Sustainable Finance

Sustainable Finance for Aviation and Maritime | VURDHAAN
Sustainable finance for aviation and maritime

Build the investment case behind transport decarbonisation.

VURDHAAN helps airlines, shipping companies, asset owners and project sponsors translate SAF, low-carbon fuels, fleet renewal and infrastructure plans into credible financing options, measurable KPIs and lender-ready evidence.

01 / Structure

Match the financing structure to the underlying plan

The starting point is not the sustainability label. It is the financing need, the assets or activities being funded, and the evidence available to support eligibility or performance over the term.

Financing objective

Define the transaction, capital requirement, timing, counterparties and decisions that the financing must support.

Eligible activity or asset

Map how fuel, fleet, technology or infrastructure expenditure fits the proposed financing criteria.

KPI and target credibility

Use material indicators, sound baselines, defined boundaries and targets that can be measured and reviewed.

Governance and reporting

Establish ownership, data controls, verification, allocation reporting and ongoing performance disclosure.

01

Green or use-of-proceeds finance

Proceeds are allocated to defined eligible projects or assets, supported by selection, management and reporting controls.

02

Sustainability-linked finance

Financing terms are linked to performance against agreed KPIs and sustainability performance targets.

03

Transition finance

Supports credible decarbonisation in hard-to-abate activities where the pathway and use of capital are clearly explained.

04

Public and blended funding

Combines grants, guarantees or public programmes with private capital where the project and programme criteria align.

02 / Our approach

Prepare the transaction from an evidence-first position

We connect treasury and finance requirements with the operational data, transition plan and reporting controls that lenders, investors and reviewers will examine.

Define the transaction

Confirm financing need, assets, costs, timetable, existing facilities and decision-makers.

Build the sustainability case

Link the proposed financing to material emissions, fuel, fleet or infrastructure outcomes.

Select the structure

Compare instrument options, eligibility considerations, KPIs, targets and reporting implications.

Prepare evidence and controls

Document baselines, calculations, data ownership, verification and performance governance.

Support execution and reporting

Prepare transaction materials, respond to diligence and establish post-closing reporting.

03 / Services

Support from feasibility through ongoing reporting

VURDHAAN can support an early-stage funding assessment, a live refinancing or transaction, or the governance and reporting of an existing instrument.

Assess

Sustainable finance feasibility

Review the financing requirement, eligible activities, existing sustainability data and potential instrument structures.

Output: finance options memo with readiness gaps and next steps.

Model

Decarbonisation business case

Build cost, emissions and implementation scenarios for SAF, low-carbon fuels, fleet renewal, retrofits and infrastructure.

Output: decision model and investment narrative.

Measure

KPI, target and baseline design

Define material KPIs, calculation boundaries, baselines, sustainability performance targets and verification requirements.

Output: KPI and target specification with data controls.

Structure

Green and transition frameworks

Map eligible projects, use-of-proceeds categories, project selection, proceeds management and impact reporting.

Output: framework content and eligibility evidence map.

Present

Lender and investor materials

Prepare sustainability sections for financing materials, management presentations, diligence responses and data rooms.

Output: consistent lender-ready narrative and supporting evidence.

Govern

Reporting and review support

Establish annual KPI, allocation or impact reporting, internal approvals and coordination with external reviewers.

Output: repeatable reporting process and evidence pack.

04 / Applications

Grounded in transport operations and asset decisions

The financing case must reflect how the operator or project actually reduces emissions, manages compliance exposure and deploys capital.

Aviation

SAF procurement and offtakes, fleet renewal, operational efficiency, airport infrastructure and CORSIA-related governance.

Maritime

Alternative fuels, vessel renewal, retrofits, energy efficiency, FuelEU planning and port or shore-power infrastructure.

Fuel projects

Production pathways, feedstock and lifecycle evidence, offtake support, project milestones and market demand.

Transport infrastructure

Charging, fuelling, bunkering, terminal, depot, port and airport projects with measurable environmental outcomes.

05 / Deliverables

Materials that support a financing process

The final package depends on the instrument, transaction stage and lender or investor requirements.

  • Financing options and readiness memo
  • Decarbonisation investment case
  • Eligible project and asset map
  • KPI, baseline and target register
  • Green or transition framework content
  • Lender and investor presentation
  • Verification and reporting protocol
  • Sustainability data-room index
06 / Market frameworks

Use recognised principles without forcing the transaction into the wrong label

Market principles provide useful structure, but suitability still depends on the transaction, asset, KPI quality, disclosure and counterparties involved.

ICMA Green Bond Principles

The Principles emphasise transparency around use of proceeds, project evaluation and selection, management of proceeds and reporting for green bond issuance.

ICMA overview

Loan market principles

Green Loan and Sustainability-Linked Loan Principles and guidance provide market conventions for eligible use-of-proceeds loans and KPI-linked structures.

LMA sustainable lending resources

Maritime climate alignment

The Poseidon Principles provide financial institutions with a framework for assessing and disclosing the climate alignment of ship-finance portfolios.

Poseidon Principles overview
07 / Common questions

Before approaching the market

Can sustainable finance guarantee a lower cost of capital?

No. Pricing and terms depend on the borrower, transaction, market conditions and lender appetite. VURDHAAN helps strengthen the sustainability case, evidence and structure; it does not guarantee financing or pricing outcomes.

What is the difference between a green loan and a sustainability-linked loan?

A green loan is generally tied to eligible green projects or assets and requires use-of-proceeds controls. A sustainability-linked loan can be used for general corporate purposes, while its terms are linked to performance against agreed KPIs and targets.

What makes a transport KPI suitable for financing?

It should be material to the business and transition plan, calculated from a clear baseline and boundary, measurable over the financing term, sufficiently ambitious and capable of independent verification where required.

Does VURDHAAN arrange finance or provide regulated financial advice?

VURDHAAN provides sustainability, technical and transaction-preparation support. Financing placement, investment recommendations, legal documentation and regulated financial advice should be provided by appropriately authorised financial advisers, arrangers and legal counsel.

Prepare the sustainability case before the financing process begins.

Tell us what you plan to finance, the transaction stage and the evidence already available. We will recommend a practical feasibility, KPI or framework workstream.

Contact VURDHAAN

VURDHAAN provides sustainability and technical advisory support. It does not guarantee financing, pricing or eligibility and does not provide regulated investment, placement or legal advice. Requirements should be confirmed for each transaction, jurisdiction and counterparty.

Sustainable Finance