{"type":"rich","version":"1.0","provider_name":"Transistor","provider_url":"https://transistor.fm","author_name":"Fiduciary Investors Series","title":"Valuation and risk as the rhetoric-action gap on climate mitigation closes","html":"","width":"100%","height":180,"duration":2670,"description":"Most rhetoric about mitigation has focused on new energy infrastructure technologies but there is no longer time left to deploy them at sufficient scale. Mitigation will be delivered almost entirely by closing processes that cause emissions by their chemistry and electrifying everything else, and we won’t have as much electricity as we want. This realisation shines a new light both on valuation and on investment risk. Markets cannot currently value climate risk as corporate plans depend mainly on untestable rhetoric. \r\nJulian Allwood, who is Professor of Engineering and the Environment and leads the largest and most inter-disciplinary research group in the University of Cambridge dedicated to climate mitigation, has proposed a new mechanism (ZERPAs) to allow proper valuation, based on pre-purchasing access to the scare resources required to deliver mitigation. This, or some similar instrument, will allow investors to revalue assets in the light of future resource scarcity, and to reallocate capital towards businesses compatible with more achievable pathways to real mitigation.","thumbnail_url":"https://img.transistorcdn.com/8A4YNx6yjRbl5pKAnc34qmB5gIpCxSZfKQx0rylypgg/rs:fill:0:0:1/w:400/h:400/q:60/mb:500000/aHR0cHM6Ly9pbWct/dXBsb2FkLXByb2R1/Y3Rpb24udHJhbnNp/c3Rvci5mbS9zaG93/Lzg2NDYvMTU5MDk5/NDk0Ny1hcnR3b3Jr/LmpwZw.webp","thumbnail_width":300,"thumbnail_height":300}