A Sustainable Investment in Journalism

A sustainable business requires diverse revenue streams. ESG Investor now operates a subscription service as of Tuesday 14th May. To find out more please get in touch with our subscription team on subscriptions@esginvestor.net

Support Measures Needed to Maximise Impact of Green Subsidies

Policymakers are increasingly developing and launching green subsidy packages to entice investment in the climate transition, but new research has highlighted obstacles slowing the subsidy race. ‘The Global Green Subsidy Race’, published by the Economic Intelligence Unit (EIU), explores how green subsidies are reshaping climate policy and geopolitics, noting that many of these plans are “all carrot, no stick”. Incentives to discourage high-emissions activities are generally absent from green subsidy strategies, the report said, adding that this “may slow the mothballing of outdated infrastructure”. While the Labor government in Australia and governments across Europe have supplemented their green subsidy regimes with regulations designed to explicitly limit emissions, others, such as the US, have “no corresponding penalties for high-emission activities”. Further action is needed alongside the introduction of subsidies to upscale the installation and connection of low-carbon technologies and renewables to existing grid infrastructure, the report added.

The practical information hub for asset owners looking to invest successfully and sustainably for the long term. As best practice evolves, we will share the news, insights and data to guide asset owners on their individual journey to ESG integration.

Copyright © 2024 ESG Investor Ltd. Company No. 12893343. ESG Investor Ltd, Fox Court, 14 Grays Inn Road, London, WC1X 8HN

To Top