On the eve of the G7 summit in the UK, the world’s largest investment companies sent a letter to their leaders on the need to accelerate the reduction of greenhouse gas emissions. The increased liabilities will also make the national economy more attractive for investment, they say.
Nearly fifty investors, collectively controlling $ 41 trillion in assets, have called on world leaders to set more ambitious targets to reduce greenhouse gas emissions and end support for fossil fuel producers. They sent a letter to the heads of state ahead of the G7 leaders’ summit, which starts Friday in the UK. Global warming has been announced as the main topic of the upcoming summit.
In this document, investors are asking governments to commit themselves to achieving zero emissions by mid-century, and by 2030 to adjust reduction plans so that the temperature on the planet does not increase by more than one and a half degrees. According to them, countries that are quicker than others to introduce environmentally friendly fuels are also more attractive to investors.
“The full implementation of the Paris Agreement will create significant investment opportunities in clean technologies, green infrastructure and other assets, products and services required in the new economy, ”investors say.
Other investor proposals include incorporating emission reductions into national economic recovery plans and an obligation to publish financial statements on government action in this area.
As noted by Stephanie Pfier, CEO of the Institutional Investors Group on Climate Change, “the world’s leading investors expect governments to demonstrate their commitment to tackling the climate crisis.” “Those who lose will be more and more left behind as the race for a clean future picks up steam,” she said.