On the first day of the Net Zero Festival, there was a panel on the role of international finance in the prevention of climate change.
The panel will be led by Dr. Rhian-Mari Thomas, Chief Executive Officer of the Green Finance Institute, Nigel Topping, UK High-Level Climate Change Champion, and Bill Winters, Group Chief Executive Officer of Standard Chartered PLC. Emma Howard Boyd, Chairman of the CDC Group’s Climate Change and Environment Agency.
While it is imperative that toppings establish funds for climate change prevention, especially the $ 100 billion annually promised by developed countries for developing countries in 2010, they also “more” in allocating. It started with keeping in mind that we need to use “many engineering ideas”. Funds. Some areas focused on the transition to a net-zero economy are well-funded, but he said, “in the rest of the transition, no money is flowing.”
This was supported by Winters, who pointed out the importance of “financing gaps” when discussing funding to combat climate change. He said there was a 30% to 40% funding gap in Europe and North America, compared to a funding gap of over 90% in Africa. Despite “the ESG investment pool is expanding dramatically,” he said, “there is no funding mechanism to support where it needs to be covered.”
Winters also emphasized the importance of mixed finance in discussing the role of finance in the prevention of climate change, the combination of public and private finance. Currently, only 35% of mixed finance is covered, so he said the amount of mixed finance targeting climate change needs to be significantly increased.
Amin then spoke in support of another speaker who was worried that “I’m assuming there are a lot of projects out there,” but “mixed finance will play a role, but that’s enough. It wouldn’t be. ” She emphasized the importance of “building a pipeline” to attract large investors and said that not only climate goals but also the quality of climate funding must be considered. She also supported the importance of ESG in its rise and described it as a “private financial barrier” in which ESG needs to be properly directed to solutions.
Howard Boyd then talked about the importance of “focusing on adaptation and resilience as much as Net Zero,” highlighting the role that nature can play in addressing these issues. She said that not only do we need specialized solutions in different parts of the world, but we also need to prioritize working at a localized level to make significant investments in vulnerable countries and communities. rice field.
She also noted that toppings were the second most advanced, saying that through the fight against climate change, “we are protecting our investment from being washed away by floods and melting by heat waves.” Investing in problems is both an opportunity and a way to mitigate serious consequences.
Mr Winters then said Standard Chartered Bank is working on a Net Zero plan “as we are talking about”, announcing it this year and planning to hold a shareholder vote in 2022. .. “And he explained the struggle to drive clients to the transition to Net Zero. He said,” The number of places hidden by private sector participants is rapidly declining if they fail to tackle climate change. ” He emphasized the importance of using and developing data to take responsibility for companies not achieving their goals. Finally, he said, “If the government can do something great, otherwise it’s no excuse not to continue.”
Amin said, “The key challenge here is how this money wall needs it in these countries, especially in developing countries where the financial sector is very weak and even capital markets may not exist. “Will we enter?”, “The risk is that these economies will lag further.”
Finally, Thomas asked the panel what he wanted to see from the government at the upcoming COP26. Howard Boyd wants to focus on nature, Winters wants a “codified and solidified” private sector commitment, and Amin is the most vulnerable country, especially in the most vulnerable countries, where the government “resources for adaptation”. He said he wanted to “step up to offer” and Topping wanted to offer a $ 100 billion commitment, especially in emerging markets, with more specific and big goals.
Major issues raised by the Climate Finance Panel
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