Paris commitments.