What are the estimated costs of climate change?
Though no one can know with certainty, a variety of estimates suggest some of the value at stake. But net-zero is becoming increasingly important for investors, both in terms of minimizing potential risk and also maximizing potential opportunities.
- Investors may need all the tools at their disposal
- Why net-zero matters for investors
- The focus on net-zero is intensifying
- How investors can drive the transition to net-zero
- How net-zero differs from zero carbon emissions
- What are the estimated costs of climate change?
- The tie between climate change and biodiversity
By the numbers
10% The economic value the world stands to lose by midcentury if global temperature rise remains on its current trajectory and global net-zero targets are not met.
Up to USD 885 billion Assets in Europe at significant risk of becoming stranded over the coming decade in the automotive, electricity and apparel industries.
USD 500 billion The estimated cost for U.S. energy utilities to prepare for climate change.
USD 68 billion Global losses from natural disasters in the first half of 2020.
7% The share of global facilities operated by companies in the MSCI ACWI Investable Market Index (IMI) that are threatened by coastal flooding risk (as of Jan. 20, 2020).
30% The estimated falloff in global agricultural yields by 2050 absent efforts to adapt to a changing climate.
USD 4 trillion The estimated annual investment in clean energy and infrastructure required to build a sustainable energy economy.
USD 280 billion Addressing the effects of climate change in 35 major cities in Ethiopia, Kenya and South Africa between now and 2050.
USD 26 trillion The estimated savings likely to be realized from replacing almost all fossil fuels with renewable energy and storage over the next 20 years.