Since 1889, the Eiffel Tower – what the French affectionately call La tour Eiffel – has stood tall as the identity of Paris. The 324-meter monument commemorates the centennial of the French Revolution.
Modern-day Paris too has a revolution to its name. Four years ago, governments of 196 countries came together here to pledge a consolidated response to the threat of climate change. The Paris Agreement may borrow its name from the formidable city, but its nature is global.
The agreement’s long-term target is to keep the increase in global average temperatures to well below 2°C above pre-industrial levels and try to limit the rise to 1.5°C.
But even with the best intentions, measures initiated so far seem insufficient in reaching this goal. Rightly, a sense of urgency is building as a climate emergency brews. Mindful of the need, governments across the board are working on measures to reduce emissions. The European Commission, for example, is giving serious thought to raising national emission reductions to 50-55 percent by 2030 from 40 percent during 2020.
Given that inaction is not an option, what will this transition cost industries overall? According to Allianz economists, roughly $2.5 trillion over the next decade.