In Wake of Sobering IPCC Report, Investors, Companies and Policymakers Called On To Raise Climate Ambition
March 21, 2023 /3BL Media/ - The latest report from Intergovernmental Panel on Climate Change, which lays out the current and growing impacts of the global climate crisis, is “devastating and harrowing—and yet it holds out hope,” said Ceres CEO and President Mindy Lubber.
“The sobering takeaway of the report is that we are headed to exceed 1.5 degrees of global warming within the next decade. However, the world’s leading scientists also tell us in the same report that we have the power to avert more catastrophic damage,” added Lubber. “Taking bold action right now could result in transformational change essential for a more stable climate and water-secure future. The next few years will determine if we can achieve this future and every major investor, company, and policymaker has a profound role to play.”
The report dramatically underscores the negative effect the climate crisis continues to have on our economic and national security, and the clear urgency for financial, technological and governmental coordination to spur meaningful change. It points out that embracing deep, rapid, and sustained transformative action to reduce emissions can help pave the way for a clean future. A record number of institutional investors and corporations have already been expanding and deepening their climate commitments in the past few years. However, they are moving too slowly to show how they are going to achieve these commitments. Key to demonstrating progress and improving transparency and accountability are Investor Climate Action Plans (ICAPs) and Climate Transition Action Plans (CTAPs).
"Every investor should have an ambitious action plan in place by the end of the year, and every company should be implementing their transition plans by early 2024,” Lubber added. “Policymakers should build upon the landmark Inflation Reduction Act, the largest federal investment in climate action, to make further progress towards cutting emissions in half by 2030. Private sector action plans coupled with historic investments and incentives are essential to building a stronger, more resilient economy as quickly and as equitably as possible.”
“The transition is already reducing shareholder exposure to billions of dollars' worth of climate risk, unlocking the potential for trillions of dollars of investment in clean energy, creating good paying jobs and building sustainable infrastructure including the construction of offshore wind farms, installing solar panels, manufacturing electric vehicles, and creating net zero buildings,” Lubber added. “Moving forward, we need to provide opportunities for everyone, especially populations which have too often been left behind. And we have seen that vulnerable communities, including low-income and communities of color, are the ones most adversely affected by climate pollution.”
The IPCC report joins the steady drum beat of reminders over the fast past few years that our window of opportunity to prevent further damage is closing fast. By working together, the world can ensure future reports highlight historic emission reductions and transformative progress. Ceres will continue to engage investors to raise their ambition and support investment aligned with a zero emissions economy through the Net Zero Asset Managers Initiative and the Paris Aligned Investment Initiative. Ambition 2030 builds on this global effort as it works to decarbonize the full value and supply chains of six of the heaviest-emitting sectors—banking, electric power, food and agriculture, oil and gas, steel, and transportation.
Ceres is a nonprofit organization working with the most influential capital market leaders to solve the world’s greatest sustainability challenges. Through our powerful networks and global collaborations of investors, companies, and nonprofits, we drive action and inspire equitable market-based and policy solutions throughout the economy to build a just and sustainable future. For more information, visit ceres.org and follow @CeresNews.
Media Contact: Reginald Zimmerman