COP28 failures could leave businesses ‘at risk of being stranded’
“The just transition has to happen in a business context as well."
Any COP28 outcome that doesn’t provide clear guidance on the phase-out of fossil fuels risks harming innovation and increasing stranded assets. That’s according to EY Law’s Head of Sustainability Michelle Davies, as the world waits for a new draft of the global stocktake to be released by the COP28 Presidency.
Commenting on the latest draft of the global stocktake, which significantly watered down requirements for countries to phase out fossil fuels and increase renewable energy capacity, Davies emphasised the need to “keep the pressure on” to transition away from fossil fuels. “The pressure is driving innovation, and the innovation that is needed to enable the transition to happen may not come if there is too much latitude.
