Our Energy and Nature Transition Blogs

Figure 1: Ministry of Economy, Trade, and Industry, 2023 Key Recommendations This paper offers three core implications for investors and financial institutions to consider:   Reassessing nuclear exposure as a transition finance opportunity, rather than a blanket ESG exclusion, particularly for long-duration fixed-income portfolios. Prioritizing policy credibility and regulatory stability as core credit factors when pricing Japanese utility bonds, above traditional spread or y

Source: Centre for Research on Multinational Corporations “As we reflect on the future of trade, we should always remember its contribution to lifting living standards across the world, and that balanced approaches are needed, in order to mitigate supply chain risks without unduly compromising the benefits that come from global trade for competition, innovation, productivity, efficiency and ultimately growth.“ OECD Secretary-General Mathias Cormann   As the business environme

Source: European Central Bank: Occasional Paper Series No 380, Chart 3 As biodiversity loss and shocks to ecosystems increase due to climate change, there are more impacts than just what meets the eye. Nature Value at Risk (NVaR) evaluates shocks within ecosystem services and how these issues impact production, supply chains, and credit exposure.   NVaR dives into endogenous risk and displays the negative impacts of economic activity financed by banks, and how this financing

Global Trade Balance of Liquefied Natural Gas (2023) Global Liquefied Natural Gas (LNG) markets are entering a turning point. The United States and Qatar, are leading a wave of new supply, building faster than demand can adjust. In recent years, LNG demand growth has weakened, particularly in Asia, reducing its role as the marginal buyer and forcing flexible cargoes to be redirected, with Europe acting as a temporary absorber. However, long-term gas demand growth is still exp

LSEG Refinitiv Data: Sovereign Sustainability Risk Monitor Responding to industry desires to simplify reporting, the European Financial Reporting Advisory Group (EFRAG)  revised the European Sustainability Reporting Standards (ESRS) to reduce sustainability reporting requirements under the EUs Corporate Sustainability Reporting Directive (CRSD). Why This Matters Policy Changes:  The simplification of the Double Materiality Assessment (DMA)  gives companies' flexibility, resu

COP30 marked an important step for carbon markets as Singapore, Gold Standard , and Verra  launched the Article 6.2 Crediting Protocol , facilitating governments to use voluntary standards for compliance. The concept for the Protocol was first announced by NCCS, Gold Standard, and Verra at COP28 in Dubai in December 2023. At COP29 in Baku in November 2024, initial recommendations  were published to outline key concepts and processes. Together, these developments paved the way

Insect decline in the Anthropocene: Death by a thousand cuts Source: PNAS Biodiversity collapse means decline insects that pollinate our feed leading to global food supply crises. When people think of species at risk of extinction, insects do not immediately come to mind. Research shows that various types of insects have declined over 70% . From pollinating crops to feeding other animals, our economy needs insects. The goal of this research is to bring attention to the issue

Source: Doughnut of social and planetary boundaries monitors a world out of balance As the COP30 Conference came to a close on Tuesday, the global community expressed concern over a lack of action on fossil fuel emissions and deforestation. Moving forward, global climate leaders must prioritize a zero fossil fuel emissions plan by 2040 and take action to protect the ecosystems our economies depend upon given that the global economy is surpassing its ecological limits – its pl

The OECD has released its Effective Carbon Rates 2025 report , providing a comprehensive assessment of how carbon is priced across 79 countries through carbon taxes, emissions trading systems, and fuel excise taxes. The report shows that although carbon pricing frameworks are expanding and becoming more complex, less than half of global emissions are exposed to a meaningful price signal, while many sectors continue to be loosely regulated by weak constraints, including free a

Our Earth System and Featured Tipping Points, Global Tipping Points Report . Due to Global Warming, the earth is on track to surpass 1.5 °C . This demonstrates both destructive effects on nature systems and devastating impacts on communities around the world. Coral Reefs, The Amazon Rain Forest, and many other natural systems are at extreme risk. This highlights the need for collaboration among experts in nature, finance, and climate change as well as leaders and policymakers

Source: Global Project Finance Spread . Special thanks to Christian Wilson, Gireesh Shrimali, and Ben Caldecott for their paper Financing costs and the competitiveness of renewable power ( https://doi.org/10.1016/j.isci.2025.113777 ) . Capital costs now play a decisive role in determining whether solar and wind can compete with fossil fuels. Rising interest rates have increased borrowing costs for all technologies, but renewables have been hit twice as hard. Lowering the we

BloombergNEF : Graph of BloombergNEF Biodiversity Funding Priority Regions in 2024 Biodiversity, such as species and habitats, is the foundation of all ecosystems . The responsibility to prevent loss in biodiversity falls on corporations that benefit from nature's services. Implementation of biodiversity and ecosystem measures demonstrate important action taken by companies to prioritize nature assessments. As emphasized by Bloomberg , nature and climate display intrinsic dif

Ten years on, the Paris Agreement remains the backbone of global climate cooperation. It has lowered projected warming by nearly 1°C and reshaped policy, finance, and technology. Yet current commitments and implementation still fall short. The 1.5°C goal is slipping out of reach unless action accelerates dramatically this decade.  Source: UNEP Why This Matters?   At the current pace , the 1.5°C carbon budget will be exhausted before 2030.  Even if every current pledge is met,

Over the longer term, oil demand growth is expected to slow, shifting toward emerging economies and petrochemicals while demands in OECD countries and transportation use declines. This widening gap between rising supply and plateauing demand signals a more volatile market—new risks for investors, businesses, and policymakers navigating the energy transition Why It Matters?   Investors : oil prices may weaken, affecting returns and highlighting the need to integrate additional

LNG which was once the flexible bridge fuel of the energy transition, is now possibly the next oversupplied commodity. A new report from LSEG  shows a risk of oversupply for the global LNG market. If many of the projects that have not reached a final investment decision (pre-FID) are built, global liquefaction capacity could grow at about 8.1% compound annual growth to 2035 far faster than expected demand. In short, the market is facing long-term oversupply, according to  L

Crude exports from Corpus Christi from Jan 2024 to Oct 2025 concentrate heavily in a few markets. The top ten destination countries take about 73% exports, with the United States alone at roughly 16%. Many of those top destinations for example the U.S., South Korea, the Netherlands, the U.K, Germany and Spain are also recording fast EV growth, which shrinks future transport oil demand. ( EVs & Beyond ) This overlap creates a possible structural risk for long-run crude demand

U.S. LNG Exports, Monthly, By Port, 2022-2025 (Source: Refinitiv). Global LNG capacity is projected to grow by 60% by 2030, with the U.S. expected to contribute half of that growth. The Corpus Christi LNG terminal, operated by Cheniere Energy, is rapidly emerging as a cornerstone of the U.S. liquefied natural gas export boom. This rapid expansion could lead to a significant oversupply, meanwhile, domestic U.S. gas prices face upward pressure due to slower deployment of renewa

Source: AP Photo/John Locher For the first time, renewables have overtaken coal as the world’s largest source of electricity, marking a pivotal shift in the global energy transition. Despite surging demand, clean energy is scaling fast enough to meet new needs and curb emissions. With global clean-energy investment projected to reach $2 trillion in 2025, the shift reflects not ideology but market momentum transforming the world’s energy and financial systems.   Why This Matte

Source: Olivier Hoslet/EPA/Shutterstock Europe is warming faster than any other continent. Between 2020 and 2023, climate-related damages...

Source: Guardian . As reported by Responsible Alpha one year ago , as greenhouse gas emissions warm and freshen the North Atlantic, a new...

Pictures from some of the Responsible Alpha bilateral meetings during NYC Climate Week 2025 with aligned organizations. After meeting...

SSV Corwith Cramer. Note: Responsible Alpha President and CEO Gabriel Thoumi spent 6 months at sea over four trips starting in 1990...

Source: DPG and DMG The German Physical society (DPG) and the German metrological society (DMG)  jointly issued a dire warning, stating...

Source: Dimas Rachmatsyah @ Unsplash A new study shows that over 72% of euro area companies and $3.76 trillion in loans rely on critical...