Institutional investors call on G8 to lay foundations for post-2012 policy framework
- 05 June 2007
The Institutional Investors Group on Climate Change (IIGCC) has sent a letter to the G8 Heads of State ahead of the Heiligendamm Summit underlining the importance of laying the foundations for a post-2012 policy framework on climate change.
The letter has also been signed by the CEOs or CIOs of several of the IIGCC's member organisations, including leading asset managers and pension funds in the UK and continental Europe.
The signatories believe that it would be beneficial for the negotiations of a post-2012 framework that the G8 (+5) agree on the key elements of such a framework at the upcoming Summit. Key considerations include agreement on a target for the stabilisation of temperatures, or of greenhouse gas concentrations in the atmosphere, and ambitious absolute emission reduction targets for industrialised countries.
Peter Dunscombe, Chairman of IIGCC, commented that "the IIGCC recognises the financial implications of climate change for long-term investors and believes that credible and effective climate change policy is critical for protecting and enhancing the value of our investments. Without a long-term public policy framework directed at achieving a low carbon economy, companies and their investors cannot plan effectively how to respond to climate change risks and opportunities".
Douglas Ferrans, CEO Insight Investment, said: "Our view is that clear and long-term public policy - at the national and international levels - directed at achieving significant reductions in greenhouse gas emissions is essential to ensure that climate change issues are properly accounted for in investment analysis and to support our efforts as investors to encourage companies to reduce their greenhouse gas emissions."