Whilst the financial services sector has historically been considered to have a minimal direct environmental impact, the role of the industry is now central to the overall climate change debate. This is due to the significant indirect impacts that the sector has on the environment through its credit and investment policies, asset management strategies and industrial and power-generation portfolio engagement, and the significant influence that these policies and strategies can have on actions by private institutions, governments and multi-national organisations.
Importantly, the financial services industry can play a critical role in mobilizing and securing adequate capital flows to address the challenges of climate change. However, the financial sector faces many challenges in relation to the risks and uncertainties that these challenges bring. These include increased risks for asset value volatility and decline, insurance losses from extreme weather events and uncertainties due to potential regulatory compliance costs. At the same time, there are more opportunities than there has ever been for the sector to invest in hedging strategies within the clean tech and renewable energy sectors as well as developing new markets for products such as green bonds.
Enecore can work with investors and finance companies to advise them on the current regulatory and market trends and assist them in developing innovative finance structures that support these new green markets, services and products.
For more information on our services for the financial sector, please contact info@enecore.com