The adaptation of the financial system is one of the major challenges posed by the transition to a low-carbon economy. The research work already carried out has shown the lack of long-term investors, the need for new products and strategies, both on the part of private actors and public authorities, not only to align financial flows with the objectives of the energy transition, but also to address the new financial risks associated with climate change.
Future work will be structured around this issue and will benefit of the seminar series conducted with the joint participation of researchers, professionals and regulatory authorities. Working papers, policy papers and academic articles will review the state of the debate and knowledge on financing issues and the financial risks of the energy transition.
This axis deals with four core research topics:
1/ Financial regulation for the energy transition
2/ The evolution of central banking in the context of the energy transition
3/ Innovative financial schemes for the energy transition
4/ Corporate governance and energy transition
Coordination: Jézabel Couppey Soubeyran (University Paris 1), Dominique Plihon (University Paris 13, CEPN), Sandra Rigot (University Paris 13 CEPN)
Researchers : Sandra Cavaco (Université Panthéon-Assas), Cécile Cézanne (University Nice Côte d’Azur, Gredeg), Patricia Crifo (Ecole Polytechnique), Samira Demaria (University Nice Côte d’Azur, Gredeg), Caroline Granier (Fabrique de l’industrie), Hugues Chenet (University College London), Jean-Stéphane Mésonnier (Banque de France), Nicolas Mottis (Ecole Polytechnique), Laurence Scialom (Université Paris Ouest), Antoine Rebérioux (Université Paris 7)
Doctoral students : Vincent Bouchet (Ecole Polytechnique), Clémence Bourcet (Université Paris 13, CEPN), Jérôme Deyris (Université Paris Ouest)
This article demonstrates that the green bond cannot constitute an incentive to carry out a green project.
We propose an exploratory and theoretical study which introduces how and why a particular and innovative ecological accounting approach, the CARE model, currently called upon by a growing number of practitioners and researchers, is a relevant framework to re-conceptualise the issue of climate finance
Using textual analysis methods, we study how the topic of climate change has appeared and evolved in the speeches of the ECB's Executive Board members since 1997.
This article studies how institutional dynamics might affect and be affected by the implementation of climate-related financial policies.
This article point out why current banking regulation is not adequate to face risks whose origin is grounded outside financial markets and offer avenues for reforming macroprudential regulation.
We assess the impact of environmental externalities on portfolio decisions in a lab-inthe-field experiment on finance professionals and students. Subjects show pro-environmental preferences, with...
This paper tries to fill this gap of research on the significance and evolution of renewable energy crowdfunding by providing a bibliometric analysis of academic work on renewable energy crowdfunding.
The article presents a ‘precautionary’ financial policy approach to deal with Climate-related financial risks instead of the current framework which largely focuses on market-based solutions
We investigate the real effects of mandatory climate-related disclosure by financial institutions on the funding of carbon-intensive industries.
On the basis of the TCFD recommendations, this article develop an original composite index: the Climate Risks and Opportunities Reporting Index (CRORI).
This article aims to analyse the compliance of CAC 40 firms with the recommendations of the Task Force on Climate‐related Financial Disclosures.
This article conducts a bibliometric analysis of the academic publications on the financing of renewable energies referenced in Web of Science up to June 2018. Our analysis reveals 11 main clusters. We highlight the fact that a majority of the sample focuses on market-based policy instruments used to support renewable energy development.
Based on the 2018 Intergovernmental Panel on Climate Change scenarios, this article studies the credit risk sensitivity of 795 international companies to carbon prices.
This article examines the role of sustainable finance and investment in Japan and how the Japanese financial sector can mitigate growing climate risks and support Japan's transition towards a zero-carbon, sustainable economy.
Article published in Industrial Relations (Avril 2020) This article examines the relationship between corporate governance and corporate sustainability by focusing on an essential component...
This paper aims to review the growing, though limited, body of literature that has emerged in the late 2000s to study the quantitative determinants of RE development at a country level.
Article published in Climatic Change (2019) The finance sector’s response to pressures around climate change has emphasized disclosure, notably through the recommendations of the...
Based on content analysis of firms’ reference documents over 2015-2017, this article examines CAC 40 firms’ compliance with the recommendations of TCFD by building a new index to measure the disclosure of environmental information.
This paper is an introduction to climate change risk for the financial sector (banks and investors). It aims to provide financial professionals, researchers and policymakers in the area of banking and investment with a snapshot of the current state of the art and guidance on the relevant literature to go further.
This paper studies whether and how a country's environmental, social, and governance (ESG) performance relates to its sovereign borrowing costs in international capital markets.
This paper analyzes the potential benefit of using subsidies conditional on success or failure of an R&D program, rather than a flat subsidy.
In their response, experts associated with the Chair emphasize the predominance of accounting standards over non-financial information to guide corporate strategies. Accounting is not neutral, and the fact that it does not integrate human and natural capital is a major obstacle to achieving the EU's sustainability objectives.
The aim of this paper is to explain why there is insufficient long-term capital investment despite the abundant savings collected by a booming financial sector. Special attention is given to understanding the role of today’s accounting and prudential requirements.
The paper shows that International Financial Reporting Standards (IFRS) can affect long-term asset allocation of banks and insurance companies. International accounting standards do not differentiate between low and carbon intensive investment and do not take into account climate risks beforehand.
This paper examines the relationships between corporate governance and corporate sustainability by focusing on two main components of companies’ governance structure: boards of directors and investor relations officers.
This article seeks to investigate whether the fair value accounting may have short-termist bias on the financing of long-term investment.
Article published in Environmental and Resource Economics – September 2017 Abstract. We consider a partial equilibrium model to study the optimal phasing out of...
Download all the material that has been produced during the Symposium for the High Level commission on Carbon prices (17 May 2017).
The article examines whether the extra-financial performance of countries on environmental, social and governance (ESG) factors matters for sovereign bonds markets. Using a panel regression model over a data set with 23 OECD countries from 2007 to 2012, it shows that ESG ratings significantly decrease government bond spreads.
Impact investments are emerging as a new asset class of social finance, sometimes driven by multinational enterprises as part of their strategic corporate social...
Impact investments are emerging as a new asset class of social finance. The article is based on on a three year action-research program conducted with Schneider Electric. It analyzes the perceptions of the Schneider Electric impact investing fund’s managers’ regarding emerging societal performance management procedures they were urged to adopt.
France Stratégie and the Chair Energy et Prosperity are teaming up to organize a workshop on the contribution of the financial system to the energy transition and climate stabilization. The
The Chair Energy and Prosperity is partner of the International Symposium on Money, Banking and Finance, annual meeting of the European Research Group on Money Banking and Finance.
Quand la finance s’intéresse aux risques financiers posés par le réchauffement climatique En septembre 2015, Mark Carney, gouverneur de la Banque d’Angleterre et Président...
Dans le cadre de son semestre thématique consacré au financement de la transition énergétique, la Chaire énergie et prospérité a organisé une seconde session...