Mr Combet’ speech at Investor Group on Climate Change Forum

Posted on January 17, 2011 by

On Friday 17 December 2010, Mr Combet , Climate Change Minister of Australia gave a speech at  the Investor Group on Climate Change Forum (IIGCC). The IIGCC is a forum for collaboration on climate change for European investors. There are currently more than 65 members, including some of the largest pension funds and asset managers in Europe, representing assets under management of more than €6 trillion.

He demonstrated that the climate change science is real and it is happening. He has further stated that the developing countries will account for 93% of projected increase in energy demand, and 90% of expected carbon pollution growth, till 2035. This is significant number and an alarming signal.  Developing countries like China & India need to take action on reducing their GHG emissions. Referring to the international climate change negotiations, he stated that if China and the United States think positively towards these negotiations, the success expectations can much higher. He also confirmed that Australia will achieve the required economic transformation only through a market mechanism .

Climate change creates financial risks for investors. It also creates opportunities for the businesses. However it is necessary that how these risks and opportunities are addressed in investment practices and decisions. This awareness is growing and has led to creation of international forums and bodies such as Investor Group on Climate Change and Carbon Disclosure Project.