The energy transition is a pathway toward transformation of the global energy sector from fossil-based to zero-carbon by the second half of this century. At its heart is the need to reduce energy-related CO2 emissions to limit climate change.

As investors, the public and finance providers become increasingly aware of the threat posed by climate change they are using their money to drive change; from consumer choices to green share price premiums and cost of borrowing. Regulators are also increasing pressure through both regulation and incentives. Finance, the life blood of business, is now inextricably linked to ESG (environmental social governance).

This pressure and accompanying risk flows down the supply chain; each tier demanding improved ESG from the tier below. Thus clients give preferential treatment to better performing suppliers. As a result, the revenue and sales numbers of almost all businesses are now also firmly wedded to ESG.

Business leaders face a triple whammy; finance impact, sales revenue and risk. Risk from physical effects of climate such as flooding, risk from changing regulations, risk of talent acquisition and risk from not transitioning to the new energy world. Many businesses are also taking a lead in their sector from a moral perspective, recognising the important role the enterprise has.