Mitigating risk, seizing opportunity.
Climate change raises a range of risks and opportunities for business.
Some of the immediate downsides are obvious, such as the increasing frequency of extreme weather events that can damage infrastructure and constrain economic growth. At the same time, policy and market levers are combining to drive the transition to a low-carbon economy – a process that must be carefully controlled to ensure meaningful progress while avoiding an economic shock.
There is also the rising threat of litigation as corporates are targeted by claimants demanding compensation for historic emissions and greater transparency on climate-related risk. Similar goals are being pursued by long-term investors, who are seeking more robust data on which to base their decisions and pressuring companies to decarbonise their portfolios.
In a world where geopolitical relations are increasingly fragmented and progress towards the goals of the Paris climate agreement remains elusive, global companies will play a vital role in the fight against climate change.
There is huge demand for sustainable infrastructure to aid the energy transition, while technological innovation offers massive potential to reduce emissions. Businesses that take the lead will open up new markets and build consumer trust, secure new sources of investment and attract the brightest talent.
Our work in relation to climate change includes representing clients on emissions-related disputes along with investor-state arbitrations linked to regulatory change. We also advise clients on ESG-linked investor relations, cross-border acquisitions and green bonds designed to finance renewable energy projects around the world.
The suit alleges that RWE bears some responsibility for the melting of mountain glaciers near Mr Lliuya’s home town of Huaraz and is obliged to compensate him for the adaptation costs he has to incur.
These include identifying current policy, legislative and litigation issues, and risk mitigation techniques. The mandate saw us bring together a broad team made up of climate change litigation, governance and reporting, sustainability and regional experts.
The dispute arose from investments in the renewable energy sector by the company, which suffered substantial losses due to Spanish regulatory action