Decarbonisation has become the primary driver for investment strategy in the transport sector.
According to a report by law firm DLA Piper, 79 per cent of respondents from the railway industry believe decarbonisation a primary driver for their organisation’s investment strategy. Numbers go up when considering those working in the aviation and shipping industries, with 82 and 85 per cent respectively.
“The report illustrates that aviation is leading the way to positively make a difference and we are seeing a passionate drive to do so from our clients,” the law firm’s head of aviation Tony Payne. ” Actively communicating what your business expects to deliver in terms of improved environmental performance can help your organisation to build ridership, reputation and revenue.”
Large-scale investments in decarbonisation efforts have also emerged as a priority, as 34 per cent of corporates and 66 per cent of investors are committing to allocating at least €1bn over the next two years.
“Given the current post-COP26 backdrop, decarbonisation must be a primary investment strategy driver for aviation, rail and shipping, as highlighted in our study,” DLA Piper’s global chair of infrastructure, construction and transport sector Martin Nelson-Jones said.
“There are risks – reflecting tight deadlines for major investment decisions, technological change and a complex regulatory environment – but our report highlights that the benefits of decarbonisation are widely recognised.”
Revenue loss is seen as the biggest obstacle when it comes to investing in net-zero projects and technologies. Shipping companies are particularly worried about halted services and higher consumer prices.