Europe rolls out vision for a carbonless future, but big obstacles loom: An ambitious blueprint to reduce emissions 55 percent by 2030 promises tough haggling among 27 states, industry and the European Parliament (NYT)

The 12 legislative proposals presented on Wednesday are designed to reduce reliance on fossil fuels including coal, oil and natural gas; to expand the use of renewable-energy sources including solar, wind and hydro power to at least 38.5 percent of all energy by 2030; to force the faster development of electric cars with much tighter CO2 limits and hope to end the sale of all internal-combustion cars by 2035; and to support clean-energy options for aviation and shipping, which are prime polluters. For the first time, a carbon market will be established for road transportation and buildings.

——————————————————————–

China set to launch the world’s largest emissions-trading program: Carbon market will double the share of global emissions covered under such systems (WSJ)

https://www.wsj.com/articles/chinas-national-emissions-trading-set-to-begin-11626247709?st=lvpsioomewlnv2j&reflink=article_email_share

The carbon market will help the country lower greenhouse-gas emissions and achieve its goal of reaching peak emissions before 2030 and carbon neutrality, or net zero emissions, by 2060, officials said at a news conference Wednesday. China is the world’s largest carbon emitter.

The program will initially involve 2,225 companies in the power sector. Those companies are responsible for a seventh of global carbon emissions from fossil-fuel combustion, according to calculations by the International Energy Agency…Over the next three to five years, the market is set to expand to seven additional high-emissions industries: petrochemicals, chemicals, building materials, iron and steel, nonferrous metals, paper, and domestic aviation.

Commissioner eyes diversity and expertise to make the most of opportunities

Boards are central to companies addressing ESG issues and should look to enhanced diversity and expertise to fulfill this role in a positive way, according to SEC member Allison Herren Lee.

Lee explained that despite some progress, evidence suggests directors have been slow to understand the need to integrate climate and other ESG issues into governance practices. She cited a 2019 report as finding that only 6 percent of US director respondents picked climate change as a focus for the coming year and that 56 percent thought investor attention on sustainability issues was overblown.

‘The world’s largest asset managers and other institutional investors have been direct and vocal in conveying that they consider ESG material to their decision-making,’ Lee said in a speech earlier this week to the Society for Corporate Governance. ‘No matter the view of regulatory involvement in climate and ESG disclosures, directors must reckon with this growing consensus and growing demand from the shareholders who elect them.’

https://www.irmagazine.com/esg/secs-lee-looks-boards-role-esg