Using green financing mechanisms for funding efficient and high-capacity public transport
This research project explores how green bonds (GBs) are used to finance light rail transit (LRT) systems in three Nordic midsize cities: Aarhus, Lund, and Tampere. While LRTs offer sustainable mobility solutions, their funding through GBs introduces new actors, decision-making processes, and financial risks. The project investigates how GBs affect investment efficiency, institutional practices, and the environmental, social, and economic outcomes of LRT projects. By comparing the three cases, it aims to identify patterns, challenges, and success factors in green financing of public mobility investments. The findings contribute to emerging research on infrastructure financialization, green finance, and public transport funding, offering insights for planners, policymakers, and investors working toward sustainable and financially resilient mobility systems.
Photo: Alexander Williamson, CC BY-SA 4.0.