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Stranded Assets and the Transition to Low-Carbon Economy

  • Olaf WeberEmail author
  • Truzaar Dordi
  • Adeboye Oyegunle
Chapter
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Part of the Palgrave Studies in Impact Finance book series (SIF)

Abstract

In the context of the low-carbon transition, stranded assets can be defined as assets that have suffered unanticipated or premature write-downs, devaluations or conversions to liabilities. These assets may refer to resource reserves, infrastructure or industries that may be affected by economic, physical or political changes along a pathway of decarbonisation. This chapter first gives a historical account of stranded assets in a low-carbon transition and presents a systematic review of the literature. Then, it proposes a comprehensive approach to understanding the multitude of factors resulting in stranded asset risk, by including case studies to show how responses to stranded asset risks vary by region. Finally, it offers a research agenda for future studies, addressing some of the limitations to current research.

Keywords

Stranded assets Low-carbon transition Climate change Transition risk Sustainability-elated risks Climate-related risks 

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© The Author(s) 2020

Authors and Affiliations

  1. 1.University of WaterlooWaterlooCanada

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