The critical role of cost-of-capital in net zero transitions
See why mobilizing private capital towards low-carbon energy is critical for closing the investment gap in low-carbon energy and the green transition.
See how cost and capital, via interactions with capital raising and climate policies, increases low-carbon energy investment and decreases high-carbon energy investment. Meeting the goals of the Paris...
See why mobilizing private capital towards low-carbon energy is critical for closing the investment gap in low-carbon energy and the green transition.
To hedge against the negative impact of carbon emissions on capital stock, firms increase green capital and reduce carbon emissions, thereby increase firms'' profit.
Despite investor concerns, setting targets is an important step toward reducing emissions and can be followed by various strategies,
Organizations can achieve meaningful GHG reductions without capital expenditure by strategically reallocating existing investment and financial portfolios—delivering
Pricing emissions and subsidizing clean investment yield a higher return on clean capital and boost clean capital accumulation. This curbs disinvestment in carbon-intensive
This study, however, contributes novel insights by combining carbon emission reduction and capital constraints while discussing equity financing, in which a capital
This research recommends strategic approaches for firms to reduce their costs of capital while proactively combating climate change, highlighting
We show that allocating CO 2 emissions embodied in capital assets over time relieves emission responsibility for the year of formation, with 25‒46% reductions from
Our key finding is that an increase in the fraction of shares held by green public pension funds caused companies to reduce their carbon emissions. In our baseline estimate, a
Companies with long-term (10 years or longer) and near-term (5- to 10-year) targets reduced more carbon emissions than companies with short-term