Global investors - representing an estimated 37% of all global assets under management - are asking governments across the world to take 5 key actions before COP26 in November:
- Strengthen their Nationally Determined Contributions (NDCs) for 2030 in line with limiting warming to 1.5°C; - translation: 2050 net zero targets on their own are not enough - we need ambitious 2030 targets too
- Commit to a domestic mid-century, net-zero emissions target and outline a pathway with ambitious interim targets including clear decarbonization roadmaps for each carbon-intensive sector; - translation: we need net zero roadmaps, not just targets
- Implement domestic policies to deliver these targets, incentivise private investments in zero-emissions solutions and ensure ambitious pre-2030 action; including: “the removal of fossil fuel subsidies by set deadlines, the phase out of thermal coal-based electricity generation by set deadlines in line with credible 1.5°C temperature pathways, the avoidance of new carbon-intensive infrastructure (e.g. no new coal power plants) and the development of just transition plans for affected workers and communities.” - translation: coal power needs to stop and so do fossil fuel subsidies
- Ensure COVID-19 economic recovery plans support the transition to net-zero emissions and enhance resilience; translation: you can't call it "build back better" if you keep financing recovery projects that lock us into a fossil-fuel dependent future; and
- Commit to implementing mandatory climate risk disclosure requirements aligned with the Task Force on Climate-related Financial Disclosures (TCFD) recommendations. no translation needed!
Signatories to the 2021 Global Investor Statement warn that governments that don't rise to the challenge risk missing out on "a massive wave of investment".
As things currently stand, the world is not on a trajectory to meet the objectives of the Paris Agreement...
457 INVESTORS MANAGING MORE THAN US$41 TRILLION IN ASSETS HAVE RELEASED A NEW JOINT STATEMENT TO ALL WORLD GOVERNMENTS URGING A GLOBAL RACE-TO-THE-TOP ON CLIMATE POLICY AND WARNING THAT LAGGARDS WILL MISS OUT ON TRILLIONS OF DOLLARS IN INVESTMENT IF THEY AIM TOO LOW AND MOVE TOO SLOW. THIS REPRESENTS THE LARGEST COLLECTIVE ASSETS UNDER MANAGEMENT TO SIGN ON TO A GLOBAL INVESTOR STATEMENT TO GOVERNMENTS ON CLIMATE CHANGE SINCE THE FIRST STATEMENT IN 2009.