Fink calls for a ‘fair and just transition’ to sustainable energy

RIYADH: Larry Fink, chairman and CEO of BlackRock investments, said his statement from a 2020 investment letter that “climate risk is investment risk” is truer than ever, though he admits any energy transition is not going to be a straight line. 

Fink made these statements during a panel discussion last week at the Future Investment Initiative Institute’s regional summit, “Inclusive ESG for Emerging Markets.”

“In the last two years,” said Fink, “there has been a remarkable change in attitude worldwide.” He added: “Every energy company understands the need to be moving forward,” as seen in the high demand for decarbonization and carbon capture technologies. 

Fink said one of the biggest shifts he has witnessed is more money going into sustainable strategies. “I believe in the long run, some of these strategies will prove to be successful while others may not, but that’s the case with any investment in new technologies.” 

He emphasized the importance of providing pathways to sustainability for traditional energy companies. It has to be a “fair and just transition,” said Fink.