The QBE Foundation has awarded a $100,000 grant to Blue Forest, a US-based nonprofit organization that develops financing models for wildfire risk reduction and natural resource management.
The funding will support the group’s efforts to expand its operations into Canada.
Blue Forest raises private investment to finance large-scale ecological restoration projects. These initiatives aim to reduce the likelihood of severe wildfires and related flooding, improve water quality, and limit damage to infrastructure caused by natural disasters.
Since 2018, the organization has launched several Forest Resilience Bonds (FRBs) and a Watershed Resilience Bond in the United States. It is now exploring how its approach might be applied in the Canadian context.
FRBs channel private capital into restoration work, which is then repaid over time by entities that benefit from improved ecosystem resilience. These may include utilities, private companies, and land managers. The model is designed to address financial barriers that can delay or limit the scale of restoration efforts.
As part of its planned expansion, Blue Forest aims to engage with civil society groups, impact investors, and First Nations and Indigenous communities in Canada to explore how FRBs and related financing tools could be used to support wildfire mitigation.
“Wildfires are one of the few climate risks that can be mitigated. The funds invested in restoration can help avoid future losses,” said Emma Higgins, EO QBE Foundation chair.
“At QBE our purpose is to help enable a more resilient future, for our customers, people and communities in which we operate. Blue Forest investments have helped protect thousands of acres in the US and we are very excited to support Blue Forrest explore its expansion into Canada.”
Meanwhile, Morrison Mast, senior manager for International Programs at Blue Forest, said flooding and wildfires are the leading causes of insured losses for Canadian residents and businesses, but these risks can be reduced through active restoration and financial strategies that recognise the value of ecosystem services provided by floodplains and forests.
Mast said Blue Forest is applying lessons from its US work in collaboration with Canadian civil society groups, First Nations and indigenous communities, and universities to develop conservation finance solutions for Canada’s challenges.
