William Yu, co-founder and CEO of ESG for Climate Action International Conference 2023 hosted by the World Green Organisation, address the event on Oct 31 in Cyberport. (XU WEIWEI / CHINA DAILY)

Facing the urgency of the climate crisis, immediate and meaningful actions are needed to create a world that is just, sustainable, and inclusive for all, analysts said at an environmental forum in Hong Kong.

The experts noted that we are standing at a crossroads, where acknowledging the problem is not enough. Instead, we must embrace the available solutions and take bold steps towards their implementation, they said.

One clear consensus is the duty of developed countries to uphold their climate finance commitments, providing $100 billion annually and increasing transparency.

Nam Sang-min

Director of the Environment and Development Division at ESCAP

The discussion took place on the second day of the ESG for Climate Action International Conference 2023, held in the Hong Kong Special Administrative Region on Oct 30 and 31.

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“Today, we gather to address a matter of utmost significance that holds far-reaching implications for our collective future and the global effort to combat climate change,” said Daniel R. Fung, vice-chairman of Hong Kong’s Financial Services Development Council, who was a guest speaker at the event.

“The imperative transition to a green economy is at the core of our pursuit of sustainable and high-quality development,” Fung added.

William Yu, the co-founder and CEO of conference hosts the World Green Organisation, said it is crucial to explore how GHG emissions can be reduced within the portfolios of investors.

However, Yu noted that “the assessment of financed emissions is a complex task, particularly for asset classes outside of equities and corporate bonds”.

“We need to consider how we can influence investment strategies across the board, from individual investors to corporations and family offices,” he said.

According to Yu – whose opening remarks focused on the realm of green finance and sustainable investment to resolve the climate crisis – his observation is to strive for cross-disciplinary collaboration involving climate scientists, ecologists, and finance experts to achieve the shift.

Nam Sang-min, director of the Environment and Development Division at ESCAP, also said that a key discussion point, central to the Paris Agreement, is that of climate finance. 

One clear consensus is the duty of developed countries to uphold their climate finance commitments, providing $100 billion annually and increasing transparency, Nam noted.

For true change to occur and for the world to become a safe and more livable place, we must strive for a balanced approach, said co-founder and president of the World Green Organisation Albert Oung.

According to Oung, the UN Asia Pacific Green Deal and the Association of Southeast Asian Nations (ASEAN) Green Deal were launched in 2022, rooted in values that resonate deeply with Asian cultures, “where life is respected above mere economic gains”. 

“These policy frameworks provide aggressive, commercially viable solutions to combat climate change and address the consequences of extreme weather events and human malpractices,” said Oung, who is also co-chairman of the ASEAN Economic Club. 

Participants take a group photo at the ESG for Climate Action International Conference 2023 hosted by the World Green Organisation on Oct 31 in Cyberport. (XU WEIWEI / CHINA DAILY)

“However, as we navigate this transformative era, we must recognize that a new world order is emerging, characterized by multi-polarization.”

Oung noted that the new order seeks to foster goodness and justice through global standards and measurements, driven by the vital implementation of environmental, corporate, and social governance (ESG) initiatives and the United Nations' 17 Sustainable Development Goals.

Fung also mentioned that whilst the European Union has already carved out a mature carbon market, Asia, especially the Chinese mainland is gaining momentum. China has shown “an impressive commitment to turning the tide against climate change”, he noted.

At the same time, he highlighted Hong Kong’s pivotal role in connecting the Chinese mainland’s carbon market to the global stage. The city is “well-positioned” to facilitate international investment in the Chinese mainland’s carbon market and vice-versa, Fung added.

Nam also said that the Hong Kong SAR Government and associated financial bodies have effectively established a conducive environment for green financing initiatives.

READ MORE: China sees positive progress in climate change response

“I urge the financial sector and the Hong Kong government to actively share their expertise and knowledge with the numerous developing nations seeking effective financing solutions,” he said. 

Walter Van Hattum, head of trade at the European Union Office to Hong Kong and Macao, noted that climate action is urgent, so we need to act at all levels now. He mentioned the concept of the Carbon Border Adjustment Mechanism, a price adjustment applied to imports into the EU for designated goods based on their CO2 emissions in the production process outside the EU.

“ESG is more than environment. It's also about social and governance issues,” he said.

Contact the writer at vivienxu@chinadailyapac.com