Amazon boxes showing Amazon logo (Photo: Shutterstock)

|

Amazon has jumped into sustainable investing with the launch ofits Climate Pledge Fund. Seeded with $2 billion from Amazon itself, the fund aims to "accelerate investmentin innovations for the zero carbon economy of the future," the company says. To do that, the fund willinvest in companies that produce services and technologies thathelp other companies — including, actually, Amazon — meet theirgoal of becoming net-zero carbon.

|

The companies the fund invests in will be across all sizes andstages, from startups to established businesses, across multipleindustries that could include transportation and logistics, energygeneration, storage and utilization, manufacturing and materials,and food and agriculture.

|

The fund will be led Matt Peterson, Amazon's director ofcorporate development new initiatives and Amazon'scorporate sustainability officer, Kara Hurst, according to anupdate by TechCrunch that cited acompany spokesperson.

|

The fund arose of The Climate Pledge, Amazon's and GlobalOptimism's commitment to reach the Paris Agreement goal of keeping globaltemperature increases to below 2 degrees Celsius abovepre-industrial levels. Amazon and others who join the ClimatePledge pledge to be net-zero carbon by 2040. Three globalcompanies—Verizon, Reckitt Benckiser (RB), and Infosys—also havecommitted to this, Amazon says.

|

Net-zero occurs when "emissions are balanced by absorbing anequivalent amount from the atmosphere," says the Energy & ClimateIntelligence Unit, a nonprofit organisation that supportsinformed debate on energy and climate change issues.

|

The term refers to the findings of climate scientists thatsimply reducing emissions won't halt climate change. Emissions mustbe at zero — "before the end of the century, and much earlier if wewant to load the probability in our favor of limiting warming tobelow an average 2°C," according to an article in Scientific American.

|

READ MORE:

Complete your profile to continue reading and get FREE access to BenefitsPRO, part of your ALM digital membership.

  • Critical BenefitsPRO information including cutting edge post-reform success strategies, access to educational webcasts and videos, resources from industry leaders, and informative Newsletters.
  • Exclusive discounts on ALM, BenefitsPRO magazine and BenefitsPRO.com events
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

C.J. Marwitz

C.J. Marwitz is a writer and editor.