Will WEF's CEO Alliance Help Speed COP's Low-Carbon Economy?

Recent years show that corporate leaders are focusing more on making significant investments when it comes to building and creating low-carbon, climate resilient businesses.

The World Economic Forum’s (WEF) Alliance of CEO Climate Leaders is leading the way, showing how climate initiatives can enhance long-term value for business and society.

However, global events like COP30 present a key moment for business leaders and governments to reignite the urgent need for a more resilient and environmentally sustainable economy.

Businesses for climate action

The shift to a resilient, low-carbon economy is a major commercial opportunity. 

With this in mind, WEF’s Alliance of CEO Climate Leaders shared an open letter to world leaders ahead of the UN Climate Change Conference 2025 (COP30), stressing the commercial viability of the climate economy and urging businesses and policy-makers to scale the historic opportunity for returns, resilience and growth.

Demand for green products and electrification is accelerating across sectors, with the global market for solar PV, wind turbines, EVs, batteries, electrolysers and heat pumps nearly quadrupling since 2015 to more than US$700bn a year, according to WEF.

"In addition to the energy transition, low-carbon products in agriculture (e.g. regenerative agriculture) can increase farm profits compared to conventional farming and circular economy models are unlocking new sources of value by boosting resource efficiency and cutting costs in many sectors," says WEF.

Rising losses from extreme weather also give many businesses a clear case to invest in adaptation and resilience.

By creating scalable, low-cost energy sources, the green transition can strengthen energy security and independence, improve reliability and drive growth. 

It is also a powerful job creator, with potential for a net gain of 10 million jobs globally by 2030.

The Alliance represents US$4tn in revenues and 12 million employees in more than 130 companies. 

Between 2019 and 2023, its members reduced aggregate emissions by 12% while delivering revenue growth of 20%.

Above all, climate mitigation and resilience help safeguard lives, nature and critical assets. 

A 3°C trajectory for the Earth

“Current global policies are setting the world towards a 3°C trajectory, with warming expected to exceed 2°C as early as 2050 – potentially even more across major land areas,” says WEF. 

The consequences have the potential to intensify over the next 25 years, with the likelihood of increased droughts, heatwaves, wildfires, storms and flooding.

WEF suggests: “These impacts will disrupt food security, damage the financial resilience of businesses and governments and endanger livelihoods, communities, healthcare systems and ecosystems.”

Although these effects can be sudden and catastrophic, policies remain unsolidified and uncertain.

Without robust policies, business investment is made more difficult due to the speeding up of global temperatures.

“Reducing emissions is only one part of the climate challenge, as many impacts are already locked in, making investment in adaptation and resilience critical,” says WEF.

Reinforcing business sustainability 

WEF states that a “wait-and-see approach is not viable.”

"Bold new national climate plans are crucial, from all governments, not only to stop the climate crisis decimating every economy and global supply chains," says Simon Stiell, Executive Secretary, UN Climate Change.

"Done well, they will also be blue-prints for much stronger economies, unleashing huge benefits - more jobs and growth, better health, more affordable energy and massive opportunities for businesses.

"That's why leading businesses are urging governments to set stronger climate policies, as the global race to seize the huge benefits heats up. It's increasingly obvious that bold climate action is good for business."

The Alliance has determined 13 methods in which policy-makers can drive growth and create wealth:

1. Maintain a stable, predictable policy environment with ambitious long-term rules aligned to investment horizons to give businesses confidence to commit capital and plan sustainable growth.
   
   
2. Mitigate private-sector risk by mobilising large-scale capital through debt, equity, concessional finance, blended capital, guarantees and project-level tools such as power purchase agreements and carbon contracts for difference.
   
   
3. Double financing and incentives for breakthrough technologies in hard-to-abate sectors via R&D funding, pilot investments, ambitious green public procurement, and transparent carbon markets and pricing to send clear demand signals.
   
   
4. Transition away from unabated fossil fuels with clear, just and orderly plans that redirect subsidies and investment to clean energy, electrification and resilience.
   
   
5. Remove obstacles by streamlining planning and approvals to cut renewable and grid project timelines, targeting up to 50% for wind and 75% for solar.
   
   
6. Support nature-positive investment and policy, recognising wetlands, forests and oceans as economic assets that deliver carbon sequestration, soil protection and water regulation.
   
   
7. Build climate-resilient economies and food systems through detailed, investable National Adaptation Plans, climate hazard early-warning systems, private-finance tools for adaptation, and rapid rollout of locally relevant regenerative agriculture.
   
   
8. Target and deliver Scope 1 and 2 emissions reductions with science-based targets, transparent reporting and credible transition plans.
   
   
9. Drive change across industries by addressing Scope 3 emissions through value-chain collaboration, coalitions such as the Alliance of CEO Climate Leaders, and support for supplier and end-user decarbonisation.
   
   
10. Leverage efficiency to cut energy use, costs and emissions using audits, HVAC upgrades, process optimisation and attractive alternative energy options.
    
    
11. Strengthen innovation and digital solutions, accelerating advanced technologies including artificial intelligence while managing their environmental impact.
    
    
12. Create demand signals by pooling corporate commitments and joining alliances such as the "First Movers Coalition" to scale breakthrough solutions in hard-to-abate sectors.
    
    
13. Invest in adaptation and resilience by climate-proofing facilities, diversifying supply chains, reinforcing infrastructure, and using advanced risk modelling and data to assess physical risks across key assets.

The letter to COP30 concludes by stating: “Achieving this transformation will require deeper collaboration between the public and private sectors, anchored in trust, shared ambition and coordinated cross-regional action around policy, finance and innovation.”