Financing the transition to a lower-energy economy – Why this is a rising business imperativeName : Dr. Jaclyn Z Yeo
Affliation : Senior Research Analyst
University : Marsh & McLennan Companies’ Asia Pacific Risk Center (APRC)
Country : USA
Abstract: Companies today ought to focus on renewables, in terms of supply and demand. Renewables is one of the most direct solutions to adapt to climate change and transit to a lower-energy economy. Besides reducing the reliance on fossil fuel with the potential to meet rising energy demand, harnessing renewables can also meet multiple sustainable development goals. Furthermore, transiting to renewables addresses some key transition risks, such as policy and legal, reputation, while reaping market opportunities such as energy security, resilience, and new business markets, as framed by the Task Force for Climate-Related Financial Disclosure.
For example, many companies are taking solid steps to increasing resilience and positioning themselves competitively in the changing marketplace. Since July 2017, over 100 global companies have committed to power their operations with 100 percent renewables. With annual electricity costs running into the hundreds of millions of dollars for many companies, greater adoption of renewables reduces companies’ exposure to volatility to energy prices.
Despite the shifting trend towards renewables, many are still struggling to make the transition, citing unbankability and the lack of financing for renewables projects as key constraints. Asia has the potential to leapfrog fossil fuel-based energy generation methods, but we need to attract more capital, both from the private and public sectors. What can energy and utilities conglomerates do to argue the business for more investments into renewables? Where does the regulators position themselves in terms of governmental interventions or other measures? And how should the private sector close this renewables financing gap?
Biography: Jaclyn leads the Asia Pacific Risk Center’s efforts in the region on climate resilience, in particularly the rising business imperative to build climate resilience against impacts on current and expected corporate financial performances.
With over 8 years of experience in risk management, consulting, and environmental engineering, Jaclyn is a skilled risk professional with academic and industry qualifications in planning, development, and execution of risk management programs.
Jaclyn graduated from the University of Cambridge with an MPhil in Engineering for Sustainable Development. Her dissertation topic investigated how climate change and extreme weather events could impact the economic growth of Singapore’s maritime trade industry. She also has an MSc and a BEng from the National University of Singapore in Environmental Engineering.