Net-Zero ESI
Which investments move the economy to net zero fastest?
The energy transition is under way, but not fast enough to keep warming well below 2°C. Capital, public and private, has gone to solutions of unequal impact, most of them judged one at a time rather than evaluated against the socio-economic system response as a whole. No practical framework yet helps evaluate their effective potential to shift the economy against the pace the IPCC's decarbonisation pathways require.
The method in brief
Net-Zero ESI (Enabling Supporting Interventions) helps choose an investment strategy against two questions: how effective it is at cutting aggregate greenhouse gas emissions as fast as possible, and how compatible it is with reaching net zero at global and national level.
The method is sector agnostic and systemic. It uses the IPCC's decarbonisation pathways as its reference, together with sectoral marginal abatement cost curves for carbon and the EU taxonomy.
The guide will:
- Provides a methodology for selecting capital that maximises the pace of aggregate emissions decrease, for policy and for decision-making.
- Give a framework for evaluating any activity or innovation, technological or nature-based, and show how to relate them to a greenhouse gases inventory.
- Help business leaders form coherent firm-level investment strategies and qualify each investment against the net-zero goal.
Net-Zero ESI complements APres™. APres tests a value proposition against the planetary boundaries; Net-Zero ESI tests an investment strategy against the pace of the transition to net zero.
Who it is for
- Anyone who needs to move from greenhouse gas accounting to action.
- Those who design or assess firm-level investment strategies and ask whether they move the economy towards net zero.
- Policy makers and researchers who need to compare solutions on a single basis.
This method is in development
This method is being written and has not been published yet.
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