BORIS Johnson’s top COP26 finance adviser has insisted that a new green pledge from private firms controlling $130 trillion in assets is “more than is needed” to transform the global economy into net zero.
Mark Carney, the former governor of the Bank of England, put the pressure on the private sector to help harness the funding needed for global efforts to tackle the climate crisis.
Speaking at the COP26 climate conference, Mr Carney suggested that the tide is turning in private capital being used to support the transition to net zero – with action expected this decade.
Earlier, Chancellor Rishi Sunak warned global finance leaders that not enough progress had been made in providing an annual $100 billion to developing countries to tackle global warming, as was agreed in 2015 and was promised to be rolled out from 2020.
Mr Sunak also told COP26 that the UK will become the first carbon neutral financial centre in the world and stressed the importance of private sector investment - pointing to $130 trillion of capital.
READ MORE: Sunak renews $100bn pledge for developing countries during COP26 address
Mr Carney told delegates in Glasgow that Greta Thunberg was right to call out a lack on inaction from world leaders at an appearance at the United Nations in 2019.
He said: “I was in the room two years ago in the General Assembly, along with presidents, prime ministers, dignitaries and business leaders.
“Greta Thunberg rightly blasted everyone, with words to the effect of you’ve stolen my dreams and my childhood.
“Right here is where we draw the line."
He added: “The $130 trillion that the Chancellor announced is more than is needed for the net-zero transition globally.
“A pool of that capital has been carved out for the transition in emerging and developing economies, and not at some distant point in the future, but for this decade.”
Mr Carney chairs the Glasgow Financial Alliance for Net Zero, the organisation that gathers 450 organisations that control the $130 trillion, or around 40% of global assets.
Around $100 trillion (£73 trillion) are needed to get the world to net zero, Mr Carney said.
“What you’re hearing today is that the money is here, but that money needs net-zero aligned projects,” he said.
He was speaking as global finance ministers met at COP26 in Glasgow.
International Monetary Fund managing director Kristalina Georgieva called for a global carbon tax floor that could help push down emissions.
“We believe that placing a carbon price in this mitigation strategy plays an enormously important role,” she said.
“Last year only 70% of emissions were covered by a carbon price. This year we are edging toward 25%, one quarter.”
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