Germanwatch-Blog

The role sustainable lifestyles can play in achieving a paradigm shift to sustainability is acknowledged in both the Sustainable Development Goals and the Paris Agreement of 2015. They can be defined as “responsible living with our total surrounding and ourselves”, thus including aspects like global equity (see previous blogpost). Nevertheless, the vast majority of scientific literature focuses on ecological sustainability.

The year 2019 will be key for future climate policy in Germany and Europe. Finance plays a key role in improving climate protection and sustainable growth.
To this end, Germany should learn from pioneering countries for “Green Finance”. In the seven articles in our series, international authors will therefore explain their country's approach towards a green financial system, addressing opportunities, hurdles and unanswered questions.

Multilateral Development Banks (MDBs) can play a critical role in limiting climate change and helping communities adapt to its impacts. Since 2011, they have provided nearly $200 billion in finance for climate change mitigation and adaptation (so-called “climate finance”). The World Bank Group’s recent announcement that it will increase its climate-related investments means this number is likely to grow. But while climate finance is important, it makes up less than a quarter of all finance provided by the MDBs. The rest goes to activities that may (or may not) undermine climate goals.

In November 2015, Saúl Luciano Lliuya, a Peruvian farmer living in Huaraz in Peru, filed a lawsuit in Germany against RWE, Germany’s largest electricity producer. Mr Lliuya claims that his house in the village of Huaraz is at imminent risk of being damaged or destroyed due to an outburst flood from a glacial lake, caused by the melting of glaciers linked to climate change.