A Roadmap to the Energy Transition: Challenges & Solutions
Delivered by The Carbon Tracker Initiative.
The Carbon Tracker Initiative has, through its analysis, made a strong case that climate risk can pose material threats to the health of the financial system. Recently the Bank of England announced it will deepen its inquiry into unburnable carbon and the potential risk of stranded assets. The Financial Stability Board is starting to review the implication of climate risk for the financial sector.
However, much more will need to be done to prevent the acceleration of a dangerous carbon bubble, and instead to supporting an orderly transition to the low-carbon economy which transforms the energy sector.
Financial regulators for their part will need to improve the market transparency of climate risk, solving the contradiction between the carbon potential embedded in publicly listed fossil fuel reserves and climate targets.
For the capital markets, by building in different assumptions about fossil fuel demand, prices, climate policy, etc. investors will receive more accurate information and will be able to factor in the so called ‘fossil fuel risk premium’ associated with carbon investment.
Session: This session will be designed to answer to the following questions
- What does the transition to a climate secure energy future look like?
- How steep will it be?
- What financial measures and tools will help regulators and investors alike to make the decisions that support the clean energy transition?
The panel will bring together high-level representatives from the fossil fuel & utility industries, institutional and private investment, Governments and policy-makers. The panelists will discuss the major climate-related challenges and solutions that each sector of society is currently facing. Carbon Tracker will moderate the discussion and propose a roadmap for all actors to drive an orderly energytransition.