C-MACC Weekly “CRETER” (Climate etc.)
COP26 Unlikely a Cop-Out; But Pressure Could Force Blunders
- The consensus at COP26 so far is that it is time for action rather than words, but very few agreements have yet emerged that have universal backing.
- Easy wins like a ban on deforestation and controlling methane emissions look to have real momentum, but methane leak action could lower natural gas production.
- Most COP26 messaging includes elevated concerns about energy price inflation and how to move forward equitably – less natural gas now would be harmful.
- Recycling is getting less air time for now, but we discuss the challenges of making renewable-based polymer or fuel investments in a high crop price setting.
- Otherwise, we see a step up in carbon capture interest and a need to step up ESG disclosures with more data and fewer generalities.
See PDF below for all charts