Climate Circle Q&A With Cofounders Andre Fernandez and Rade Kovacevic
-
Andre: In 2017, my 'home' country of Antigua & Barbuda (sister islands) where I was raised, was devastated by category 5 Hurricane Irma. Two weeks later, Dominica, the island where I was born, was devastated by another category 5 hurricane, Maria. The impacts were impossible to ignore and are only expected to get worse over time, as the frequency and intensity of hurricanes are increasing due to global warming. Taking action began to feel like a personal responsibility. A few years later, as a group of us exited our previous business, there was only one option: build something together to help address this.
Rade: As a founding team, we had experience starting businesses and scaling them rapidly in fragmented markets with rapidly evolving regulatory environments. After in-depth research on how we could make an impact on the fight against climate change, a white paper by Mark Carney (former Governor of Bank of England and Bank of Canada) on the need for large enterprises to decarbonize while simultaneously establishing and funding the voluntary carbon market stood out. Decarbonization was a clear area where we could apply our experiences to drive toward the goal of limiting global warming to 1.5°C.
-
Rade: We're here to make a meaningful impact in the fight against climate change, providing clear solutions that enterprises can implement now. So many business leaders want to do the right thing; they just need the tools to take those impactful actions. Through our work with our partners, we're able to reduce and remove carbon from the atmosphere, protect nature, and implement co-benefits for communities on the ground.
Andre: The ultimate goal is to limit global warming to 1.5°C, to cap the disastrous effects of climate change and help those living in areas prone to natural disasters to preserve their quality of life.
-
Andre: The broader economic market is still short term focused with an emphasis on quarterly or annual results which means there is often a disconnect between what we need to do over the long term and how employees are incentivized to run organizations.
Rade: So many people care about the earth and want to take action to protect it — and you can feel that passion when talking to them. We've had to find ways to drive that alignment, where folks can see the strategic value to their businesses of making investments in decarbonization and protection of nature now, rather than as simply a new cost center. It's a journey for each organization to go through, and building those relationships and strategies together takes time — but it's one of the most important things we do. For example, many companies think of carbon offsetting as something they will do in 2030 to align with milestones they have set for carbon reduction. What they miss is that the data says those that put an actual price on carbon — not just a theoretical one — decarbonize their operations at a much higher rate, saving them money in the long term and driving investment in solutions now.
-
Andre: Climate work is fairly new to me. I thought about pursuing a master's in sustainability but was told there was no viable career path if I did so. Instead, I opted for an MBA to combine my technical engineering undergraduate degree with business knowledge, and then went into finance and operations before turning to climate. Perhaps I would have arrived here sooner if I didn't listen to those who said there would be no viable career path, but either way, I'm grateful to be here now.
Rade: Our prior work showed us the material impact we could have on global policies and local communities through building a mission-oriented business. A platform that aligns financial, stakeholder and community interests is very powerful. We figured applying this to climate action would be a natural next place to put our efforts.
-
Andre: My favorite moment of this journey has been spending time in the communities we invest in. I can perfectly remember a moment in the Yucatan where I was out on an old wooden boat with a local Ejidotarian. She was showing me mangroves around her community that were centuries old but were being cut down to make coal as a form of income. The locals didn't have a way to generate income if they protected the mangrove, but we had a solution where we could accomplish both. They were excited to show us around and we were just as happy to be there hoping to help. All I could think about while on the leaky boat was, "this is the coolest experience of my life.” That, and "please don't sink!”
-
Andre: Don't underestimate how important it is to build relationships in person. We live in such a digital-forward world that we can forget the importance of body language and how effectively we can communicate face-to-face. Business is about building relationships, so to build a great business, you need to be great at building relationships.
