Money

The cost of achieving zero carbon emissions over time cannot be precisely determined, as it will depend on the rate of innovation and the effectiveness of implementation. Nevertheless, it is clear that it will require significant investments. Fortunately, the United States benefits from robust and innovative capital markets that can quickly support and develop new ideas, and the federal government can play a crucial role in facilitating private sector investment, by Quintupling clean energy and climate-related R&D over the next decade.

In contrast, other countries, such as China, India, and many European nations, may not have equally robust private markets, but they can still make significant public investments for climate change. Multilateral banks, such as the World Bank and development banks in Asia, Africa, and Europe, are also increasingly interested in investing in this area.

It is evident that investment in climate change will require a significant and sustained ramping up of financial resources. To achieve this, governments and multilateral banks must find ways to attract private capital, as their budgets alone may not be sufficient. Investment in climate change requires a long-term approach, and the risks are high. Therefore, the public sector should use its financial strength to extend the investment horizon, recognizing that returns may not be seen for many years, and to reduce the risks associated with such investments. It will be challenging to combine public and private funding on a large scale, but it is essential. Consequently, the most skilled financial minds must work on developing innovative solutions to this problem.

Gates, Bill. How to Avoid a Climate Disaster (p. 211). Penguin Books Ltd. Kindle Edition.