With No Climate Bill in Sight, Investors Turn to China
It turns out that an economy-wide cap on carbon emissions really is necessary to spur investment in what President Obama likes to call the “clean energy economy.” At least for Deutsche Bank.
Politico pointed today to an Aug. 11 Reuters story that says Deutsche Bank will funnel the $6 billion to $7 billion in investment money it puts aside for climate change not to the United States, but to Western Europe and, wait for it, China.
According to Reuters:
Amid so much political uncertainty in the United States, Parker said Deutsche Bank will focus its “green” investment dollars more and more on opportunities in China and Western Europe, where it sees governments providing a more positive environment.
“They’re asleep at the wheel on climate change, asleep at the wheel on job growth, asleep at the wheel on this industrial revolution taking place in the energy industry,” [Deutsche Bank's Kevin] Parker said of Washington’s inability to seal a climate-change program and other alternative energy incentives into place.
It’s the nightmare scenario for the renewable energy industry, which has been howling in recent months over a lack of investment in renewable energy technology. And it appears to play right into Democrats’ talking points. A failure to act on climate change legislation is in fact driving investment to other countries, including China, which announced last month that it would begin capping its greenhouse gas emissions.