In this episode, we ask when will investors get the information they need to invest confidently in the net zero transition, following turmoil in Brussels and the banking sector; we also underline Sustainable Investor’s October focus on transition finance by exploring the status of corporate transition planning and the merits of making it mandatory.
Co-hosts: Guy Opperman, the UK’s longest-serving Pensions Minister & Chair of Sustainable Investor's editorial board; and Richard Gardiner, Interim Head of EU Policy at environmental charity ShareAction.
News Round-up: Following MEPs’ surprise rejection of a compromise deal on the European Commission’s Sustainability Omnibus, Richard outlines the uncertainties for corporates and knock-on delays facing asset owners and managers, including over the SFDR Review. Guy warns of trouble ahead for UK pensions reforms after minister Torsten Bell dismissed concerns over mandation at the Pensions UK annual conference. Both have global implications, as do the other key topics analysed: the demise of the Net Zero Banking Alliance, the withdrawal of US climate risk guidance for financial institutions, and failure to agree a deal on shipping emissions.
The Three Rs Interview: David Russell, Chair of the Transition Pathway Initiative, discusses the current value to sustainable investors of corporate transition plans, the information they should include to be more decision-useful, and the role of asset managers in supporting investor scrutiny of firms’ decarbonisation strategies.
Review / Preview: To wrap up this week’s discussion, Richard looks forward to COP30, expressing hope that governments will reveal climate plans that deliver for people and planet, following the call made by Allianz Board Member Günther Thallinger in his recent interview with Sustainable Investor that nationally determined contributions should serve as blueprints for economic competitiveness. And Guy comments on the UK’s net zero ambitions in light of the release of its ‘carbon budget delivery plan’ - as required by the High Court - and tensions over North Sea oil and gas revenues ahead of the Budget in late November.
Thanks for joining us: If you like what you hear, you can also subscribe to Sustainable Investor, subscribe to this podcast and find further information in the show notes, where you can also find our contact details. We'd love to hear your ideas as we plan future episodes.
Links to news items discussed:
EU Lawmakers Reject Deal to Simplify Sustainability Rules
https://www.euractiv.com/news/eu-lawmakers-reject-deal-to-simplify-sustainability-rules-in-major-upset/
Omnibus Vote Throws SFDR Review into Doubt
https://sustainableinvestor.online/live/omnibus-vote-throws-sfdr-review-into-doubt/
Socialists Cave to Centre-right Demands to Slash EU Green Rules
https://www.politico.eu/article/socialists-liberals-epp-eu-green-rules/
UK Minister Brushes off Fiduciary Duty Concerns
https://sustainableinvestor.online/live/uk-minister-brushes-off-fiduciary-duty-concerns/
Britain’s Biggest Pension Funds Back Regional Growth Drive
https://www.gov.uk/government/news/britains-biggest-pension-funds-back-regional-growth-drive
Mp Tables ‘System-Level’ Investment Duty Amendment to Pensions Bill
https://www.ipe.com/news/mp-tables-system-level-investment-duty-amendment-to-pensions-bill/10133274.article
Climate Alliance NZBA Disbands as Banks Vote For Guidance-Only Role
https://www.thebanker.com/content/e2f79306-a596-4375-a33c-e1390cb64c17
GFANZ Transition Role in Question as NZBA Folds
https://sustainableinvestor.online/live/gfanz-transition-role-in-question-as-nzba-folds/
Global Banks Stall on Climate Action Despite Net Zero Promises, Report Finds
https://www.transitionpathwayinitiative.org/publications/141/show_news_article
US Federal Agencies Announce Withdrawal of Principles for Climate-Related Financial Risk Management
https://www.federalreserve.gov/newsevents/pressreleases/bcreg20251016a.htm
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