Climate change reportedly costs economy $970 billion
The world's 215 leading corporations put the economic risk of climate change on their own businesses at more than $970 billion, according to a survey by the Carbon Disclosure Project (CDP). Particularly worrying is the fact that the companies surveyed see the majority of the projected costs occurring in the next five years.
In order to examine the economic impact of climate change, the Carbon Disclosure Project (CDP) has collected and analyzed data and assessments from almost 7,000 companies. The big players include global corporations such as Apple and Microsoft, food giant Nestlé, chemical giant BASF, Bayer, Allianz, BMW and Adidas.
Business lines that are no longer profitable
Climate change is increasingly seen by managers as the biggest challenge of this century. Due to expected higher prices for greenhouse gas emissions and associated legal regulations, many companies see increasing financial burdens coming their way. According to CDP calculations, this could mean $500 billion for the big players.
Write-downs on businesses that are no longer profitable are expected to total $250 billion, according to CDP. CDO was founded in 2000 as a non-profit organization.
More about the studies of the Carbon Disclosure Project can be found at here
