Motivation
The war between Russia and Ukraine in early 2022 caused a severe shock to European energy markets, with gas, electricity, and fuel prices reaching historic highs. The most immediate effects were felt by households, as millions of German households faced sharp increases in energy costs that often exceeded their financial capacity. In response, the German government...
Motivation
The energy transition is being driven primarily by the electrification of mobility, heat supply and industrial processes. At the same time, the expansion of renewable energies (RE) is progressing in order to ensure a cheap and clean electricity supply. In Germany in particular, large conventional power plants will be taken off the grid or transferred to the capacity reserve by...
In the past decade, a rapidly growing number of investors have divested from the oil-producing industry. The financial approach to the climate problem—e.g., the burgeoning green finance taxonomies—hopes that such divestment will contribute to aligning the industry’s incentives with climate policy targets by increasing targeted firms’ cost of financial capital. We ask how an augmented cost of...
