1.5°c sector strategies can supercharge investment
18 July 2023
The government will start developing plans to decarbonise key economic sectors, one of the top priorities identified by investors. The Investor Group on Climate Change says robust sectoral decarbonisation plans can support investment in climate solutions.
According to their announcement today, the sectors are;
- Electricity and Energy,
- Industry,
- the Built Environment,
- Agriculture and Land,
- Transport and
- Resources.
Quotes attributable to Erwin Jackson, Director, Policy:
“Investors have stated that a 1.5°C-aligned 2035 emissions target and complementary sector plans are two of their top three policy priorities for attracting investment in climate solutions.”
“The establishment of ‘investable’ 1.5°C pathways and goals for key economic sectors is critical to unlocking finance for climate solutions.
“Clear emissions pathways, goal posts and policy for all sectors can provide clarity for investors and the companies they own, help guide business strategy, climate-related financial disclosures, and the allocation of private capital towards new technology and infrastructure.
“Investors need to project revenue before deploying capital. That requires legislated policies and clear sector-by-sector implementation plans.
“National and sector pathways aligned with 1.5C would allow investors to get on the front foot. Investors want to be deploying capital into the strong economic growth linked to climate solutions, not just protecting their portfolios against climate damages.
“The Investor Group on Climate Change looks forward to working with the Government and other stakeholders to help finalise a policy framework that has the opportunity to super-charge investment in climate solutions in Australia.”
IGCC’s recent submission to the Climate Change Authority’s “Setting, tracking and achieving Australia’s emissions reduction targets – Issues Paper”