Some of the most powerful financial experts in the world are seriously worried about climate change. The Bank of England’s Governor Mark Carney, who chairs the Financial Stability Board of the “G20” summit of the world’s richest nations, said “The challenges currently posed by climate change pale in significance compared with what might come.”
The FSB’s Task Force on Climate-Related Financial Disclosures has released a report citing “the need for better information to support informed investment, lending, and insurance underwriting decisions to improve understanding and analysis of climate-related risks and opportunities, and over time, to help promote a smooth rather than an abrupt transition to a lower-carbon economy.” Said Task Force chair Michael Bloomberg ““Climate change is not only an environmental problem, but a business one as well.”
U.S oil and gas companies, newly emboldened by the prospect of a Federal government friendly to Big Oil, may shrug off this latest disclosure demand. To their credit, Shell Oil and BHP Billiton have released studies of climate-related risks to their assets.