Sustainability

Banks will pump H2O to top of climate agenda

4 Jan 2023

Recent floods and aridity show global warming is undermining water security. Yet the resource gets a trickle of the dollars and attention Barclays, Citi and rivals devote to sustainability. The first COP-like water confab in decades is an apt time to divert more of that flow.

 

Climate change will become a CEO dealbreaker

22 Dec 2022

For corporate chieftains who profess to recognize the threat of climate change, the balancing act between pursuing shareholder value and helping the planet avoid a crisis is becoming unsustainable. Breakingviews imagines a missive from a CEO who opts to put values before value.

Guest view: Protecting Earth’s underground heroes

12 Dec 2022

Construction, erosion and agriculture undermine biodiversity and hamper the fight against climate change, with potentially disastrous economic consequences. Yet conservation efforts fail to include tiny subterranean organisms, write Toby Kiers and Mark Tercek. That’s a mistake.

Fortescue boss sets himself up for climate bonanza

7 Dec 2022

Twiggy Forrest has bought wind-farm firm CWP for some $2.7 bln via his personal fund. Being the largest owner of Aussie renewables is a great hedge for his miner’s punt on green hydrogen. And if the gas takes off, he’ll earn even more selling the clean energy needed to make it.

Aussie energy woes put miners in windfall hole

5 Dec 2022

Canberra may cap the soaring price of coal or tax profits to reduce electricity costs. That’s a potentially explosive new risk for producers like Whitehaven, which is buying back up to a third of its stock at near record highs. Such short-term largesse could come back to burn.

How to design a formula to pay for climate loss

28 Nov 2022

COP27 saw countries agree to a “loss and damage” fund to help states bear the effects of climate change. But it didn’t say how it would work. Hugo Dixon proposes a formula which encourages countries to cut carbon emissions by pinning the cost on the biggest polluters.

COP27 deal is a blessing in a very good disguise

21 Nov 2022

The premier forum for fighting climate change ended in Egypt with a largely inadequate agreement to reduce global greenhouse gas emissions. But it did feature a small show of goodwill by rich countries. That might incentivise the big emitters of tomorrow to up their game.

Capital Calls: Twitter ads, Supervoting stock

11 Nov 2022

Concise views on global finance: Elon Musk is giving big brands an easy out – and a drain on advertising is harder for Twitter to overcome than Facebook; a dual-class share structure enabled the ousted CEO of TuSimple to team up with his co-founder and sack the board.

How Joe Biden can help save the planet at COP27

7 Nov 2022

“Just transition partnerships” with states like India are essential to fight climate change and advance Western interests. America needs to join up its trade, geopolitical and climate policies, says Hugo Dixon, as the U.S. president heads to the U.N. climate conference in Egypt.

Toyota’s new, new EV plan suggests smarter driving

25 Oct 2022

The $218 bln Japanese automaker is mulling its third electric-vehicle reboot in 13 months as rival Tesla leaves it in the dust. Frequent rejigs can mean bigwigs are flailing for ideas. But Toyota’s latest overhaul implies boss Akio Toyoda is addressing missteps with more speed.

Aussie budget could do with a spot of dam-busting

24 Oct 2022

Rising inflation and expectations of lower growth put Treasurer Jim Chalmers in a tight spot as he prepares his first comprehensive fiscal policy. Cancelling up to $4.7 bln worth of the previous government’s plans for unnecessary water infrastructure would relieve some pressure.

Aussies put net-zero nationalisation on the map

21 Oct 2022

The leader of Victoria says the state will take a controlling stake in new green power projects if he’s re-elected. That might crowd out capital. But done right, public ownership can spread financial risks and align policy with investors – just what the private sector wants.

Sovereign debt greens yet net-zero pledges darken

13 Oct 2022

Saudi Arabia’s wealth fund is the latest public body to issue securities to fund renewable assets. Strong buyer demand and the chance to flaunt action on climate change explain the boom. Yet national decarbonisation targets remain weak, and green bonds do little to improve them.

Green hydrogen revolution risks dying of thirst

5 Oct 2022

Backers make three miscalculations about the gas’ key input, water: that they won’t need much, that it’s cheap, and that desalination is a breeze. Some $700 bln is needed for projects from Australia to Saudi to Europe, but water scarcity means many will be left high and dry.

Patagonia lobs ESG breakup calls back to the wild

16 Sep 2022

Founder Yvon Chouinard has ceded control of the clothing firm to use its earnings to fight climate risk. A sale would have built a bigger war chest. But he wants to defend his company’s values and workers, too. It shows how splitting environmental and social goals is wrongheaded.

Climate both dries and drowns case for hydropower

31 Aug 2022

The IEA and others reckon hitting net zero requires doubling the energy source’s output. But aridity from China to the Americas highlights a big vulnerability. Flood risk is even more widespread. Add environmental degradation and hydropower is often more trouble than it’s worth.

Investors add $10 trln activist wrench to H2O risk

22 Aug 2022

Water has long played second fiddle to emissions in battling climate change. Now Fidelity, DWS and 62 other money managers want big users from McDonalds to Microsoft to better manage and protect the resource. With droughts and floods set to inundate earnings, it’s past time.

U.S. climate win may distort global net-zero race

18 Aug 2022

The $430 bln legislation signed by President Joe Biden should spark faster uptake of solar, wind and hydrogen in the country. Over time, it could cut green power costs worldwide. But the U.S. plan’s reliance on subsidies risks thwacking Asian renewable energy supply chains first.

Electric perfection is enemy of hybrid-car good

16 Aug 2022

Activists are attacking Toyota and others for sticking with designs that recharge using combustion. Yet pure electric models are only as green as their power grids and require heavy infrastructure investment. Puritanism is premature, and could prompt consumer backlash.

BlackRock climate resilience faces political test

11 Jul 2022

The $10 trln asset manager’s advocacy of sustainable investing could backfire if Republican critics win the U.S. midterm elections. Billions of dollars of funds and advisory mandates are at stake. BlackRock can afford to hold its ground, but only so far.