The best of EcoWatch, right in your inbox. Sign up for our email newsletter!
How Close is the World to $1 Trillion in Renewable Energy Investments?
Some bankers across the world are aiming high when it comes to investments in renewable energy.
Billionaire investors and climate-focused policy advocates like hedge-fund founder billionaire Tom Steyer and former U.S. Treasury Secretary Robert Rubin gathered at the United Nations this week to call for more investments in renewables and changes to financial markets that would boost investments, according to Bloomberg.
The figure they had in mind? $1 trillion per year—dubbed a "Clean Trillion" by Ceres and others.
Some in the financial and energy industries believe that's what it will take in order to limit global warming to 2 degrees Celsius. As it stands now, global invests in clean energy must double by 2020 and once again in order to reach that goal.
In 2013, the global investment amount in solar, wind and other clean forms of energy was $254 billion, down 12 percent from $281 billion in the prior year. In 2011, record levels were set at $318 billion.
"What we need to have invested in the energy sector and in the green infrastructure in order to make the transformation that we need in order to stay within [2 degrees Celsius of global temperature rise] is $1 trillion a year and we are way, way behind that," Christiana Figueres, UN climate chief, told The Guardian. "Last year, we had $300 billion, and in the same year we had double that amount invested in exploration and mining in fossil fuels. So you can see that the ratio is not where it needs to be. We need to be at the opposite ratio."
According to Ceres, the world needs to invest an additional $36 trillion in clean energy for the next 36 years. The organization suggests it's actually possible, regardless how daunting it sounds, businesses, investors and policymakers band together. Here are some of the organization's proposals:
- Pension funds and other institutional investors should commit to a goal of investing 5 percent of their portfolios in clean energy. That amount is less than 1 percent at the moment, according to the Organization for Economic Co-operation and Development.
- Investors should more closely scrutinize companies that emit high levels of carbon dioxide.
- Banks should create simple investment tools that help investors access the market. For example, Elon Musk's SolarCity will introduce an online investment system within six months.
Ceres also calls for policymakers to form a new global climate change agreement by 2015, and establish polices that put a limit and price on greenhouse gas emissions.
"Cost competitive renewable technologies and attractive investment opportunities exist right now, but we're still not seeing clean energy deployment at the scale we need to put a dent in climate change," said Mindy Lubber, the president of Ceres, which organised this week's summit.
"We need to find a way to get more institutional investor capital into this space."
Visit EcoWatch’s RENEWABLES page for more related news on this topic.
EcoWatch Daily Newsletter
By George Citroner
The Office of Disease Prevention and Health Promotion and the World Health Organization currently recommend either 150 minutes of moderate intensity exercise (walking, gardening, doing household chores) or 75 minutes of vigorous aerobic exercise (running, cycling, swimming) every week.
But there's little research looking at the benefits, if any, of exercising less than the 75 minute minimum.
It seems the reality of the climate crisis is too much for the Federal Reserve to ignore anymore.
For 21 years, Doug Distaso served his country in the United States Air Force.
He commanded joint aviation, maintenance, and support personnel globally and served as a primary legislative affairs lead for two U.S. Special Operations Command leaders.
But after an Air Force plane accident left him with a traumatic brain injury, post-traumatic stress disorder (PTSD), and chronic pain, Distaso was placed on more than a dozen prescription medications by doctors at the U.S. Department of Veterans Affairs (VA).
By Bailey Hopp
If you had to choose a diamond for your engagement ring from below or above the ground, which would you pick … and why would you pick it? This is the main question consumers are facing when picking out their diamond engagement ring today. With a dramatic increase in demand for conflict-free lab-grown diamonds, the diamond industry is shifting right before our eyes.
The scourge of plastic waste that washes up on once-pristine beaches and finds its way into the middle of the ocean often starts on land, is dumped in rivers and canals, and gets carried out to sea. At the current rate, marine plastic is predicted to outweigh all the fish in the seas by 2050, according to Silicon Canals.
By Julia Conley
Joined by Rep. Alexandria Ocasio-Cortez Friday night, Sen. Bernie Sanders held the largest rally of any 2020 Democratic presidential candidate to date in Iowa, drawing more than 2,400 people to Iowa Western Community College in Council Bluffs.