50 likes | 166 Views
“The only thing as powerful as Mother Nature is Father Greed.” Thomas L. Friedman. The market will always respond to a profit opportunity, producing new and more efficient technologies Investment market is already responding to the growth potential presented by environmental investing.
E N D
“The only thing as powerful as Mother Nature is Father Greed.”Thomas L. Friedman • The market will always respond to a profit opportunity, producing new and more efficient technologies • Investment market is already responding to the growth potential presented by environmental investing *Graph source: New Energy. Grossed-up estimate based on disclosed deals. New investment only.
It’s a real and serious business; returns are compelling • Returns to environment and investor are not mutually exclusive • The sheer scale of the challenge requires a patient investment cycle • Role of Private Equity • Investment Grade returns exist: Clean Energy Index is producing returns in excess of broader market indices *Graph source: Wilder Hill New Energy Finance Global Innovation Index (NEX) Jan 2003 – March 2007
“When you've got them by their wallets, their hearts and minds will follow.” • The market is responding, but this will accelerate with market certainty • Recognising the true cost of carbon will be significant • An example of reversing the “market failure” of inadequate clean-tech R & D – BioPower Wave Energy Tim Finnigan Chief Executive Refer BRW Article 17 May 2007
The scale of the challenge requires leadership • Most importantly, we need to stop treating the issue as if it isn’t real and urgent. The word “sustainable” is used for a reason. • Sustainability must be incorporated into Investment Decisions – thereby forcing the outcome with less reliance on individual action – “like outsourcing your garbage collection”. • We need to incorporate “Sustainable thinking” fundamentally and sincerely into all of our decisions if sustainability is to become a truly mainstream issue. • Let’s be positive and active. Everyone needs to play a part. Everyone makes consumption and investment decisions.