Sustainable Development Issues Discussed in Hamburg
The Hamburg Sustainability Conference (HSC) brought together leading experts from different regions to discuss how geopolitical shifts and capital constraints are reshaping financing pathways for the global energy transition. Participants also examined barriers to scaling up investments and technology deployment, as well as the policy and financial instruments required to overcome them.
The Conference was opened by the President of the Federal Republic of Germany, Frank-Walter Steinmeier.
The following key issues were discussed during the Conference:
- Are current investment flows sufficient to keep the global energy transition on track, or does the financing gap continue to widen? What models can accelerate large-scale technology deployment?
- How can the gap between innovation and scale-up be bridged, particularly for capital-intensive technologies such as hydrogen, carbon capture, utilization and storage (CCUS), and energy storage systems?
- What are the main barriers to technology transfer and deployment across regions, and how can they be addressed?
- How can countries secure clean technology supply chains amid growing geopolitical competition and energy security concerns?
- How can sovereign capital, multilateral development banks (MDBs), and public financial institutions more effectively mobilize private investment? Are existing instruments sufficient, or are new approaches required?
Experts noted that the development of clean energy is accelerating, but unevenly. Capital continues to flow primarily to markets where risks are lowest rather than where the need for transition is greatest. Emerging economies continue to face persistently high capital costs, currency risks, and limited access to long-term concessional financing despite rapidly growing energy demand. As countries seek to ensure affordable energy while reducing emissions, the role of sovereign capital, strategic private investments, and technology partnerships is becoming increasingly important.
According to Conference participants, the key question today is how to finance a transition that is fast, secure, and aligned with development priorities in an increasingly fragmented global environment.
As part of the Conference, a side event entitled “Securing the Transition: Capital, Technology and the New Energy Geopolitics” was organized by Observer Research Foundation (ORF), one of the world's leading think tanks. The event featured Yerlik Karazhan, Chief Executive Officer of the Central Asian Climate Fund (CACF).
He emphasized that the scale of investment required for the global green transition, particularly in emerging economies, significantly exceeds current capital flows.
«Capital does not flow where the need is greatest—it flows where risk is perceived to be lowest. And it is in this gap between need and perceived risk that climate injustice takes shape today. Central Asia has everything required for a green transition: sun, wind, water, and critical minerals. What it lacks is not potential, but a financial architecture capable of converting that potential into real investment», said Yerlik Karazhan. As previously reported, on June 26 this year, the Head of CACF participated in the inaugural meeting of the High-Level Empowered Board on Green Transition in London, established at the initiative of ORF. Yerlik Karazhan is the only representative from Central Asia on the Board, enabling the region’s priorities to be reflected in discussions on the global climate finance architecture and the green transition.
