ABSTRACT
A global transition to a low-carbon economy requires the large scale mobilization of financial, technological and organizational resources, many of which are concentrated in the hands of large multinational corporations. Of the US$500 billion in annual global investment needed over the coming decades to keep warming within a 2ºC limit, more than 80 per cent will have to come from private sources. 2 Climate change presents a profound strategic challenge to business, however. Measures to control the emissions of greenhouse gases (GHGs) most directly threaten sectors that produce and depend on fossil fuels, such as oil, power and transportation. Managers in energy-intensive industries, including cement, chemicals, paper and metals, have also been concerned – understandably – with the regulatory risk of higher costs for fuels and lower demand for energy-intensive products.
