The following article first was published by the Observer Research Foundation. The report with footnotes and references is available at https://www.orfonline.org/expert-speak/black-gold-and-green-energy-how-big-oil-is-investing-in-the-energy-transition-77181/

As societies around the world make concerted moves to reconstruct and recover in the wake of COVID-19, the climate emergency remains front and center for policymakers, business leaders and investors. The impact of climate change on the environment has been dubbed the “ultimate negative externality” for humanity — a harmful development, which may adversely impact communities, households, and countries across the globe, regardless of their choice.

As central bankers embark upon incorporating climate and green issues into their stress tests — and also consider the ways in which sustainability might enhance productivity — officials in countries such as France and South Korea have allocated signific