Green finance sector expected to discuss issue of climate justice at COP25

(EurActiv, 2 Dec 2019) Just before the COP25, which takes place in Madrid from 2-13 December, France’s leading financial institutions discussed the issue of climate justice and corporate social responsibility at the Climate Finance Day in Paris on 29 November. EURACTIV France reports.

After a year marked by the ‘yellow vest’ movement in France, the acceptability of environmental measures has become a vital issue, including for the financial sector.

As proof, trade unionist Laurent Berger, head of the French Confederation of Labour, participated in the opening debates of the Climate Finance Day and insisted on the European social model.

Building compromises

“If the social issue is not included in the investment plan being discussed by the new Commission, it will not work,” Berger said. As an example, he cited coal-fired power plants, which require conversion plans if phase-outs are to be successful.

“It is necessary to build compromises, and to recognise the value of those in the company who want to preserve the European social model,” he hammered in front of bankers.

The issue of corporate social responsibility and the climate issue share a common handicap – neither contribute to the profitability of short-term investments.

However, “since 2014, our ESG-labelled [environmental, social and governance], equity funds have outperformed the market,” said Jean-Jacques Barberis, who is the head of the institutional and corporate client services for asset management giant Amundi and a member of the Finance For Tomorrow office.

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EurActiv, 2 Dec 2019: Green finance sector expected to discuss issue of climate justice at COP25