HomeAbout usProjectsPublicationsNewslettersConferencesMediaNewsContactSearchLogin
News
Search
Sign up for Newsletter
1 May 2009
SRI-Adviser: Electric Utilities Are Unprepared for Carbon Regulation
Source: www.sri-advisor.com

by Robert Kropp

A new report by the Carbon Disclosure Project finds that disclosure by electric utilities on greenhouse gas emissions has improved, but falls short of the demands of a low carbon economy.

The urgency of a global transition to a low carbon economy is no longer in doubt, and companies that address the challenges of the transition are more likely to succeed over the long term. Sustainability investors whose portfolios are designed for long-term growth require clearly articulated disclosure of corporate strategies for addressing the risks and opportunities of climate change.

The International Energy Agency (IEA) estimates that more than half of electricity output worldwide in 2030 will come from power plants already in operation today. According to a recent report issued by the Carbon Disclosure Project (CDP) and written by RiskMetrics Group, "This underlines the importance of policies that put a price on carbon, slow electricity demand growth, and encourage faster turnover of power generating capital stock."

Yet the report, entitled CDP Electric Utilities Report 2009, found that only 16% of electric utilities are currently setting and disclosing absolute greenhouse gas (GHG) emission reduction targets, despite the fact that the industry accounts for 25% of global GHG emissions, the largest of all industry sectors.

The CDP, a nonprofit organization which represents 475 institutional investors with assets under management of $55 trillion, analyzed the responses of 110 electric utilities to its questionnaire. Its report concluded that while 61% of utilities forecast GHG emissions, and 59% have emission reduction plans in place, less than half disclosed current electricity generation capacity and production by fuel type. Only 14 respondents provided data on forecasted capacity and production.

Because few utilities have set and disclosed absolute emission reduction targets, while a higher percentage have set targets that allow for growth in overall GHG emissions, the reports questions the extent to which utilities are willing to pay for the reduction of emissions that will be required of them in a low carbon economy.

The report concludes, "Improved disclosure on forecasted capacity and production would help investors to better assess exposure to such carbon limits at this pivotal time in national and global climate regulation."

News
29 September 2009
Business Line: Securities and Exchange Board of India seeks responsible investment in voluntary form
29 September 2009
SocialFunds: Newsweek Publishes List of Top 500 Green Companies in US
29 September 2009
SRI-Adviser: CDP Issues Annual Report on Emissions Reporting by World's Largest Companies
28 September 2009
SRI-Adviser: PG&E Quits US Chamber of Commerce over Differences in Climate Change
25 September 2009
SocialFunds: Emerging Markets Financial Institutions Should Increase Attention to Climate Change
24 September 2009
SRI-Adviser: CDP Issues Annual Report on Emissions Reporting by World's Largest Companies
22 September 2009
Reuters: Sustainable investment seen gaining momentum
21 September 2009
Forbes: Mutual Funds: Is SRI Worth The Hassle?
21 September 2009
SocialFunds: Shareowner Opposition to Board Nominees Increases in 2009
18 September 2009
SRI-Adviser: Aspen Institute Calls for End of Short-Termism by Business and Investors
[1]​[2]​[3]​[4]​[5]​[6]​[7]​[8]​[9]​[10]​[11]​[12]​[13]​[14]​[15]​[16]​[17]​[18]​[19]​[20]​[21]​[22]​[23]​[24]​[25]​[26]​[27]​[28]​[29]​[30]​[31]​[32]​[33]​[34]​[35]​[36]​[37]​[38]​[39]​[40]​[41]​[42]​[43]​[44]​[45]​[46]​[47]​[48]​[49]​[50]​[51]​[52]​[53]​[54]​[55]​[56]​[57]​[58]​[59]​[60]​[61]​[62]​[63]​[64]​[65]​[66]​[67]​[68]​[69]​[70]​[71]​[72]​[73]​[74]​[75]​[76]​[77]​[78]​[79]​[80]​[81]​[82]​[83]​[84]​[85]​[86]​[87]​[88]​[89]​[90]​[91]​[92]​[93]​[94]​[95]​[96]​[97]​[98]​[99]​[100]​[101]​[102]​[103]​[104]​[105]​[106]​[107]​[108]​[109]​[110]​[111]​[112]​[113]​[114]​[115]​[116]​[117]​[118]​[119]​[120]​[121]​[122]​[123]​[124]​[125]​[126]​[127]​[128]​[129]​[130]​[131]​[132]​[133]​[134]​[135]​[136]​
Sustainable Investment Research Platform
Provided by Webforum