{"title":"Insurance and climate change","authors":"Aparna Gupta , Sreekanth Venkataraman","doi":"10.1016/j.cosust.2023.101412","DOIUrl":"10.1016/j.cosust.2023.101412","url":null,"abstract":"<div><p>Climate change challenges are formidable, and especially so for the insurance sector for the economy-wide risk management role it plays. Extreme events, depicted by acute climate risk, and steady deterioration in climate elements, captured as chronic climate risk, pose specific challenges to different segments of the insurance sector. We review these challenges and mitigation, adaptation, and innovation responses being developed, as well as highlight the need for future research and advances to support a resilient global insurance sector.</p></div>","PeriodicalId":294,"journal":{"name":"Current Opinion in Environmental Sustainability","volume":"67 ","pages":"Article 101412"},"PeriodicalIF":7.2,"publicationDate":"2024-04-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"139584876","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"环境科学与生态学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Friederike Rohde , Josephin Wagner , Andreas Meyer , Philipp Reinhard , Marcus Voss , Ulrich Petschow , Anne Mollen
{"title":"Broadening the perspective for sustainable artificial intelligence: sustainability criteria and indicators for Artificial Intelligence systems","authors":"Friederike Rohde , Josephin Wagner , Andreas Meyer , Philipp Reinhard , Marcus Voss , Ulrich Petschow , Anne Mollen","doi":"10.1016/j.cosust.2023.101411","DOIUrl":"https://doi.org/10.1016/j.cosust.2023.101411","url":null,"abstract":"<div><p>The increased use of Artificial intelligence systems (AI systems) is associated with multifaceted social, environmental, and economic consequences. These include nontransparent decision-making processes, discrimination, increasing inequalities, rising energy consumption and greenhouse gas emissions in AI model development and application, and an increasing concentration of economic power. By considering the multidimensionality of sustainability, this paper takes steps toward substantiating the call for an overarching perspective on ‘sustainable AI.’ It presents the Sustainability Criteria and Indicators for Artificial Intelligence Systems (SCAIS) Framework, an assessment framework that contains a set of 19 sustainability criteria for sustainable AI and 67 indicators that are based on the results of a critical literature review, and expert workshops. Its interdisciplinary approach contributes a unique holistic perspective to facilitate and structure the discourse on sustainable AI. Further, it provides a concrete assessment framework that lays the foundation for developing standards and tools to support the conscious development and application of AI systems.</p></div>","PeriodicalId":294,"journal":{"name":"Current Opinion in Environmental Sustainability","volume":"66 ","pages":"Article 101411"},"PeriodicalIF":7.2,"publicationDate":"2024-02-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.sciencedirect.com/science/article/pii/S1877343523001586/pdfft?md5=ac20063128e8f85c3429ef43d55beba3&pid=1-s2.0-S1877343523001586-main.pdf","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"139398832","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"环境科学与生态学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Environmental, social, and governance factor and financial returns: what is the relationship? Investigating environmental, social, and governance factor models","authors":"Karoline Bax , Eleonora Broccardo , Sandra Paterlini","doi":"10.1016/j.cosust.2023.101398","DOIUrl":"10.1016/j.cosust.2023.101398","url":null,"abstract":"<div><p>Sustainable finance and environmental, social, and governance (ESG) issues have garnered significant attention in both industry and academia. However, the lack of consensus on these concepts has led to confusion about their impact on investors and markets, hindering the interpretation of empirical data and the development of effective regulations. This highlights the need for transparent analyses from the finance research community. By reviewing recent asset pricing literature to determine if it has effectively identified an ESG factor, the paper examines theoretical models linking ESG factors to asset performance, with differing views on whether high-ESG firms yield lower returns due to reduced risk or outperform due to sustainable practices and market sentiment. The paper also reviews empirical studies, presenting findings on whether green assets outperform brown assets in financial markets. The paper contributes to the debate on integrating ESG into investment strategies without compromising returns, providing practical insights for investors and policymakers navigating responsible investing.</p></div>","PeriodicalId":294,"journal":{"name":"Current Opinion in Environmental Sustainability","volume":"66 ","pages":"Article 101398"},"PeriodicalIF":7.2,"publicationDate":"2024-02-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.sciencedirect.com/science/article/pii/S1877343523001458/pdfft?md5=a3c0852c84fd79f8ed56e851e8cb2039&pid=1-s2.0-S1877343523001458-main.pdf","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"139094915","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"环境科学与生态学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Innovation through Green Finance: a thematic review","authors":"Danish Ahmed , Hu X Hua , Umair Saeed Bhutta","doi":"10.1016/j.cosust.2023.101402","DOIUrl":"10.1016/j.cosust.2023.101402","url":null,"abstract":"<div><p>The race for economic development worldwide is being brought at the expense of the rapid depletion of natural resources and adverse environmental changes. This has brought our attention to the global urgency of climate change. To overcome this problem, drastic changes are required in our way of living, including consumption, transportation, and production. This requires green innovation flourished by finance (also known as green finance [GF]). Considering this, we conducted a thematic analysis of the previous strand of literature that presents evidence that finance supports green innovation in different phases of life. Our thematic analysis was threefold: 1) we explored the theoretical lens adopted by recent studies in exploring the causal effect of finance in promoting green innovation, 2) we identified the scope of these studies in terms of environmental outcomes covered by them, we called them research themes in this study, and 3) based on our thematic analysis, we highlighted areas needing greater attention by academicians and practitioners. We found that GF positively impacts the firm's green innovation. The main reason discussed in the literature is that the dedicated resource availability for green innovative projects helps to minimize the constraints on funds for innovative projects. One stream of literature also highlights the rise of greenwashing as managers only use these funds for publicity, however, they are not fully committed to sustainability goals. This review provides valuable suggestions to academicians and practitioners regarding effective financial resource usage to progress toward achieving sustainability goals.</p></div>","PeriodicalId":294,"journal":{"name":"Current Opinion in Environmental Sustainability","volume":"66 ","pages":"Article 101402"},"PeriodicalIF":7.2,"publicationDate":"2024-02-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.sciencedirect.com/science/article/pii/S1877343523001495/pdfft?md5=b6249ffdff78f1f5284748056462be06&pid=1-s2.0-S1877343523001495-main.pdf","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"139078639","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"环境科学与生态学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"The finance perspective on fossil fuel divestment","authors":"Auke Plantinga , Bert Scholtens","doi":"10.1016/j.cosust.2023.101394","DOIUrl":"https://doi.org/10.1016/j.cosust.2023.101394","url":null,"abstract":"<div><p>This paper reviews the fossil fuel divestment literature. It argues that the origin of climate change is in the ‘carbon shield’, meaning that fossil fuel firms are not held sufficiently responsible for their externalities. By divesting from these firms, investors do not want to be complicit. The literature differentiates three dimensions in the fossil fuel divestment debate: Justification, Impact, and Agent. The first discusses the justification for divesting, whereas the second discusses the impact of divesting on financial performance and/or emissions, and the third relates to how to accomplish divesting and its consequences for individual agents. The review concludes that the number of perspectives used to analyze the divestment debate is rising, that the environmental and financial impact of divestment is very limited, and that a wide variety of agents relate to divesting from fossil fuel.</p></div>","PeriodicalId":294,"journal":{"name":"Current Opinion in Environmental Sustainability","volume":"66 ","pages":"Article 101394"},"PeriodicalIF":7.2,"publicationDate":"2024-02-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.sciencedirect.com/science/article/pii/S1877343523001410/pdfft?md5=376da3f3a646628ebddf07d57c72ef27&pid=1-s2.0-S1877343523001410-main.pdf","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"138839021","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"环境科学与生态学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Roberto A Sánchez Rodríguez , Luis R Fernández Carril
{"title":"Climate-resilient development in developing countries","authors":"Roberto A Sánchez Rodríguez , Luis R Fernández Carril","doi":"10.1016/j.cosust.2023.101391","DOIUrl":"10.1016/j.cosust.2023.101391","url":null,"abstract":"<div><p>Fostering climate-resilient development (CRD) in developing countries can provide opportunities to create efficient, equitable, and inclusive responses to climate change. However, we are concerned that CRD could become a one-size-fits-all approach in developing countries, despite the IPCC’s recognition that this concept can have multiple trajectories. We analyzed contributions in the international literature that provide information on the features needed to transform CRD from an attractive concept to an operational approach in these countries. We focus on shortcomings and barriers in adaptation and mitigation actions and finance to better understand the challenges CRD needs to address, and we stress the importance of political economy to successfully implement CRD.</p></div>","PeriodicalId":294,"journal":{"name":"Current Opinion in Environmental Sustainability","volume":"66 ","pages":"Article 101391"},"PeriodicalIF":7.2,"publicationDate":"2024-02-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.sciencedirect.com/science/article/pii/S1877343523001380/pdfft?md5=7b1541318c483c68a4dee68e47348984&pid=1-s2.0-S1877343523001380-main.pdf","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"139078762","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"环境科学与生态学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Climate stress testing in the financial industry","authors":"Olaf Weber","doi":"10.1016/j.cosust.2023.101401","DOIUrl":"10.1016/j.cosust.2023.101401","url":null,"abstract":"<div><p>Climate-related risks for the financial sector have been discussed since the then-Governor of the Bank of England mentioned these risks as the tragedy of the horizon. Shortly after, research about stress-testing the impact of climate change on the financial sector was published. They use various methods that address the climate-related Value-at Risk and other financial risks. We conducted a systematic literature analysis in Scopus and analyzed the data using VOSViewer. In addition, we analyzed the most cited papers in detail. Our analyses found that stress testing, as a sustainable finance risk management tool to address financial stability, connects climate change with financial risks. Different stress-testing approaches found significant climate-related financial impacts on equity and loan portfolios. We conclude that research is needed to guarantee reliable, valid, and standardized climate-related stress testing.</p></div>","PeriodicalId":294,"journal":{"name":"Current Opinion in Environmental Sustainability","volume":"66 ","pages":"Article 101401"},"PeriodicalIF":7.2,"publicationDate":"2024-02-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.sciencedirect.com/science/article/pii/S1877343523001483/pdfft?md5=3d681adc64a8a8ac04ccda878e227dc1&pid=1-s2.0-S1877343523001483-main.pdf","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"139067085","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"环境科学与生态学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"The need for a climate-resilient development-aligned framing of innovative climate finance","authors":"Jessica Omukuti","doi":"10.1016/j.cosust.2023.101400","DOIUrl":"https://doi.org/10.1016/j.cosust.2023.101400","url":null,"abstract":"<div><p>The increasing recognition of the importance of climate-resilient development (CRD) for developing countries is accompanied by a further recognition of the need for financial resources to meet the need for adaptation, mitigation and sustainable development in these countries. Innovative finance sources and mechanisms are therefore recommended as a solution for scaling up climate finance to meet CRD needs in developing countries. This review article examines the alignment between innovative climate finance and CRD. It argues that the operationalisation of innovative climate finance generates misalignments with CRD principles particularly relating to how the finance is sourced, governed and allocated. This fails to align with CRD principles of ensuring transformations and transitions, equity and justice and agency and empowerment. The review article proposes an expanded and CRD-aligned understanding of innovative climate finance that improves the governance of existing climate finance flows.</p></div>","PeriodicalId":294,"journal":{"name":"Current Opinion in Environmental Sustainability","volume":"66 ","pages":"Article 101400"},"PeriodicalIF":7.2,"publicationDate":"2024-02-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.sciencedirect.com/science/article/pii/S1877343523001471/pdfft?md5=2a3c96849a8c1ad7c324276fefd713d6&pid=1-s2.0-S1877343523001471-main.pdf","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"139108059","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"环境科学与生态学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Environmental impact bonds: review, challenges, and perspectives","authors":"Annarita Trotta","doi":"10.1016/j.cosust.2023.101396","DOIUrl":"10.1016/j.cosust.2023.101396","url":null,"abstract":"<div><p>Environmental impact bonds (EIBs) are innovative financial models included in the toolbox of impact investing that focus on environmental challenges. Recently, they have received an increasing amount of attention, in line with the expansion of environmental finance research. However, to date, there is no complete knowledge on this topic, either in theory or in practice. This article offers a concise view of the EIB landscape, based on a literature review, through the analysis of the structure and the evolution of the research field, as well as challenges and research opportunities. The results provide a roadmap for future directions, which is useful to help academics focus their studies on underinvestigated areas within this research niche.</p></div>","PeriodicalId":294,"journal":{"name":"Current Opinion in Environmental Sustainability","volume":"66 ","pages":"Article 101396"},"PeriodicalIF":7.2,"publicationDate":"2024-02-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.sciencedirect.com/science/article/pii/S1877343523001434/pdfft?md5=47775f1299b5f660b9b43637b4e6fc6c&pid=1-s2.0-S1877343523001434-main.pdf","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"139052194","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"环境科学与生态学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"A resilience-based transformations approach to peacebuilding and transformative justice","authors":"Per Olsson , Michele-Lee Moore","doi":"10.1016/j.cosust.2023.101392","DOIUrl":"10.1016/j.cosust.2023.101392","url":null,"abstract":"<div><p>Moving from a state of war or violent conflict will require a transformation, but there are no guarantees that transformations automatically lead to peace, sustainability, and justice. This review focuses on the temporary phase when a system is in limbo between the existing, dominant state and a new alternative state. We combine insights from a resilience approach to transformations with peacebuilding and transformative justice studies to focus on three roles that hybrid approaches to transformative and transitional justice may play in this phase, including 1) addressing ‘backlash’ dynamics, 2) strengthening the capacities needed to navigate cross-scale dynamics of conflict, and 3) responding to additional shocks, crises, and disturbances beyond the primary conflicts. Together, these findings advance the theoretical foundations for understanding peacebuilding as a transformative change process.</p></div>","PeriodicalId":294,"journal":{"name":"Current Opinion in Environmental Sustainability","volume":"66 ","pages":"Article 101392"},"PeriodicalIF":7.2,"publicationDate":"2024-02-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.sciencedirect.com/science/article/pii/S1877343523001392/pdfft?md5=71114af2cf3a0811cf4345755e608cb2&pid=1-s2.0-S1877343523001392-main.pdf","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"138553389","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"环境科学与生态学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}