Companies expect to lose $1 trillion to climate change in five years

Jun 06, 2019, 8:22 AM EDT
(Source: Jeanne Menjoulet/flickr)
(Source: Jeanne Menjoulet/flickr)

More than 200 of the world’s biggest companies, including the likes of Apple, JPMorgan Chase, and Nestlé, among others, expect climate change to cost them around $1 trillion in damages in the next five years, according to a new report published by CDP.

The report says that the companies have factored in the costs of damages due to flooding of distribution centers and warehouses, revamping the facilities to make them more resilient to stronger storms, transitioning to a lower-carbon system, and responding to higher prices of fossil fuels in the wake of policy changes, writes Wired.

The report also points toward a sense of optimism in corporates adapting to climate change, as they believe that new low-emissions products might find favor with an increasing base of climate-conscious customers.

Bruno Sarda, the North America President for CDP, believes that the companies may have missed out in accounting for all the plausible financial ramifications of the climate breakdown, and the figure of $1 trillion might just be “the tip of the iceberg,” notes The Independent.