Last week, CapShift was on the ground at Climate Week NYC, joining leaders, innovators, and advocates from across climate to reflect on the progress made since the signing of the Paris Agreement nearly a decade ago. This global agreement sought to limit global temperature rise, enhance climate adaptation and resilience, and facilitate the flow of capital to technological innovation and capacity building.

A decade later, progress has been made, but we still have a long way to go in tackling the climate crisis. This Climate Week, we celebrated the wins and brainstormed ways to fill gaps through cross sector collaboration and new perspectives.

Here are some of our main takeaways from this Climate Week:

• Make climate personal: We heard from data scientists and researchers about how to best engage communities who aren’t already sold on the idea of investing in climate change solutions. According to Blue Rose Research, cost of living, inflation, and the economy are the top issues Americans care about across the board while climate comes in around the bottom 10 of the 40 issues polled. In today’s environment, focusing on the short-term and economic benefits of climate-focused investments such as lower utility bills, job-creation through investment in clean infrastructure, and protecting residential areas from drastic weather events can be effective ways to engage people on climate issues. The same climate solutions can often be marketed as affordable, reliable and essential for security, rather than “green.”
• Rising electricity consumption: U.S. electricity consumption is on the rise for the first time in more than a decade. The explosion in AI usage is one contributing factor that will only continue to grow. According to the U.S. Energy Information Administration, this growth is coming from the commercial sector, including data centers, and the industrial sector. While this poses a risk to energy access, it also offers an important opportunity to invest in renewable energy. Innovations in efficiency and cost help make the business case for clean power, with 81% of renewable energy additions in 2023 being cheaper than fossil fuels.
• Will private capital step up? The climate community is now brainstorming alternative pathways to continue driving capital to high-impact clean technologies following the rollback of many federally supported climate initiatives. Private asset owners have the opportunity to leverage the 100+ project pipeline that has been reviewed by the Environmental Protection Agency against the highest financial and impact diligence standards. CDFIs and similar community-based institutions have been doing this work, but additional private sector support is needed in the absence of government financing to fund projects like clean housing retrofitting and EV charging infrastructure to utility scale renewable energy projects. Philanthropic capital has a role to play here, too. Though climate giving is on the rise, there is plenty of room for growth. Currently, climate giving makes up less than 2% of total global philanthropy. Philanthropic capital has a unique ability to fund high-risk pilots, support projects vulnerable to policy rollbacks, and bridge financing gaps where other lenders won’t.
• Take nature seriously: While there have been rollbacks in federal support across the board, one area — forestry — is one where many still see promise of progress and opportunity for cross sector collaboration. Expanding on its launch in 2021, the REPLANT Act continues to provide critical funding for reforestation efforts across the United States in the wake of a backlog of critical reforestation needs and ever-increasing wildfire risk and devastation. At the same time, corporates are stepping up for long term commitments for natural climate solutions, demonstrating the viability of a carbon credit market for biodiversity.
• Community engagement for climate resilience: The world’s largest and fastest growing markets are the least resilient to climate change; successful distribution of technologies that address resilience and adaptation cannot miss the people most impacted. One of the most successful pathways of distributing climate technologies is with direct community engagement. With a community-centered approach, companies are able to better learn and serve the needs of local populations, leading to product improvements and brand recognition. For example, Promethean Power Systems, a thermal battery technology company enables dairy farmers in rural India to access their refrigeration hubs to safely and economically store their dairy produce. These hubs are run by local women entrepreneurs, creating economic mobility and independence for them while making distribution and community engagement simpler for the company. Similarly, Jaza Energy, a solar battery charging station startup partners with local women to operate their energy hubs where users can collect and recharge their batteries to power homes in the most energy-poor communities.

Our team left Climate Week motivated to continue advancing climate solutions and supporting the flow of capital toward new innovations. We remain committed to helping investors and institutions drive meaningful change on climate issues.

Explore more of our climate-focused resources, including our explainer on 24/7 Carbon-free Energy.