Global investors concerned with 'insufficient climate policies'
A group of global investors has called for governments of the world to develop workable frameworks that reduce climate risk and support low carbon investment.
In a letter addressed to the governments of the world's largest economies, the group stresses that further delay in implementing adequately ambitious climate and clean energy policy will increase investment risk for institutional investors and jeopardise the investments and retirement savings of millions of citizens.
The group of global investor networks, which represents global institutional investors responsible for over $22.5tr (£14.1tr) in assets, is proposing a need for "new dialogue" with governments on climate policy.
"One week ahead of the UN climate change conference in Doha, it is clear that global greenhouse gas emissions are continuing to rise, increasing the risk of dangerous and disruptive climate change" the letter states.
"This letter is addressed to the governments of the world's largest economies, in their roles as domestic policymakers, as important stakeholders in on-going international negotiations on climate change and as countries where the greatest reductions in greenhouse gas emissions are needed," it continues.
However, the group commends the progress that a number of governments have made in responding to the threat of climate change but raised concerns about the impact recent weather events are having on investment.
"Despite the evident policy progress in some countries, extreme weather events are already increasing in frequency with often disruptive effects on communities, local economies, companies and investments. Current policies are insufficient to avert serious and dangerous impacts from climate change.
"Governments are key in reducing the serious risks, losses and damage that climate change will cause, and the risks to the investments and retirement savings of millions of people" it adds.
Last week, The World Bank published a report that claims without further commitments to reduce greenhouse gas emissions the world will see temperatures rise by four degrees and experience extreme heat-waves, declining global food stocks and sea levels rise.
The World Bank's analysis, Turn Down the Heat: Why a 4°C Warmer World Must Be Avoided, says scientists are predicting that today's climate could warm from the current global mean temperature of 0.8°C above pre-industrial levels, to as high as 4°C by 2100, even if countries fulfil current emissions-reduction targets.