Greenflation: Are Commodity Prices Actually Rising?

May 2022
ELR 10345
Michael Curley, Urvashi Kaul, Doug Vine, and Sara K. Orr

What impact does inflation have on environmental sectors? Economists have recently raised concerns about “greenflation,” a term coined to describe rising commodity prices associated with going green, due to a higher demand for sustainable materials. The implementation of more carbon-neutral regulation and increasing environmental, social, and governance (ESG) practices may contribute to these rising costs. On January 26, 2022, the Environmental Law Institute hosted leading experts for an in-depth economic discussion about greenflation, regulations, and ESG practices. Below we present a transcript of that discussion, which has been edited for style, clarity, and space considerations.

Michael Curley (moderator) is a Visiting Scholar at the Environmental Law Institute. Urvashi Kaul is an Adjunct Assistant Professor in the School of International and Public Affairs, Center for Environmental Research and Conservation, Columbia Climate School. Doug Vine is Director of Energy Analysis at the Center for Climate and Energy Solutions. Sara K. Orr is a Partner at Kirkland & Ellis LLP.

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