“In the coming years, Europe has an opportunity to win back the initiative in climate technology – a sector in which it is a global leader in innovation. 1. Investment in green technologies and companies has continued to grow in recent years, but at a slowing pace. A reacceleration is necessary for countries to keep net-zero emissions goals intact. 2. While core investments in upgrading the energy grid and transportation system continue to drive the energy transition, some developmental technologies, such as hydrogen, have lost momentum. They require public and private cooperation if polluting industrial sectors are to be decarbonised. 3. As the Trump administration deprioritises climate protection and Europe ramps up infrastructure investment, European companies have an opportunity to take back the initiative in a sector in which they are leaders in global innovation. 4. Providing incentives to high CO2-emitting industries to invest in the energy transition will be crucial to keeping decarbonisation goals on track. Reversing the decline in some areas of transitional finance, such as sustainability-linked bonds (SLBs), could strengthen companies’ long-term transition plans.”
Morten W. Larsen
