2010 has been a tough year for the global climate agenda. Policy pessimism after Copenhagen has been compounded by (largely unfounded) doubts over climate science along with governments backtracking on commitments in key countries. But looking through the fog of the carbon war, a new climate economy is starting to emerge, driven as much by resource scarcity and industrial innovation as by the raw realities of global warming.
According to the US National Academy of Sciences, it is now a "settled fact" that warming is taking place and that humans are largely responsible. This year’s extreme weather events – fires in Russia and floods in Pakistan and China – have reminded everyone that climate change is a threat that should not be ignored. Beyond this, it is self-evident that mounting pressures on energy, land and water resources require a step-change in economic behaviour, offering growth, employment and trade benefits for those countries that take a lead in climate business.
HSBC sizes the climate economy
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