Meet internationally-recognised scholar Martina Linnenluecke – who joins UTS Business School as Professor of Environmental Finance to lead and develop research in corporate climate risk and resilience.
UTS Business School welcomes accomplished researcher Professor Martina Linnenluecke, whose expertise centres on the strategic and financial implications of corporate adaptation and resilience to global environmental change, with a specific focus on the impacts of climate change.
Martina has worked extensively with policymakers, government and industry on climate adaptation strategies, most recently as founder of the interdisciplinary Centre for Corporate Sustainability and Environmental Finance at Macquarie University.
She is the chief investigator on several ongoing Australian Research Council (ARC) research projects, focused on climate risk disclosure, the impacts of climate policy on financial markets, political connections and related impact on the cleantech transition in China and Australia, as well as sustainability-oriented fintech lending platforms.
Climate change is one of civilisation’s greatest challenges, demanding a fundamental shift in the way business, industries and markets respond, adapt and rethink their impact on society and our environment.
– Professor Carl Rhodes, Dean of UTS Business School
“We are delighted to welcome Professor Linnenluecke to UTS, where her extensive experience and high calibre research in the dynamic fields of climate change, environmental finance and sustainability will expand the Business School’s strong focus on working closely with industry to develop knowledge for an innovative, sustainable and prosperous economy in a fairer world.”
Martina has also authored the book The Climate Resilient Organization and holds a number of leading roles, including roles as incoming Division Chair of the Organizations and the Natural Environment (ONE) Division of the Academy of Management (2023), contributing author to the Intergovernmental Panel on Climate Change (IPCC) Sixth Assessment Report (AR6 WGII) and is a member of the College of Experts of the Australian Research Council (ARC).
Environmental finance plays a vital role in the global shift towards achieving a low carbon economy redirecting funding and investment to appropriate initiatives - which can include investments in renewable energy and decarbonisation, in projects that support the sustainable development goals, or in companies that generate a positive social and environmental benefit.
– Professor Martina Linnenluecke
What inspires you about working in the field of environmental finance?
Martina: Environmental Finance is an emerging, interdisciplinary field, concerned both with the impacts that a changing environment has on businesses and industries as well as the need to move to a sustainable economy where humanity lives within the constraints of the Earth’s systems.
Climate change affects virtually all aspects of our lives, including our economy, infrastructure, human health, and the natural environment. A key motivation for me to work in this area is that there is an urgency to act and to contribute to finding solutions that can help business and society to significantly reduce greenhouse gas emissions and mitigate the impacts of climate change.”
What do you hope to achieve in your new role?
I am currently working towards setting up a new initiative at UTS Business School which will contribute to the School’s efforts to support urgent and immediate collaborative action to decarbonise the economy and regenerate Country and planetary health.
This will focus on priority areas for business and industry, including decarbonisation pathways, adaptation and resilience to climate change, as well as strategic responses to climate risks that generate new opportunities for value creation.
Our focus will be on collaborating with industry partners to help lead the transition towards sustainability and to act on UTS’ vision to deliver transdisciplinary research with transformative benefits that enhance the wellbeing of society and the environment.
Can you share what projects you are current working on?
My team and I are working on a lot of exciting projects at the moment – these involve work funded by the Australian Research Council (ARC) on how companies can best disclose climate risks, the impacts of climate policy on financial markets, and how political processes impact on the cleantech transition in Australia and China.
We also do innovative work looking at impact investing and sustainability-oriented fintech lending platforms, which combines work in the area of FinTech (short for "financial technology") and sustainability. The project will contribute to developing sustainable lending platform for Fintech firms and establishing sustainable FinTech standards for policymakers.
How has the area of environmental finance changed in the past five years? What do you see as the emerging trends and opportunities in this area for industry in the next three to five years?
Interest in environmental finance has exponentially increased over the past few years – it encompasses a wide range of possible strategies, including investments in renewable energy and decarbonisation, in projects that support the sustainable development goals, or in companies that generate a positive social and environmental benefit.
Environmental finance plays a vital role in the global shift towards achieving a low-carbon economy redirecting funding and investment to appropriate initiatives. The rapid development in the sector has certainly not been without challenges; for instance, regulation and disclosure mechanisms are still emerging, as we also see increasing scrutiny of what is commonly referred to as ESG investing – the acronym stands for environmental, social, and governance factors that are considered in investment decisions.
I see three main challenges for business going forward:
- The need to engage with growing social and environmental challenges, which adds complexity;
- The need to do so in an authentic way and to avoid greenwashing, and
- To demonstrate how the activities of the business (or sustainable investment) lead to actual and meaningful benefits to the environment and/society.
Our work looks for new and meaningful ways to help businesses navigate those challenges.
For many university students, daily news about the looming impact of climate change can sometimes feel overwhelming. What advice do you have for students on how they can help in counter-balance the negative outlooks for so?
There is no doubt that climate change is one of the most pressing challenges that we are facing, and it can certainly seem that individuals are not able to do much about changes happening at global levels. However, individual choices about issues such as transportation use and consumption do matter – ultimately, it will take a lot of aggregate changes at all levels of society to bring about a transition to a more sustainable and low-carbon future.
My hope is that our students will pursue pathways in sustainability-related sectors and translate their knowledge into careers that will contribute to the deep and fundamental changes within organisations and the economy that we need to see in the future!