UK Government Policy
and Policy Proposal Paper
UK Government Policy
and Policy Proposal Paper
The resources below have been collated to provide non-executive directors with a knowledge hub. This brings together relevant climate change materials from regulators, standard setters and other content creators.
Resources are provided based on our Terms and Conditions.
Newly added resources
|The government decisions needed to deliver a green recovery||Follow-up paper to that presented in June, which presented the principles and policy priorities needed to maximise job creation and economic recovery. This paper sets out a number of priorities where government intervention can help deliver investment and job creation.||14 Sept 2020|
|Senate Democrats map out climate change strategy||Senate Democrats release 200+ page climate plan that they’re billing as a roadmap for what they’ll do if they can take back the majority after the 2020 election.||25 Aug 2020|
|The UK Conservative case for action on the environment||Unhelpfully, just 5 per cent of Tory voters think climate change should be among the government’s top three priorities. However, Conservatives could build a case for climate action that is resilient to short-term costs.||24 Aug 2020|
|edie Explains : The Green Recovery||What is the green recovery? Where does business sustainability fit into its wider context? What is happening at a policy level? And what does the future hold for green recovery efforts? This guide answers these questions and more.||12 Aug 2020|
|Will COVID-19 fiscal recovery packages accelerate or retard progress on climate change?||Fiscal recovery packages could entrench or displace current fossil-fuel-intensive economic system. This report presents results from survey of 231 experts from G20, surveyed on relative performance of 25 major fiscal recovery archetypes. Five policies with high potential discussed.||04 May 2020|
|How the ‘climate assembly’ says the UK should reach net-zero||Recommends changes across a broad range of sectors, from meat-and-dairy consumption and air travel through to zero-carbon heating and electricity generation.||10 Sept 2020|
|Accelerating to Net Zero: A sector led approach to an economy-wide carbon policy framework||Discusses the role of carbon policy and proposes a set of guiding principles for designing and implementing policies to achieve Net Zero. Argues a sector led approach can accelerate progress during the 2020s||24 Aug 2020|
|Crafting strong, integrated policy mixes for deep CO2 mitigation in road transport||Argue that most regions need a stronger, more integrated policy mix led by stringent regulations and complemented by pricing mechanisms as well as other efforts to reduce vehicle travel.||24 Aug 2020|
|The “degrowth” movement says the developed world should let others catch up—or else accept the catastrophic environmental consequences.||In ‘Less is More’ Jason Hickel, an economic anthropologist at Goldsmiths University London, argues that the world needs to reconsider the value of gross domestic product as a metric for progress and that planetary boundaries should be respected.||18 Aug 2020|
|Countries transitioning to zero carbon should look at more than technology cost||A ‘one-size-fits-all’ approach to producing cleaner energy based on cost alone could create social inequalities, finds a new study.||12 Aug 2020|
Sets out UK Government and DAs’ decisions on design of UK Emissions Trading System in light of evidence gathered in consultation. The UK Government will publish a consultation later this year on design of a Carbon Emission Tax as alternative to UK ETS.
Heat Commission established by the CBI and University of Birmingham has published recommendations aimed at decarbonising heat as part of a strategy to achieve the UK’s climate commitments on net-zero.
|22 July 2020|
Sets out a legal basis for applying higher risk weights to banks’ exposures to existing and new fossil fuel reserves using prudential tools already available in Capital Requirements Regulation (CRR) to increase effectiveness of existing regulatory responses.
Previous reports, analysis and articles
|Organisation / |
|edie||Analysts to help align economic recovery plans with net-zero||Project Cygnus set up to analyse current investment trends to create blueprints for investors and policymakers to deliver more sustainable economies post-Covid-19||05/08/2020||Build back better|
|MPs urge government to ‘dramatically scale-up’ net zero in recovery plans||The Net Zero All Party Parliamentary Group (APPG) has called on the government to accelerate the transition to net zero, setting out a 10-point programme of policy recommendations.||21/07/2020||Build back better|
|The Aldersgate Group||Rebuilding to last: How to design an inclusive, resilient and sustainable growthstrategy after Covid-19||This report, commissioned by the Aldersgate Group, sets out the vision, strategy, investments, institutions, and policies we need to rebuild after COVID-19. Central will be strong UK institutions that can bring forward the necessary investments.||16/07/2020||Policy|
|World Economic Forum||395 Million New Jobs by 2030 if Businesses Prioritize Nature, says WEF||The Future of Nature and Business Report provides blueprints for businesses to tap into a $10.1 trillion business opportunity, focusing on industry actions that are nature-positive, meaning that they add value to nature.||15/07/2020||Build Back Better|
|Institute for Public Policy Research||All hands to the pump: a home improvement plan for England||Makes case for ambitious investment programme to deliver household improvements across the UK to be put at heart of the economic recovery from Covid-19.||15/07/2020||Housing|
|energypolicytracker.org||Track public money for energy in recovery packages||G20 Analysis – G20+ countries pledged $151 billion to fossil fuels, 56% of all public money committed to the energy sector||15/07/2020||Policy|
|Department for Environment, Food & Rural Affairs||Multi-billion pound investment as government unveils new long-term plan to tackle flooding||Homes and businesses across the country will be better protected and more resilient in future after the government revealed its long-term plan to tackle the risks of flooding and coastal erosion.||14/07/2020||Policy|
|Euractiv||Not all biomass is carbon neutral’, industry admits||Leading industry figures acknowledge that not all biomass brings benefits to the climate, insisting that only low-value wood and forest residues should make the cut under EU law.||14/07/2020||Policy|
|ESG Clarity||L&G urges UK government to extend green buildings pledge to meet net zero||In its capacity as an investor, housebuilder and landlord, L&G has written an open letter to the UK government calling for further building regulations to avoid the “catastrophic and irreversible” effects of global warming||10/07/2020||Housing|
|European Commission||A Hydrogen Strategy for a climate neutral Europe||The Commission’s economic recovery plan ‘Next Generation EU’ highlights hydrogen as an investment priority to boost economic growth and resilience, create local jobs and consolidate EU global leadership.||08/07/2020||Hydrogen|
|Financial Times||Al Gore: the pandemic is a ‘turning point’ in the fight against climate change||Al Gore gives comment on impact of COVID-19 on ‘sustainability revolution’.||08/07/2020||Build Back Better|
|Carbon Brief||Where in the UK might be suitable for BECCS?||Exploration of how BECCS could be pursued in the UK, including power-plant location, size, and operation parameters, as well as potential to grow bioenergy crops locally to the power station.||07/07/2020||Policy|
|Plan B||Plan B Letter to UK Government before Action over New Deal for Polluters||Letter sent to Boris Johnson, Rishi Sunak, Michael Gove and Andrew Bailey threatening legal action over their ‘new deal’ for polluters, for which they have no democratic mandate.||07/07/2020||Build back better|
|UK:100||Accelerating the Rate of Investment in Local Energy Projects||Proposes that transition to Net Zero economy requires fundamental change in energy system operations to that which combines a mix of large-scale power generation with local decentralised energy systems.||01/07/2020||Build Back Better|
|Green Alliance||Blueprint for a resilient economy||Sets out 5 essential building blocks to support employment opportunities, thriving businesses and a healthier, fairer society, whilst protecting against the impacts of climate change and nature’s decline.||29/06/2020||Build Back Better|
|Financial Times||We must build back greener after Covid-19||The pandemic may be wreaking lasting changes in public attitudes to climate change goals.||26/06/2020||Build Back Better|
|edie||UK’s Covid-19 recovery must mandate building retrofits||EDF, Dimplex and Kingspan are among 100+ trade bodies calling for the UK’s Covid-19 recovery package to contain measures to address carbon emissions from housing||26/06/2020||Housing|
|Committee on Climate Change||Reducing UK emissions: 2020 Progress Report to Parliament||Provides comprehensive advice to UK Government on delivering an economic recovery that accelerates transition to a net-zero emissions economy and strengthens the country’s resilience.||25/06/2020||Build Back Better|
|The Guardian |
|Tackle UK carbon emissions by working with nature, government urged||Restoring the natural environment could absorb as much as a third of the UK’s carbon dioxide emissions, according to green campaigners.||24/06/2020||Policy|
|edie||Hydrogen ‘could provide half of the UK’s net-zero energy demand’||Around 500TWh of hydrogen-generated power could be consumed annually in UK by 2050 – approx. 50% national demand – provided that ambitious supports from policy and large businesses are put in place, new analysis has found.||24/06/2020||Policy|
|Climate Assembly UK||Post lockdown steps to aid economic recovery should drive progress to net zero target||An overwhelming majority of Climate Assembly UK members say Government, employers and others should support changes to the economy and lifestyles which help achieve the UK’s net zero emissions target.||23/06/2020||Build Back Better|
|The Guardian |
|Britain still failing on climate crisis, warn advisers||Committee on Climate Change to highlight fact that virtually no progress has been made over past year to tackle climate change.||21/06/2020||Policy|
|International Energy Authority||Sustainable Recovery: World Energy Outlook Special Report||Provides policymakers with analysis and advice on how to tackle current economic, energy and climate challenges simultaneously; produced in collaboration with International Monetary Fund.||18/06/2020||Build Back Better|
|Carbon Brief||Tracking how the world’s ‘green recovery’ plans aim to cut emissions||Carbon Brief is tracking ‘Build Back Better’ measures proposed, agreed and implemented by major economies around the world.||16/06/2020||Build Back Better|
|Aid for wood-fired power stations ‘based on outdated assumptions’||The UK government has committed £13 billion to support wood-burning power stations but it is relying on an outdated assumption that they help to combat climate change.||15/06/2020||Policy|
|Aldersgate Group||Building a thriving, inclusive and resilient economy in the aftermath of COVID-19||Energy efficiency, charging infrastructure investments, hydrogen trials, green tech and wetland restoration projects are topics explored in this briefing as bringing key benefits.||12/06/2020||Build Back Better|
|Food and Drink Federation||Decarbonisation of Heat Across the Food and Drink Manufacturing Sector||Food and drink industry will only be able to reduce emissions from heat by 64% by 2050 when compared to 2012 without further government interventions, thereby missing the net zero target.||10/06/2020||Food & Drink|
|Frankfurt School/UNEP/Bloomberg||Global Trends in Renewable Energy Investment 2020||As COVID-19 hits fossil fuel industry, the GTR 2020 shows that renewable energy is more cost-effective than ever – providing an opportunity to prioritize clean energy in economic recovery.||10/06/2020||Build Back Better|
|Food and Drink Federation||Decarbonisation of Heat Across the Food and Drink Manufacturing Sector||Food and drink industry will only be able to reduce emissions from heat by 64% by 2050 when compared to 2012 without further government interventions, thereby missing the net zero target.||10/06/2020||Food & Drink|
|Finance Watch||How banking prudential regulation can tackle the link between climate change and financial instability||Sets out a legal basis for applying higher risk weights to banks’ exposures to existing and new fossil fuel reserves using prudential tools already available in Capital Requirements Regulation (CRR) to increase effectiveness of existing regulatory responses.||08/06/2020||Financial Services|
|Vivid Economics and Finance for Biodiversity Initiative||Green Stimulus Index||The Green Stimulus Index (GSI) assesses the effectiveness of government COVID-19 stimulus efforts in ensuring an economic recovery that takes advantage of sustainable growth opportunities, and is resilient to climate and biodiversity.||05/06/2020||Build Back Better|
|Institutional Investors Group on Climate Change||IIGCC letter to EU leaders from investors on a sustainable recovery from COVID-19||Letter from investors, representing €11.9 trillion in assets, following publication of the first element of the EU’s proposed post-Covid recovery strategy.||05/06/2020||Build Back Better|
|We Mean Business Coalition||Race to Zero||With launch of Race to Zero, business leaders from around world voice their support to build back better from the COVID-19 pandemic.||05/06/2020||Build Back Better|
|edie||Investors worth €11trn call for European green recovery from Covid-19 pandemic||Article commenting on IIGCC and investor letter sent to EU demanding green recovery.||05/06/2020||Build Back Better|
|BBC||Demands grow for ‘green industrial revolution’||Greenpeace and top UK chief executives are asking the government to prioritise investments in low carbon technologies and calling for the decarbonisation of the British economy to be speeded up.||04/06/2020||Build Back Better|
|edie||COP26 campaign launched to push nations towards net-zero targets||To mark World Environment Day, the UK Government launches “Race to Zero” global campaign to mobilise support for the net-zero transition.||01/06/2020||Policy|
|HM Government||The future of UK carbon pricing – UK government and devolved administrations’ response||Sets out UK Government and DAs’ decisions on design of UK Emissions Trading System in light of evidence gathered in consultation. The UK Government will publish a consultation later this year on design of a Carbon Emission Tax as alternative to UK ETS.||01/06/2020|
Simon Virley CB
|Green Fiscal Stimulus||As COVID-19 reshapes the economy, governments should be looking to use tax, spending and regulatory levers to deliver a cleaner, and more sustainable economy.||01/06/2020||Build Back Better|
|WWF||A UK Investment strategy: Building back a resilient and sustainable economy||WWF UK commissioned Vivid Economics to examine investments needed to achieve net-zero. The report showed that the additional immediate spending needed is far outweighed by the co-benefits, and costs of inaction. This is an updated recovery briefing based on that report, post-COVID.||01/06/2020||Build Back Better|
|edie||UK business giants call for national green recovery tied to net-zero||More than 200 UK businesses and investors, including Sky, Lloyds Bank and Asda, have called on Prime Minister Boris Johnson to deliver a green recovery plan.||01/06/2020||Build Back Better|
|UK infrastructure ‘under threat from climate breakdown’||Utilities, communications and transport at risk, warns Sir John Armitt, chair of the National Infrastructure Commission in new report on resilience.||28/05/2020||Build Back Better|
|Institute for Public Policy Research Environmental Justice Commission||Putting people at the heart of tackling the climate and nature emergency||This interim report of the IPPR Environmental Justice Commission finds that to act with the ambition and at the scale that the climate and nature emergency demands, requires a new approach.||27/05/2020||Policy|
|McKinsey & Company||How a post-pandemic stimulus can both create jobs and help the climate||The $10 trillion stimulus measures allocated by policy makers could be decisive for the world’s low-carbon transition; this article explores how organisations can bring economics and environmental priorities together to effect that.||27/05/2020||Build Back Better|
|Grantham Institute Discussion Paper||Paying for net-zero – The fiscal framework for the UK’s transition to low-carbon energy||Podcast - For the UK to achieve net zero by 2050, requires a combination of carbon taxation, regulation and direct government intervention. The willingness of the public to adapt will be crucial. This paper reviews options available and calls for public debate.||21/05/2020|
|Heed lessons of 2008 crisis, experts warn global leaders||Call to avoid more inequality and climate breakdown when coronavirus crisis ends.||20/05/2020||Build Back Better|
|edie||Government taskforce sets out tools to unlock £65bn investment into green housing||The UK Government’s Green Finance Institute (GFI) has found that scaling up green retrofitting of the UK’s existing housing stock would require investments of up to £65bn while supporting the economic recovery||20/05/2020||Housing|
|edie||Mission Possible: 2020 Report||Explores how a green recovery from Covid-19 can be achieved across six of the UK’s biggest industries: Utilities, Manufacturing, Construction, Retail, Hospitality & Leisure, and the Public Sector.||19/05/2020||Build Back Better|
|Science Based Targets||Over 150 global corporations urge world leaders for net-zero recovery from COVID-19||Carlsberg Group, EDF, Electrolux among 155 companies in largest ever UN-backed CEO-led climate advocacy effort urge governments to align socio-economic recovery with climate science.||18/05/2020||Build Back Better|
|The virus fight opens up a climate opportunity||Governments must be better prepared for the worst and should launch new policies to promote a green economic recovery.||15/05/2020||Build Back Better|
|Bright Blue||Delivering Net Zero||Essays co-produced with engineering professional services firm WSP that outline how UK can deliver net zero commitment by 2050. Contributions from chief executives, politicians, academics and thought leaders on transport, land, utilities, buildings, industry, waste, finance, government and innovation.||15/05/2020||Policy|
|France 24||Canada ties coronavirus help to climate goals||Canada announces plan to help largest companies hit by coronavirus but tied loans and financial aid to its climate goals.||11/05/2020||Build Back Better|
Christiana Figueres and Benjamin Zycher
|Can we tackle both climate change and Covid-19 recovery?||It is argued that it is possible to tackle both climate change and Covid-19 recovery. Moreover, can we afford not to?||07/05/2020||Build Back Better|
|Committee on Climate Change||Letter: Building a resilient recovery from the COVID-19 crisis to Prime Minister Boris Johnson||The Committee’s advice on how effective climate policy can and should play a part in the Covid-19 recovery.||06/05/2020||Build Back Better|
|Brussels and Britain clash over climate conditions in trade deal||EU push to incorporate Paris agreement adds to tension over post- Brexit relationship.||06/05/2020|
|Energy Transitions Commission||7 Priorities to help the global economy recover||As countries start to emerge from the Covid-19 emergency, efforts are turning to economic recovery. The ETC defines key priorities to help with that recover while building a healthier, more resilient, net- zero-emissions economy.||05/05/2020||Build Back Better|
|University of Oxford||Green COVID-19 recovery packages will boost economic growth and stop climate change||Identifies ten fiscal recovery policies which promise to bring both short-term high economic impact and long-term structural change to ensure the UK meets its 2050 climate goals.||04/05/2020||Build Back Better|
|National Infrastructure Commission||National Infrastructure Commission recommendations and the net zero target||Recommendations for the UK’s economic infrastructure up to 2050. In some sectors, such as flood resilience and water, recommendations are set out for the next 30 years. For energy and heat, shorter term recommendations are made.||04/05/2020|
|This is Money|
|Top regulator’s green energy plan to spark the economy back to life||Lord Turner says crisis must not be a setback to ‘green transition’.||03/05/2020||Build Back Better|
|CISL||Working towards a climate neutral Europe-Jobs and skills in a changing world||This Corporate Leaders Groups Europe report looks at the implications of the transition to a climate neutral economy for jobs and skills in the context of globalisation, technological change, resource scarcity and demographic changes.||28/04/2020||Build Back Better|
|Public want radical response to climate change with same urgency as coronavirus||Survey by Opinium found 48 per cent of the public agree government should put in place serious policies to fight the climate crisis with the same urgency as it has to coronavirus.||16/04/2020|
|World Economic Forum||The A-Z of the Energy Transition: Knowns and Unknowns||Energy transition will create opportunities for wealth formation and can lead to greater prosperity. There will also be transition costs. This paper highlights areas of relative certainty (the knowns), driven largely by technological development and market forces as well as 'unknowns', mostly related to political economy||01/04/2020||Transition to net zero|
|Business Green||Alok Sharma: 'We must also follow the best scientific advice on climate change'||"Ahead of the COP26 summit, efforts to rebuild the global economy will begin," they wrote. "We believe these should focus on supporting a clean, inclusive and resilient recovery building on the principles of the Paris Agreement and the Sustainable Development Goals. We will work together to ensure that the linked challenges of public health, climate change and biodiversity are addressed."||22/04/2020|
|The Guardian Fiona Harvey Environment correspondent||Half UK's true carbon footprint created abroad, research finds||The UK’s efforts to cut greenhouse gases are being undermined by a failure to put in place climate policies that cover imported goods, research has found.||16/04/2020|
|The New York Times - Opinion By Rhiana Gunn- Wright|
Director of climate policy at the Roosevelt Institute.
|Think This Pandemic Is Bad? We Have Another Crisis Coming||Covid-19 and the economic collapse it has caused have laid bare how connected our problems are. Congress and the Federal Reserve are not going to lay out trillions of dollars, over and over, in perpetuity. Refusing to include measures related to climate and environmental justice in economic stimulus packages related to the coronavirus is not neutral when there is no guarantee of other opportunities to do so later. We need to design the stimulus not only to help the U.S. economy recover but to also become more resilient to the climate crisis, the next multitrillion-dollar crisis headed our way.||15/04/2020|
|Committee on Climate Change||CCC to amend 2020 work programme||The CCC will refocus its annual Progress Report to Parliament in June to include advice on supporting a resilient recovery following the pandemic, alongside the statutory assessment of the UK’s progress in reducing emissions.||14/04/2020|
|edie||Coronavirus: Business leaders join European Green Recovery alliance||Business members of the European Corporate Leaders Group (CLG Europe) have joined the European Parliament,|
policymakers and NGOs in forming an alliance for a "green recovery" of the European economy that assists with the ongoing fight against the climate crisis.
|Scientific American Solomon Goldstein-Rose||We’re thinking about climate change the wrong way||Rather than convince other nations to “do their part,” the U.S. should develop clean energy technologies and make them cheap enough for everyone to adopt||08/04/2020|
Initiative Kingsmill Bond
|COVID-19 and the energy transition: crisis as midwife to the new||The crisis is likely to bring forward peak demand for fossil fuels as a whole (first coal, then oil then gas), and weakens the|
lobbying power of incumbents. It creates space for policymakers to put in place a sustainable energy system and so enables the clean energy revolution to continue.
|edie||CCC boss-Green and resilient economic recovery can push UK towards net-zero target||The Committee on Climate Change’s chief executive Chris Stark believes the UK Government should prioritise a green and resilient economic recovery from the coronavirus pandemic that doesn’t lock in fossil fuels.||01/04/2020||Build Back Better|
By Senior Partners Dickon Pinner, Matt Rogers, and Hamid Samandari
|Addressing climate change in a post- pandemic world||Given the scope and magnitude of this sudden crisis, and the long shadow it will cast, can the world afford to pay attention to climate change and the broader sustainability agenda at this time? Our firm belief is that we simply cannot afford to do otherwise. Not only does climate action remain critical over the next decade, but investments in climate-resilient infrastructure and the transition to a lower-carbon future can|
drive significant near-term job creation while increasing economic and environmental resiliency. And with near-zero interest rates for the foreseeable future, there is no better time than the present for such investments.
A blog on environmental policy and politics hosted by Green Alliance
|What is COVID-19 teaching us about solving the climate crisis?||Despite the many warnings, the pandemic has caught us unawares and required immediate extreme measures that will come at a price to the economy, as well as people’s health, livelihoods and their communities. Solving climate change, though urgent, is still going to be a long game. That means, with planning, that we will not have to suddenly shut down factories and other workplaces and stop all flights, let alone lock ourselves inside. Some things we do will need to change (notably we should buy fewer but better things and, yes, we should fly less), but factories, transport and societal norms will be able to function in a sustainable way in future. The important word is ‘transition’, allowing us to protect livelihoods and communities.||01/04/2020|
|Reuters||EU leaders agree to consider climate in coronavirus recovery plan||Following a six-hour video conference, the 27 EU leaders agreed late on Thursday to coordinate a coronavirus economic|
Although the details of the plan itself still have to be worked out, a statement said they had agreed that it should be consistent with the “green transition”, the phrase the EU uses to describe the aim of reducing emissions that heat the planet.
|edie||Government presses forward with plan to align 'every single mode of transport' with net-zero||The Department for Transport (DfT) has said it is on track to deliver a policy roadmap for decarbonising "every single mode of transport" in line with the UK's 2050 net-zero target this year, despite fears that the coronavirus pandemic would slow progress.||27/03/2020|
|European Commission||New Circular Economy Action Plan||Changing how we produce and consume: New Circular Economy Action Plan shows the way to a climate-neutral, competitive economy of empowered consumers||25/03/2020|
Chris Giles and Leslie Hook in London
|Zero emissions goal: the mess of Britain’s carbon taxes||The IMF last year called carbon taxes “the most powerful and efficient” means of decarbonising economies because “they allow firms and households to find the lowest-cost ways of reducing energy use and shifting toward cleaner alternatives”.||10/03/2020|
|Energy Systems Catapult||Innovating to net zero||This report identifies the technologies, products and services which are most important to meeting Net Zero. It recommends what needs to happen during this Parliament to deliver Net Zero levels of investment, infrastructure and innovation.||10/03/2020|
|Nature Research Journal||Emissions: world has four times the work or one-third of the time||Our analysis shows that the gap has widened by as much as four times since 2010. There are three reasons for this. First, global annual greenhouse-gas emissions increased by 14% between 2008 and 2016. This means that emissions now have to decline faster than was previously estimated, because it is cumulative emissions that determine the long-term temperature increase. Second, the international community now agrees that it must ensure a lower global temperature rise than it decided ten years ago, because climate risks are better understood. And third, countries’ new climate pledges have been insufficient.||04/03/2020|
|Institute of International Finance||Sustainable Finance Policy & Regulation: The Case for Greater International Alignment||Sustainable finance needs a harmonized and sound policy and regulatory framework that ensures clarity of purpose, protects consumers, supports market development, and facilitates transition in key economic sectors.|
Given the global nature of the climate change agenda, global leadership is essential to encourage the development of well-aligned and considered regulatory and supervisory frameworks across jurisdictions.
However, signs of fragmentation around climate risk assessment are already evident—notably in the areas of prudential regulation and supervision, market and conduct regulation, taxonomy and disclosure. We would urge policymakers—including the G20, global standard setters and networks such as the NGFS—to consider setting up specific and dedicated mechanisms for greater alignment.
|Aviva||How capitalism can help solve the climate crisis||The stock of capital in the capital markets is over $300 trillion. There is no shortage of capital to fund the climate transition. What is lacking is a clear plan and the financial incentives to deliver. The capital-raising plans coordinated by the IPCF would include a view on the infrastructure required, capital involved, and the financing that could be raised via infrastructure investment, project finance, corporate debt, foreign direct investment, equity investment as well as sovereign and multilateral development bank debt.||28/02/2020|
|Aviva||AIQ – The climate edition : Apathy, Anger, Action – The psychology of climate change||Carbon taxes are more likely to work if the punitive measures are offset with economic sweeteners that appeal to our preference for short-term rewards. The British Columbia carbon tax came bundled with other measures that lowered income tax and health insurance premiums and kept citizens onside. Companies also benefited from corporation tax cuts.|
No such incentives were offered in France. Neither was the money raised by the tax allocated wholly to projects that might bring tangible green benefits (a measure that tends to make the public more amenable13); much of it was simply added to the federal coffers. France’s policy also offended people’s sense of fairness. Because many companies were exempt, the carbon tax was deemed to be regressive. As so often with climate change, the issue became tangled up with wider political and social dynamics such as inequality, and fomented an “us versus them” mentality, with Emmanuel Macron’s administration cast as the enemy. In fact, the French carbon tax activated all of the “PAIN” points identified earlier: It was seen to be Personal, Abrupt, Immoral and happening right Now.
|Aviva||The pros and cons of taxing emissions||A carbon tax imposes a tax on each unit of greenhouse-gas emissions and gives economic actors an incentive to reduce pollution whenever doing so would cost less than paying the tax. The tax is set by assessing the cost or damage associated with each unit of pollution and the costs associated with controlling it.|
By contrast, a cap-and-trade system sets a maximum level of pollution and distributes emissions permits among firms. Companies must have a permit to cover each unit of pollution they produce, and can obtain these permits either through an initial allocation or auction, or through trading with other firms.
Economists such as Nordhaus prefer the former option, on the basis higher prices will encourage firms and consumers to find alternatives to carbon-based products as well as encourage new technologies to make those substitutes competitive. While this has become the mainstream view among environmental economists, the profession continues to debate the relative merits of price and quantity instruments. For instance, Harvard professor Martin Weitzman was not alone in arguing quantity instruments were likely to work best, at least under certain conditions.
Governor of the Bank of England,
Finance Adviser to the Prime Minister for COP26
|The Road to Glasgow||The scale of these requirements is enormous: $3.5trillion in infrastructure investment alone every year for decades. All forms of finance: public, private and blended finance will play a part. Public finance to support a fair and inclusive transition across our economies. Development and blended finance to support adaptation and resilience. And mainstream finance help all companies realign their business models for net zero.|
The objective for the private finance work for COP 26 is simple: ensure that every financial decision tasks climate change into account.
|ITV||World sees growing move towards net zero emissions goals – analysis||“The majority of these targets are just targets – but still, it shows how quickly policymakers are grasping the science, and – in the case of cities and regions – deciding to act themselves when their national governments will not.”||18/02/2020|
|Bloomberg||Here’s How the EU Could Tax Carbon Around the World||The European Commission, the executive arm of the EU, is considering both a carbon tax and extending the system of CO2 permits that exists in Europe to cover imports. The EU’s Emissions Trading System is the world’s biggest carbon market, imposing pollution caps on around 12,000 installations owned by manufacturers and utilities that are tightening over time. No draft of a border adjustment mechanism law is expected until next year, and any proposal would have to overcome differences among national governments and the EU Parliament over whether and how to impose a carbon levy.||18/02/2020|
|Last chance for the climate transition||Achieving zero emissions by 2050 would require unprecedented global cooperation.||18/02/2020|
|The leader of the 2015 Paris accord talks about her new book, The Future We Choose, and why it’s crunch time for humanity||This is the decade in which, contrary to everything humanity has experienced before, we have everything in our power. We have the capital, the technology, the policies. And we have the scientific knowledge to understand that we have to half our emissions by 2030.||15/02/2020|
|Wall Street is trying to catch up on climate change||Banks are feeling pressure on the issue from investors, as well as their own employees. “After a year in which the climate policy debate has been dominated by the left and its calls for a Green New Deal, we are now seeing a free(r) market, rightwing response too.”||13/02/2020|
|How to measure the impact of business on the planet||A global carbon tax would be by far the neatest policy solution: put simply it would force everyone to internalise the climate externality. The IMF estimates that to deliver the 2015 Paris climate agreement’s goal of keeping the global temperature rise well below 2C, we need a tax worth about $75 a tonne of carbon.||03/02/2020|
|The Green Alliance||Getting on track to net zero: a UK carbon policy tracker||The UK is off track to meeting its net zero goal. It can get on track before the UN climate summit in November 2020.This tracker shows two indicators of progress towards net zero:|
1. projected carbon reductions from new policies
2. spending commitments needed to tackle the climate and nature emergency
It will be kept regularly updated through the year.
|UK Fires – Professor Julian Allwood (Cambridge University)||Absolute Zero||Delivering the UK’s climate change commitment with incremental changes to today’s technologies. The only way to hit net zero by 2050 is to stop flying. Dreaming of electric planes and planting trees will not save our planet (Financial Times)||20/11/2019|
Jonathan Brearley, Chief Executive of Ofgem
|Fair energy costs must include the funding needed to get to net zero||“Ofgem’s decarbonisation action plan, published on my first day in charge, explains how we will tackle climate change and build a low-carbon energy system at the lowest possible cost to consumers. The regulator is taking an approach which recognises that protecting consumers includes helping to hit the net zero target passed by parliament. This equal commitment to protect today’s citizens and those of the future will be reinforced in every decision we make.”||02/02/2020|
Green Deal Article
|Europe shows the way to tackle the costs of the new climate order||To support its European Green Deal, Brussels this week said it would try to orchestrate €1tn of public and private investment over 10 years. Half will come from the next EU budget, €100bn from matching contributions from national budgets, a quarter from an EU-backed investment scheme and the rest from the European Investment Bank.||17/01/2020|
|Green Alliance policy insight||Using digital technology to increase business energy efficiency||Digitally enabled energy efficiency is an inexpensive way to reduce energy demand, avoiding unnecessary investment in power generation and network infrastructure. It also cuts business costs. The government’s 2030 energy efficiency target for business could save small and medium enterprises (SMEs) around £2.7 billion a year by 2030, and £6 billion a year for UK business as a whole. While, from an industrial strategy perspective, energy efficiency has been directly responsible for a quarter of the UK’s economic growth, by increasing productivity.||22/01/2020|
|Committee on Climate Change - Land use: Policies for a Net Zero UK||Land use: Policies for a Net Zero UK||There is now a need to put in place clear, well-designed policies to ensure the UK’s use of land contributes to the Net Zero emissions target, this report presents the CCC’s first ever in-depth advice on UK agricultural and land use policies:|
Increase tree planting, encourage low-carbon farming practices, restore peatlands,...
|PRI (An investor initiative in partnership UNEP Initiative and United Nations Global compact)||Preparing investors for the Inevitable Policy Response to climate change||Further climate policy is expected ahead of COP26. However, in the meanwhile has released a forecast of an Inevitable Policy Response with a view on pricing-in the likely near-term policy response to climate change. The analysis shows that these critical policies could permanently wipe up to 4.5 percent or $2.3tn off the valuation of a range of companies in the MSCI ACWI index.||01/01/2018|
|We Are Still In||Responses to US Withdrawal from Paris Agreement||Website: A coalition of cities, states, tribes, businesses, universities, healthcare organizations, and faith groups. As they did in 2017, they strongly oppose the US withdrawal from Paris, and are not going to take a retreat from the global response to the climate crisis||17/05/2017|
|Department of Business, Energy and Industrial strategy and Energy Transitions Commission||Accelerating the low carbon transition by sector||Provides sector specific application to the low carbon transition. Power, Agriculture and land-use, cars and trucks, shipping and aviation, buildings, steel, cement, plastics.||01/11/2019|
|Department of Business, Energy and Industrial strategy and Energy Transitions Commission||Accelerating the low carbon transition by sector – infographic||An infographic making the case for stronger more targeted and co-ordinated international action. Includes concise sector specific considerations.||01/11/2019|
|World Economic Forum in collaboration with Boston Consulting Group||The Net-Zero Challenge: Global Climate Action at a Crossroads (Part 1)||Nordic countries have been among the few to take truly decisive steps, supported by favourable public opinion and social contexts. For example, Sweden’s climate act of 2018 enforces yearly reporting, sets targets at 1.5°C or below and calls for forceful climate policy through the country’s dedicated Climate Policy Council. Sweden has set the highest carbon tax in the world, at €114 per tonne, is engaging industry in sector-specific dialogue to create meaningful policies and has invested heavily in R&D and new technology pilots, along with climate-resilient development projects through the UN Green Climate Fund. The Netherlands has also taken decisive steps, putting in place a Climate Agenda and ambitious targets for renewables, reinforced by subsidies and biofuel mandates. The country has regulations on new building energy performance and aims to phase out gas boilers by 2050, supported by tax breaks and subsidies. Industrial sectors are also subject to energy efficiency and best available technique (BAT) standards. |
A number of emerging economies, too, are starting to set ambitious renewable targets, even if they do not yet have a full carbon-neutrality plan. India is currently implementing the largest renewable power programme in the world – targeting 175 GW of installed capacity by 2022. Morocco has developed the world’s largest concentrated solar farm, with the objective of making more than 50% of its electricity generation renewable in just 10 years.
The apparent failure of governments to act increases the responsibility for corporations to fill the void. A number of companies have produced ambitious plans to decarbonize their operations and supply chains, recognizing the beneficial business case for doing so, by safeguarding future licences to operate, preparing for more demanding future regulation or developing innovative business models.
|UK Government||Net Zero Review launched to support UK’s world leading climate commitment||Review launched that will determine how the UK ends its contribution to global warming||02/11/2019|
|UK Government||Government response to CCC 2019 Report to Parliament – Progress in preparing for climate change||15/10/2019|
|CBI||Low carbon 2020s – a decade of delivery||This paper sets out the CBI’s policy recommendations for the 2020s to government, focused on the sectors that are key to the UK’s domestic net-zero ambitions||04/11/2019|
|Committee on Climate Change||Part 1: Reducing UK emissions – CCC 2019 progress report||CCC Progress reports to Parliament. Part 1||10/07/2019|
|Committee on Climate Change||Part 2: Progress in preparing for climate change||CCC Progress reports to Parliament. Part 2||10/07/2019|
|Aviva||Marshall plan for the planet||Aviva’s paper sets out their ideas for how to address the major barriers that are still preventing proper investment in a sustainable future.||20/09/2019|
|UK Government||The Green Finance Strategy||This government strategy explores the role of the financial sector in delivering global and domestic climate and environmental objectives.||02/07/2019|
|UK Government||UK government commits to net zero||UK government passes net zero emissions law.||27/06/2019|
|Green Alliance||Acting on net zero now||in this paper Green Alliance propose five policies that could be put in place immediately to get the UK back on track to meet its carbon budgets and on the road to net zero by 2050 latest.||03/05/2019|
|Energy Transitions Commission||Mission Possible report||This report describes why reaching net-zero CO2 emissions from harder-to-abate sectors is technically and economically feasible, how to manage the transition to net-zero CO2 emissions in heavy industry and heavy-duty transport and what policymakers, investors, businesses and consumers must do to accelerate change.||01/11/2018|
|The Boston Consulting Group, Henderson Institute||The Economic Case for Combating Climate Change||HOW TO DECARBONIZE A DEVELOPED ECONOMY: There are clear paths for most countries to achieve substantial reductions in greenhouse gas (GHG) emissions that can generate near-term macroeconomic payback. Just about all leading emitters could eliminate 75% to 90% of the gap between emissions under current policies and their individual 2050 2°C Paris targets using proven and generally accepted technologies. If they prioritize the most efficient emissions reduction measures, taking the necessary steps will actually accelerate, rather than slow, GDP growth for many countries. All countries can generate economic gain by moving at least part of the way—even if they move unilaterally.||27/09/2018|
|UK Government||Clean Growth Strategy||This strategy sets out the government’s proposals for decarbonising all sectors of the UK economy through the 2020s. Last updated 16 Apr 2018||16/04/2018|
|Committee on Climate Change||Committee on Climate Change||Website detailing the independent advice to government on building a low-carbon economy and preparing for climate change.||26/11/2008|