Tag Archives: low carbon investment

How investors will drive up demand for renewables

Wind Turbine and sun from belowThis post is by Catherine Howarth, chief executive of ShareAction and Green Alliance trustee.

The focus of the investment community, in the run up to the Paris COP21, was on the financial risks of investments in fossil fuel companies. Understandably so, as these companies’ profits and valuation depend on activities that directly contribute to climate change. While the divestment movement has called for large institutions to move their money out of fossil fuels, others have chosen to engage with companies which have carbon heavy business models, challenging them on their preparations for the inevitable shift to a lower carbon economy. Read more

What will turn Generation Y onto sustainable investment?

The Stock MarketProfessional investors have been stubbornly resistant to the idea that climate change should have any bearing on their decision-making. They continue to sink money into high carbon industries while ignoring the returns available from green infrastructure like clean energy and sustainable transport. These low carbon developments face an annual global funding gap of $1 trillion dollars. As Martin Wolf said in the FT, “Investors are implicitly betting [that] the world will abandon its pledge to keep emissions below the level thought to produce a rise of 2C.” Read more