Renewable Energy Leaders Urge Insurance Sector’s Involvement in Global Decarbonization

Leaders in the sustainable energy industry have emphasized the critical role of insurers and reinsurers in the global push for decarbonization, highlighted at the Geneva Association 50 Summit. Tyson White of Breakthrough Energy underscored the insurance sector’s vital function in risk management and investment for the large-scale implementation of green technology.

Joachim Meister from Worley pointed out the challenges innovators face in acquiring insurance for projects involving new technologies or scale-ups. He emphasized that financial backers rely on insurance for project feasibility, making insurance a key player in risk allocation and project bankability. The discussion gains significance as the world prepares for COP28, with experts like Nigel Brook from Clyde & Co highlighting the increasing recognition of insurance’s role in facilitating the energy transition.

The insurance industry’s involvement is crucial for speeding up the development of technologies like hydrogen energy, ultimately aiding the global carbon transition.