No one must be excluded if our sustainability transition is to succeed
- Sustainability
Solange Rouschop
Chief Sustainability Officer ABN AMRO
How can we make sure we keep all social groups on board in the transition to a more sustainable society? Isn't making sustainable choices – such as installing solar panels or heat pumps in houses, driving electric vehicles and buying sustainable products – out of reach for anyone without plenty of money to spend? We all know the world will eventually have to move away from fossil fuels, the main cause of the climate crisis. But how can we achieve this in a way that doesn’t harm anyone?
Written by: CSO Solange Rouschop. In late 2019, the European Union presented the European Green Deal in response to the threats facing the climate and environment. The deal saw all EU Member States agree that we would jointly work towards a number of key objectives. We want to reduce carbon emissions to zero by 2050, for example, and wean economic growth off its dependency on the consumption of scarce natural resources. At the same time, we agreed to ensure that we take all citizens and regions in Europe with us in the transition and nobody is left behind.
““For the transition to succeed, we need the exact opposite of polarisation””
The major challenge for us is doing this in a way that safeguards social stability in addition to economic and political stability. And that’s where I believe the problem lies. Too much energy in the public debate is being lost through polarisation. Differences of opinion appear to be growing increasingly hard-lined, causing parties to end up diametrically opposed. As a bank, though, we are convinced we need everyone to be part of the sustainability transition. Including all citizens is crucial to create broad support within society and accelerate the process. If large groups within society are excluded, things will become much more complex and difficult. For the transition to succeed, we therefore need the exact opposite of polarisation. Creating social cohesion will generate the resilience our society needs to overcome future crises, and absorb and mitigate the shockwaves that may occur as a result of climate change.
““The key question that arises is how we can maintain prosperity for all citizens within the boundaries set by the planet””
Working together on a just transition
The key question that arises here is how we can maintain prosperity for all citizens within the boundaries set by the planet. This is why we don’t want to exclude, but include – by gaining insight into where citizens and businesses are on this journey, how we can help them progress towards Net Zero, and make corrections where required.Both for business and consumer clients, we’re making financing for improved sustainability of homes (also those rented in the social housing sector) more attractive, including for lower energy labels. We also have budget coaches to help people who have difficulty paying their bills. Our ultimate goal is to ensure that the costs and benefits of the climate transition are distributed fairly. We call this a ‘just transition’ and it’s the only way to create the support and capacity required at all levels of society for a successful transition to a sustainable, circular and just society. Our bank is at the start of this journey and we’re taking the first steps towards reaching that goal together with our clients.