The Green Economy Has a Resource-Scarcity Problem

The world is at a tipping point on sustainability. Investors are increasing their focus on ESG, consumers are demanding transparency and accountability, governments are setting legally binding targets, and companies are stepping up with bold commitments. But new solutions will inevitably trigger bottlenecks for the very resources, infrastructures, and capabilities upon which they depend. While the supply of these sustainability-related resources will expand due to investment and innovation, in many categories rapid growth in demand will likely outstrip supply, heightening competition and pushing up prices. Forward-thinking companies will move swiftly, mapping out a plan for delivering on its promises, securing the required inputs, and capturing the value that new sustainable business models offer.

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