World's capital is moving to clean energy

Dirty fuels like coal are being divested. Huge amounts of money are now pouring into renewable investment, already at half a $trillion.

I thought we were supposed to be "open for business" Tone?

“Investors are showing that capital will not sit idle while governments try to fix climate change,” [he] told a forum on climate change policy and financing in Sydney on Thursday. 

“As important as government negotiations are, this will be a decision by private actors, and that is new thing.” 

Fabian says commitments made by private investors show that around $200 billion a year is being mobilized towards low carbon investment. These included pledges by the insurance sector to lift its low carbon allocation to $420 billion by 2020, from developments banks to ratchet up low carbon finance to $100 billion a year, and for some individual banks to commit billions of their own capital. 

That is on top of the $280 billion spent on renewables in the past year. Fabian said it means that the world is almost half way to the $1 trillion a year identified by the International Energy Agency as to transform the world’s energy systems is achievable. 

And as capital was flowing into low carbon investment, it was increasingly clear that capital is flowing away from the fossil fuel sector. Divestment was starting to bite. more