Low-carbon investment risks and de-risking

Effective mitigation of climate change requires investment flows to be redirected from high- to low-carbon technologies. However, especially in developing countries, low-carbon investments often suffer from high risks. More research is needed to address these risks and allow sound policy decisions to be made.

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Figure 1: The impact of risk on the cost of power generation.

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Acknowledgements

I thank V. Hoffmann, J. Huenteler, C. Niebuhr, C. Bening and further members of SusTec, as well as O. Waissbein and D. Goldblatt for their comments.

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Correspondence to Tobias S. Schmidt.

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Schmidt, T. Low-carbon investment risks and de-risking. Nature Clim Change 4, 237–239 (2014). https://doi.org/10.1038/nclimate2112

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