NEW investment is in danger of heading overseas if business continues to look for an escape from the harsh realities of climate change and does not begin a reallocation process of capital towards sustainable investments, says a visiting expert on climate change investment.
James Cameron, co-founder of British-based investment banking group Climate Change Capital, said Australia could “miss the boat” on millions of dollars of investment if the Government accepted Professor Ross Garnaut’s recommendation of a 10% cut in emissions levels by 2020.
Mr Cameron, who will speak at the Australian Super Investment Conference today, told BusinessDay that fund managers, institutional investors and business might look towards Europe if a $20 a tonne carbon price was adopted in Australia.
“If there is a higher carbon price in Europe then investment will go there and thrive there,” he said. “A 10% reduction is still meaningful but it doesn’t compare to the level of commitment that is being put in on other levels at least at the policy level.”