Despite controversy, the issue of climate change is gaining serious momentum with various industries. During a session of the United Nations last week, a group of investors with a collective $26 trillion under management, took a stand on the issue, claiming that the private sector needs to be more involved in protecting the environment and that no singular government can solve the problem. The collective group is comprised of insurance professionals, government officials and business leaders from all over the world.
Few governments have taken the issue of climate change seriously. Investors have long relied on government regulations to determine what industries to support, but as more companies begin to forsake fossil-fuels, these investors are taking note. With the sluggish pace of legislative action, investors are beginning to show disdain for political inaction on the issue and are urging members of the private sector to take matters into their own hands.
The insurance industry is one of the major proponents for environmentalism and has taken steps to raise awareness of climate change. While the matter is steeped in controversy, insurers have long held that the risks of climate change cannot be ignored. During the UN session, members of CalPERS, an insurance group based in California, noted that the company had invested more than $12 billion in alternative energy projects last year. These same members declared that if governments cannot solve climate change, the private sector and its multitude of investors will have to.