NEW YORK: A coalition of investors with more than $60 trillion in assets under management is preparing to call on electric utility companies globally to move up their timeline by as much as 15 years to bring their net greenhouse gas emissions to zero.
Utilities account for about 40% of emissions worldwide, more than any other sector. Many of them have committed to reach net-zero emissions by 2050, a target that scientists say must be met to avert global warming of more than 1.5 degrees Celsius.
Net zero refers to reaching a balance between the greenhouse gases put in to the atmosphere and those taken out.
The Institutional Investors Group on Climate Change (IIGCC) in London, part of the Climate Action 100+ initiative, told Reuters on Tuesday that emissions from electricity generation need to reach net zero well before 2050, so that other industries that rely on power can follow suit.
In a report to be published on Wednesday, the IIGCC will call on utilities in developed economies to reach net zero emissions by 2035 and in developing countries by 2040. It will ask them to outline a detailed strategy to get there.