Green Transition from the perspective of government and private sector Market, regulatory, or civilizational failure? To begin with… uWhen talking about the green transition, governments and the private sector what does come to your mind first? Ever come across a title like this? uCEOs Warn Geopolitical Disruption is Risking Progress on SDGs: Survey u uDeloitte Launches Climate Tech Ecosystem u uESG Factors to Raise Corporate, Sovereign Credit Risk in 2023: Moody's u uIndia Approves Green Hydrogen Strategy, Expects Investment to Reach $97 Billion u uIntegration of Environmental, DEI Factors in Exec Comp Plans Doubles in 2022: Report u Paris Agreement – a view of the Seine Key Takeaways uwell below 2 centigrade, and best efforts to keep it at or close around 1.5 centigrade increase unationally determined contributions umitigation and adaptation udeveloped world to support developing countries ufinancing mechanism utechnology mechanism ucapacity building u uWhen states are concerned: u uone thing is to agree on a document and completely another is to implement it! u Addis Ababa Addis Ababa Action Agenda uNew Infrastructure initiatives u$1 trillion to $1.5 trillion annual gap in developing countries uthe Asian Infrastructure Investment Bank, the Global Infrastructure Hub, the New Development Bank, the Asia Pacific Project Preparation Facility, the World Bank Group’s Global Infrastructure Facility and the Africa50 Infrastructure Fund, as well as the increase in the capital of the InterAmerican Investment Corporation u uODA focus on the tax collection u uODA commitment target of 0.7 per cent of ODA/GNI and 0.15 to 0.20 per cent of ODA/GNI to the least developed countries u uFDI and more trade uTransaction costs of the remittances - the average transaction cost of migrant remittances by 2030 to less than 3 per cent of the amount transferred. No remittance corridor should require charges higher than 5 per cent by 2030 u uGreen Climate Fund 100b$ per year by 2020 uSouth-South uTechnology transfer mechanism uIMF governance and HICP initiative to continue u Montenegro Montenegro example uThe Second Voluntary National Review (VNR) focuses on goals 1, 4, 5, 14, 15 and 17. uShould NSSD be an overarching country’s strategy? u uEU acquis vs SDGs – 2/3 of targets compatible although acquis relate to the legislation and targets to the implementation and action. u uHas anybody checked other countries reviews? u Global Compact 10 principles uHuman Rights uPrinciple 1: Businesses should support and respect the protection of internationally proclaimed human rights; and uPrinciple 2: make sure that they are not complicit in human rights abuses. u uLabour uPrinciple 3: Businesses should uphold the freedom of association and the effective recognition of the right to collective bargaining; uPrinciple 4: the elimination of all forms of forced and compulsory labour; uPrinciple 5: the effective abolition of child labour; and uPrinciple 6: the elimination of discrimination in respect of employment and occupation. u uEnvironment uPrinciple 7: Businesses should support a precautionary approach to environmental challenges; uPrinciple 8: undertake initiatives to promote greater environmental responsibility; and uPrinciple 9: encourage the development and diffusion of environmentally friendly technologies. uAnti-Corruption uPrinciple 10: Businesses should work against corruption in all its forms, including extortion and bribery. u uGlobal Compact will seek to lead and shape in Gender Equality (SDG 5), Decent Work and Economic Growth (SDG 8), Climate Action (SDG 13), Peace, Justice and Strong Institutions (SDG 16), and Partnerships (SDG 17). uTargets and KPIs have been developed u ESG uThe “E” captures energy efficiencies, carbon footprints, greenhouse gas emissions, deforestation, biodiversity, climate change and pollution mitigation, waste management and water usage. uThe “S” covers labor standards, wages and benefits, workplace and board diversity, racial justice, pay equity, human rights, talent management, community relations, privacy and data protection, health and safety, supply-chain management and other human capital and social justice issues. uThe “G” covers the governing of the “E” and the “S” categories—corporate board composition and structure, strategic sustainability oversight and compliance, executive compensation, political contributions and lobbying, and bribery and corruption. u uDisclosures and reporting rules u uGreenwashing? u uUS confrontation over ESG, California vs Texas u uThe financial market innovations – green bonds, debt for nature swaps u What would for such a firm be net zero commitments? Any ideas? u uEnergy supply for all the offices coming from renewables u uLess traveling u uNet residual – offset through carbon capture and storage u What about… uOld fashioned stuff like profit? Can it be replaced as a driving incentive? u uConsumer behavior? Should it change too? u uMore dilemmas? u u u What has this guy got to do with anything? Decarbonization/UN 2030 u uFor the first time, a global agenda is being imposed or defined, which includes a limit on possible GHG emissions uHOWEVER, global cap has ben derived from the 1.5-2 degrees C but implemented through the nationally determined contributions uThroughout history, technological and socio-economic progress have been intertwined, and the one has emerged from the other in a more or less spontaneous way. uSteam engine, oil and electricity, computers, now AI u Unintended consequences uCan decarbonization be a source of conflicts? Ukraine? uIs Siberia the future place where most people will live and eat and the northern corridors will be key maritime routes? u uWill in fact the green transition speed up by 10-15 years ? uWith 2,400GW new installed renewables power between 2022-2027 (which is by 30% more than the IEA forecast in 2021) and growing enrgy efficiency investments the emissions sem to set to start to slide from 2025 u u uUS-China rivalry and the new industrial policy? uIs the Metaverse a (slightly dystopian) potential escape from an ecologically devastated planet? uDoes globalization continue? uWhat is the role of migration? uAny unintended consequence you may think of? u Thank you for your attention! u