Odd Lots Daniela Gabor on the Critical Case Against Private Sector ESG
May 24, 2021
Daniela Gabor, a Professor of Economics and Macro-Finance at UWE Bristol, delves deep into the complexities of ESG investing. She critiques the ESG industry's transformation of public issues into lucrative investments. The discussion examines the balance between public policy and private capital, the risks of privatized profits amid environmental goals, and the increasing influence of youth movements on financial reforms. Gabor also emphasizes the challenge of defining sustainable investments and the potential pitfalls of greenwashing.
AI Snips
Chapters
Transcript
Episode notes
ESG and Macro-Finance
- Daniela Gabor discusses the rise of ESG investing within the context of macro-finance regimes.
- These regimes involve governments, central banks, and private finance collaborating on the low-carbon transition.
Public vs. Private Investment
- Governments have increasingly relied on private finance for achieving climate goals.
- This approach contrasts with traditional public spending, potentially limiting private profit opportunities.
Ghana's Sankofa Project
- Ghana's Sankofa gas project illustrates de-risking's hidden costs.
- The state guarantees cash flows, but pays $500M annually for unused capacity due to inadequate infrastructure.