Chapter 3 - Environmental Factors Flashcards
In relation to shadow carbon pricing, which of the following is incorrect?
(a) Shadow carbon pricing is used to understand the potential impact of external prices on the profitability of a project.
(b) Shadow carbon pricing is used to reduce a business’s carbon footprint.
(c) Shadow carbon pricing is used to reveal hidden risks and to factor these into future valuations and estimates of capital expenditure.
(d) Shadow carbon pricing is used to create a theoretical cost per tonne of carbon emissions by
establishing a business’s internal price on carbon.
(b) Shadow carbon pricing is used to reduce a business’s carbon footprint.
Which of the following would be considered a climate change adaptation strategy?
(a) Releasing sunlight-reflecting aerosols into the atmosphere to reduce temperatures.
(b) Retrofitting buildings to become more energy efficient.
(c) Developing clean cooling systems.
(d) Protecting coastlines from erosion.
(d) Protecting coastlines from erosion.
What is “natural capital”?
(a) Natural resources (such as oil, gas or timber), which can be sold for a profit in a capitalist economy.
(b) The stock of natural assets, which include geology, soil, air, water and all living things.
(c) An international collaboration to increase the proportion of natural spaces in capital cities.
(d) The sum-total of monetary benefits that are directly dependent on nature.
(b) The stock of natural assets, which include geology, soil, air, water and all living things.
Scope 3 of the GHG Protocol standards covers which of the following emission sources?
(a) Company vehicles.
(b) Company facilities.
(c) Purchased electricity.
(d) Purchased goods and services.
(d) Purchased goods and services.
Which of the following is not a Task Force on Climate-related Financial Disclosures (TCFD) core element of climate-related disclosures?
(a) Governance.
(b) Impact.
(c) Risk management.
(d) Strategy.
(b) Impact.
Which of the following is not an explicit UN Sustainable Development Goal (SDG)?
(a) Ending poverty in all its forms everywhere.
(b) Access to affordable, clean nuclear energy.
(c) Ensuring healthy lives and promoting well being for all ages.
(d) Taking urgent action to combat climate change and its impacts.
(b) Access to affordable, clean nuclear energy.
Which of the following is not an example of a proposed planetary boundary?
(a) Freshwater use.
(b) Loss of coral reefs.
(c) Ocean acidification.
(d) Stratospheric ozone depletion.
(b) Loss of coral reefs.
Which of the following represents a transition risk?
(a) Policy change to encourage low carbon technologies.
(b) Occurrence of extreme weather events.
(c) Break downs in business supply chains.
(d) Long term rises in global temperatures.
(a) Policy change to encourage low carbon technologies.
What is the most common method of waste management globally?
(a) Recycling.
(b) Incineration.
(c) Landfill.
(d) Treatment.
(c) Landfill.
Which of the following best describes the principles of a circular economy?
(a) Extracting natural resources for products that are then used and eventually discarded.
(b) Designing out waste and pollution, keeping materials in use and regenerating natural
systems.
(c) Ensuring that all products are returned to the manufacturers to reuse component parts.
(d) Producing goods only for consumption by customers in the manufacturer’s domestic market.
(b) Designing out waste and pollution, keeping materials in use and regenerating natural
systems.
Which of the following is not a requirement for a bond or a loan to be considered ‘green’ under frameworks such as the Green Bond Principles (GBP) or Green Loan Principles (GLP)?
(a) A description of the environmental benefits associated with the use of proceeds.
(b) Minimum of 10 tonnes of certified emissions reductions per every US$1 (£0.7) of debt.
(c) A clear process for the evaluation and selection of eligible projects.
(d) Detailed and regular reporting.
(b) Minimum of 10 tonnes of certified emissions reductions per every US$1 (£0.7) of debt.
The long term goal of the Paris Agreement (2015) is to keep the increase in the global average temperature above pre-industrial levels to well below what level?
(a) 1.0°C (1.8°F).
(b) 1.5°C (2.7°F).
(c) 2.0°C (3.6°F).
(d) 2.5°C (4.5°F).
(c) 2.0°C (3.6°F).
For a reasonable chance of limiting global average temperature rise to 1.5°C (2.7°F), the Intergovernmental Panel on Climate Change (IPCC) recommends that global emissions of CO2 must reach ‘net zero’ around:
(a) 2050.
(b) 2030.
(c) 2100.
(d) 2075.
(a) 2050.
What is the blue economy?
(a) Industrial activities which generate pollution of oceans and inland waterways.
(b) The global network of shipping which transports people and manufactured goods.
(c) Products and processes used to clean up water based environmental pollution.
(d) Sustainable economic and social activity related to oceans and coastal areas.
(d) Sustainable economic and social activity related to oceans and coastal areas.
What is the primary objective of the EU Taxonomy?
(a) Clear labelling of the use of proceeds for green bonds.
(b) An EU-wide classification system of sustainable activities.
(c) A classification of what ‘green’ activities states can finance domestically without breaching
competition rules.
(d) A classification system of the Scope 1, 2, and 3 emissions associated with the activities of EU companies.
(b) An EU-wide classification system of sustainable activities.
