The role of infrastructure investment in climate risk management

The change from the emission intensive economy of today to a net zero economy won’t happen overnight, and it won’t happen by accident. For investors, an active and considered approach to portfolio and asset management will likely be required.

Infrastructure portfolios have a number of important roles to play in decarbonisation of the real economy. Of course, the operations of infrastructure assets need to decarbonise. But beyond this, infrastructure assets are critical enablers of the decarbonisation of other sectors. Fulfilling this enabling role will require not only change to existing infrastructure assets, but a significant amount of new infrastructure to provide goods and services – especially energy – in new ways.