COP26 takes place this week in Glasgow and we asked industry experts what they were expecting from the event. Randeep Somel, manager of the M&G Climate Solutions Fund at M&G Investments.
The key to this COP summit will be for more countries following the lead of the US, UK and EU and setting intermediate carbon-reduction targets to help further the required investment. Developed countries also need to help emerging countries in their funding for the transition.
A success for the COP26 summit will be reaching the $100 billion target so poorer countries can also push on with their decarbonisation journey. A global plan for pricing carbon so its externalities are incorporated would be a watershed moment. The EU has begun a carbon trading scheme as have parts of China and the US. However, for this to be successful it will take global co-operation and COP26 is a good forum for these discussions to advance.
Finally, co-operation to tackle hard to abate emissions – i.e. those that cannot be electrified, will also be needed to reach net zero. Advancements in clean hydrogen and carbon capture and sequestration plans would be a significant development at COP26.
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