Investment in cleaner energy is key to growth, economist Stern says

Investment in climate action is the economic growth story of the 21st century, while growth fuelled by fossil fuels is futile because of the damage it causes, the economist Nicholas Stern has said.

- Damian Carrington Environment editor

The plummeting cost of clean technologies, from renewable energy to electric cars, plus the healthier and more productive societies they enable, mean investments could simultaneously tackle the climate crisis and faltering economic growth, and bring millions of people out of poverty, he said.

This requires big changes in policies and levels of investment. The US president, Donald Trump, recently called climate change a “con job” and is backing fossil fuel companies to “drill, baby, drill”.

Stern, a professor at the London School of Economics, acknowledged that the geopolitical environment was difficult, but he said making the rational argument was vital.

“I’d say to Trump, ‘You’ve got children and grandchildren - think about the science, think about the risks,’ and I’d give examples about the wildfires in California,” said Stern.

“I’d point out to him that his place in Florida is going to be extremely vulnerable to more intense hurricanes, sea level rise and storm surges. The people and places he loves are under severe risk.”