2 September 2020
Using AI to identify climate risks and opportunities
Amazon, Allianz, Microsoft and S&P Global join an open data initiative to harness AI, open source analytics and open data to help better manage climate risks and take advantages of the opportunities offered by the net zero transition, according to an article by BusinessGreen here.
The LF Climate Finance Foundation (“LFCF”), which is spearheaded by the Linux Foundation aims to utilise AI-enhanced open data analysis in order to address the financial threats from climate change and allow members to collaboratively develop analytics tools and investment products that manage climate-related risks and finance climate solutions globally and amongst different sectors and asset classes.
As reported by BusinessGreen, Jim Zemlin, Executive Director of the Linux Foundation said “The cost and complexity of analytics for climate-related investments require highly organised collaboration and resource sharing across hundreds of users and contributors.
“The LF Climate Finance Foundation will enable neutral governance, shared development costs and technical leadership from many of the world’s leading financial institutions, multilateral organisations, academia, governments and NGOs”
The aim of the platform is to enable investors and banks to analyse portfolios and individual investments to help spot climate risks, whilst governments could use it to identify resilient infrastructure investments and develop effective policy and regulations.
This is an interesting and innovative way to assist and develop the recommendations set forward by the Task Force on Climate-related Financial Disclosures and it will be interesting to see how it develops.
