Australia is only just beginning to address the climate change challenge.
The amount of global capital needed for investment in renewable energy and infrastructure between now and 2030 stands at $25 trillion, according to a climate change expert.
Around $210 billion a year is needed to invest in technology that will produce alternative energy sources to traditional fossil fuels, Protiviti global director for climate change Adam Kirkman said.
About 86 per cent of that funding must come from the private sector, according to the expert.
Kirkman will be part of the Government's advisory board on emissions trading. The Government expects a national emissions trading scheme to be operational by 2010.
Kirkman said that the Government's ratification of the Kyoto Protocol will provide investment opportunities for businesses and investors. However, these investments must be specifically targeted.
"What is needed is investment in technology and research and development particularly early stage development and this is where venture capitalists can play a role," he said.
A number of companies are already capitalising on the opportunities in climate change including BP and General Electric (GE), Kirkman said.
"GE has already grown its renewable energy into a $20 billion business," he said.
"Investment banks in the US and Europe are also partnering in projects with developers in Asia and Australia is yet to come to the table."
In Part 2 of our exclusive series, we ask leading names to nominate their best investments, the most effective industry group and the importance of platforms.
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