Decarbonisation and the Reshaping of Risk

This book presents a comprehensive and innovative analysis of decarbonisation and reshaping of risk in contemporary financial and institutional systems. It develops a multidimensional approach that integrates finance, behavioural dynamics and governance within ongoing technological and climate transformations. The novelty of the volume lies in reframing decarbonisation as a structural reconfiguration of risk, rather than merely a regulatory or reporting challenge. It emphasizes the fact that research and analysis of ESG dynamics is gaining centre-stage in the academic sphere, but the problem of low transparency, and more specifically the lack of disclosure is underestimated, and the topic has gained insufficient attention to date.

The book offers an in-depth description of the different approaches to transition and climate risk regulation through the critical analysis of the actions implemented by the main regulatory authorities, and introduces a comprehensive analysis of climate risks and related scenarios using stress testing. It rethinks the concepts of risk, profit and responsibility in the context of a pro-environmental attitude and adopts an interdisciplinary approach, by exploring ESG issues from a quantitative, institutional and behavioural perspective.

This volume examines the transition and the costs connected with decarbonisation, focusing on the problems of disclosure and reporting, and also considers the role of financial innovation and data-driven technologies in shaping transition dynamics, while developing a co-evolutionary framework linking risk, responsibility and institutional design.

The book is therefore positioned as a key reference for academics, advanced students and researchers concerned with decarbonisation, transition risk, sustainable finance, and the evolving governance of financial and institutional systems.