Climate-Related Risks in the Financial Sector, with Kevin Stiroh

In this episode, host Margaret Walls talks with Kevin Stiroh, a senior fellow at Resources for the Future and a former senior advisor at the Federal Reserve. Pulling from his extensive career in the financial sector, Stiroh expounds on how financial institutions evaluate climate-related risks and the analysis necessary to address risks across loans, insurance, and investment portfolios. Stiroh emphasizes that sound banking practices require active collaboration between research and policy to navigate financial risks. As calculations of the macroeconomic impacts of climate change evolve, past research may be less relevant and accurate than newer studies on climate change as sources of information about climate-related financial risk and shocks. Effective risk management is in a bank’s best interest, Stiroh notes, and requires rigorous, credible economic research that informs durable policy solutions. References and recommendations: “The Evolving View of Climate-Related Financial Risks in the US Financial Sector” by Kevin Stiroh; https://www.resources.org/common-resources/the-evolving-view-of-climate-related-financial-risks-in-the-us-financial-sector/ “The Effects of Climate Change–Related Risks on Banks: A Literature Review” by Olivier de Bandt, Laura-Chloé Kuntz, Nora Pankratz, Fulvio Pegoraro, Haakon Solheim, Gregory Sutton, Azusa Takeyama, and Fan Dora Xia; https://onlinelibrary.wiley.com/doi/10.1111/joes.12665 Work from the Network of Central Banks and Supervisors for Greening the Financial System; https://www.ngfs.net/en Books and readings on Antarctic explorers Robert Falcon Scott (https://en.wikipedia.org/wiki/Robert_Falcon_Scott) and Ernest Shackleton (https://en.wikipedia.org/wiki/Ernest_Shackleton) Subscribe to stay up to date on podcast episodes, news, and research from Resources for the Future: https://www.rff.org/subscribe/

In this episode, Destenie Nock, an associate professor at Carnegie Mellon University, joins host Daniel Raimi to discuss measures utilities and policymakers can take to better capture energy-accessibility and affordability metrics. Whereas energy data is often specific to energy providers, Nock argues that evaluating energy at a household level enables a more holistic understanding of energy usage and the energy transition. With electricity rates on the rise, accurate energy consumption data is central to ensuring comfortable temperatures in more homes. Progress in energy affordability, Nock notes, requires a multifaceted policy approach that integrates energy-equity and wellbeing metrics into measures of success. Energy affordability is not a standalone problem, and decisionmakers must recognize its ties with other cost-of-living issues and the need for inclusive data to effectively address energy burdens. References and recommendations: “Justice as a Measure of Energy Transition Success” by Destenie Nock; https://www.nature.com/articles/s41560-025-01870-1 “Evicted” by Matthew Desmond; https://evictedbook.com/ “Unveiling Hidden Energy Poverty, with Destenie Nock” from Resources Radio; www.resources.org/resources-radio/unveiling-hidden-energy-poverty-with-destenie-nock/ Subscribe to stay up to date on podcast episodes, news, and research from Resources for the Future: https://www.rff.org/subscribe/

In this episode, host Kristin Hayes sits down with Resources for the Future (RFF) Senior Fellow Bryan Hubbell to look back at Hubbell’s public-service career at the US Environmental Protection Agency (EPA). As an environmental economist, Hubbell led efforts to integrate the social sciences into EPA’s environmental policy research and establish methods to calculate the benefits of clean air. Under his leadership, EPA developed the Environmental Benefits Mapping and Analysis Program, which has provided an accessible and rigorous way to evaluate the impacts of air-pollution regulations. The quantification and monetization of air-quality benefits are foundational to benefit-cost analyses, which Hubbell stresses are crucial to well-informed policy decisionmaking. Hubbell maintains that recent efforts to remove benefit calculations from federal benefit-cost analysis practices do not stack up against the years of stringent testing and research invested into creating these measures. References and recommendations: “If/Then: Ignoring the Benefits of Air Pollution Regulations Will Lead to Worse Policy Decisions” by Bryan Hubbell and Alan Krupnick; https://www.resources.org/common-resources/ifthen-ignoring-the-benefits-of-air-pollution-regulations-will-lead-to-worse-policy-decisions/ “How the US Environmental Protection Agency Got It Wrong About Monetizing Benefits of Air Pollution Regulations” by Bryan Hubbell and Alan Krupnick; https://www.rff.org/publications/reports/how-the-us-environmental-protection-agency-got-it-wrong-about-monetizing-benefits-of-air-pollution-regulations/ “Benefits and Costs of the Clean Air Act 1990–2020” from the US Environmental Protection Agency; https://www.epa.gov/clean-air-act-overview/benefits-and-costs-clean-air-act-1990-2020-report-documents-and-graphics “Estimating the Public Health Benefits of Proposed Air Pollution Regulations” from the National Academies of Sciences, Engineering, and Medicine; https://www.nationalacademies.org/publications/10511 “Particles of Truth: A Story of Discovery, Controversy, and the Fight for Healthy Air” by C. Arden Pope III and Douglas W. Dockery; https://www.penguinrandomhouse.com/books/771621/particles-of-truth-by-c-arden-pope-iii-and-douglas-w-dockery-foreword-by-gina-mccarthy/ “The Heat Will Kill You First: Life and Death on a Scorched Planet” by Jeff Goodell; https://www.hachettebookgroup.com/titles/jeff-goodell/the-heat-will-kill-you-first/9780316497558/ Subscribe to stay up to date on podcast episodes, news, and research from Resources for the Future: https://www.rff.org/subscribe/

For this week’s episode, host Daniel Raimi is joined by Deputy Executive Director of the Energy for Growth Hub Katie Auth to examine the significance of shutting down the Power Africa program, which had been sponsored by the US Agency for International Development (USAID), along with related implications for international energy development and energy access. Auth notes how the sudden shuttering of Power Africa (and USAID) has weakened US credibility and raised confusion for countries that had been promised energy assistance via Power Africa. Auth identifies a chance for the international-development community to not simply rebuild this and other programs in coming years, but to move forward by emulating the positive, collaborative elements of Power Africa in future energy development. References and recommendations: “High Energy Planet” podcast from the Energy for Growth Hub; https://energyforgrowth.org/article/high-energy-planet-all-episodes/ “Demon Copperhead” by Barbara Kingsolver; https://www.pulitzer.org/winners/barbara-kingsolver Subscribe to stay up to date on podcast episodes, news, and research from Resources for the Future: https://www.rff.org/subscribe/

For this week’s podcast episode, host Kristin Hayes chats with Resources for the Future (RFF) Fellow Milan Elkerbout alongside Massachusetts Institute of Technology Professor and RFF University Fellow and Board Member Catherine Wolfram to make sense of the significant new global launch of the Open Coalition on Compliance Carbon Markets at last year’s 30th Conference of the Parties. In accordance with a key tenet of the Paris Agreement, the declaration of the Open Coalition establishes formal—and actionable—intent for the participating countries to align on a shared global framework for carbon markets. Elkerbout and Wolfram characterize this initiative as a sign of adapting to new dynamics that have been governing international climate negotiations, with strong possibility of more countries joining. With this momentum, Elkerbout and Wolfram note progress toward emissions reductions and climate cooperation. References and recommendations: “Building a Climate Coalition: Aligning Carbon Pricing, Trade, and Development” by Catherine Wolfram, Joseph Aldy, Candido Bracher, Vaibhav Chaturvedi, Kimberly Clausing, Christian Gollier, Frank Jotzo, Marcelo PL Medeiros, Athiphat Muthitacharoen, Axel Ockenfels, Mari Pangestu, Daouda Sembene, E. Somanathan, Dustin Tingley, Jennifer Winter, Simon Black, and Carolyn Fischer; https://salatainstitute.harvard.edu/building-a-climate-coalition-gcpp-flagship-report/ “Chokepoints: American Power in the Age of Economic Warfare” by Edward Fishman; https://www.penguinrandomhouse.com/books/726149/chokepoints-by-edward-fishman/ “The Old World Order Is Dead” by Paul Musgrave; https://musgrave.substack.com/p/the-old-world-order-is-dead Subscribe to stay up to date on podcast episodes, news, and research from Resources for the Future: https://www.rff.org/subscribe/

For this week’s episode, Dan Egan, the Brico Fund Journalist in Residence at the Center for Water Policy at the University of Wisconsin–Milwaukee and Pulitzer Prize finalist, joins host Margaret Walls to discuss his book, “The Devil's Element: Phosphorus and a World Out of Balance.” Through stories about the history of phosphorus—including why it earned the “devil’s element” title—Egan describes the large-scale ecological experiment in a Canadian lake that opened people’s eyes to the connections between phosphorus, agriculture, and algal blooms, also noting the challenges of reconciling business interests with environmental concerns. Despite ongoing water pollution in the Midwest, Egan’s experience as a Great Lakes journalist has shown that clearing toxins from waters is a goal within reach that has wide-reaching benefits. References and recommendations: “The Devil’s Element: Phosphorus and a World Out of Balance” by Dan Egan; https://wwnorton.com/books/the-devils-element “The Dark Frontier: Unlocking the Secrets of the Deep Sea” by Jeffrey Marlow; https://www.penguinrandomhouse.com/books/652987/the-dark-frontier-by-jeffrey-marlow/ “A Terrible Country” by Keith Gessen; https://www.penguinrandomhouse.com/books/545063/a-terrible-country-by-keith-gessen/ Subscribe to stay up to date on podcast episodes, news, and research from Resources for the Future: https://www.rff.org/subscribe/

In this episode, host Daniel Raimi is joined by Luisa Palacios, an adjunct senior research scholar at Columbia University’s Center on Global Energy Policy, who breaks down the major and most recent energy developments in Venezuela. Palacios recounts the role of oil in Venezuela’s history and the implications of oil dependency as the country navigates another period of political uncertainty. Venezuela’s oil industry, Palacios underscores, is a major player in the international energy market and faces obstacles to acquiring substantial investment. Palacios draws from her expertise in emerging markets and international affairs to note the critical moves to look for as the world awaits how Venezuela could balance efforts to reduce carbon intensity with economic growth. References and recommendations: “Reinventing Venezuela’s Struggling Electricity Sector” by Francisco Morandi and Luisa Palacios; https://www.americasquarterly.org/article/reinventing-venezuelas-struggling-electricity-sector/ “Michael Webber on What’s Behind Rising Energy Costs” episode of the Columbia Energy Exchange podcast from the Center on Global Energy Policy at Columbia University’s School of International and Public Affairs; https://www.energypolicy.columbia.edu/michael-webber-on-whats-behind-rising-energy-costs/ “World Energy Investment” reports from the International Energy Agency; https://www.iea.org/reports/world-energy-investment-2025#overview Subscribe to stay up to date on podcast episodes, news, and research from Resources for the Future: https://www.rff.org/subscribe/

For this week’s episode, Miyuki Hino, an associate professor at the University of North Carolina at Chapel Hill, joins host Margaret Walls to discuss Hino’s latest research on high-tide flooding (also called “sunny day flooding” or “nuisance flooding”) in North Carolina. Hino recounts the complications of measuring increasingly frequent and disruptive floods and some innovative solutions to technical challenges—including creating water-level sensors and engaging communities to understand local geographies. By specializing data collection to suit a research area in murky waters, Hino and her research collaborators have noted more accurately the extent to which sea level rise has affected coastal communities. With improved data on hand, Hino reports that previous estimates of flood frequency are serious, but unsurprising, understatements of current realities and that updated findings can help communities better adapt to changing tides. References and recommendations: “Land-based sensors reveal high frequency of coastal flooding” by Miyuki Hino, Katherine Anarde, Tessa Fridell, Ryan McCune, Thomas Thelen, Elizabeth Farquhar, Perri Woodard, and Anthony Whipple; https://www.nature.com/articles/s43247-025-02326-w Sunny Day Flooding Project; https://sunnydayflooding.com/ “Good Hang with Amy Poehler” podcast; https://en.wikipedia.org/wiki/Good_Hang_with_Amy_Poehler Subscribe to stay up to date on news and research from Resources for the Future: https://www.rff.org/subscribe/

For this week’s episode, host Daniel Raimi sits down with David Konisky, a professor at Indiana University Bloomington, to reflect on the release of Konisky’s new book, “Power Lines: The Human Costs of American Energy in Transition,” which Konisky wrote with Sanya Carley. Unlike previous calls for innovation-forward research on the energy transition, Konisky proposes a people-centered approach that includes examining the uneven benefits and costs that get distributed among communities that host or otherwise are affected by clean energy development. Konisky underscores that a close-up look into communities at the front lines of the energy transition can provide a heightened awareness of the local impacts of energy infrastructure and potentially facilitate sound and equitable decisions in federal energy policymaking. References and recommendations: “Power Lines: The Human Costs of American Energy in Transition” by Sanya Carley and David Konisky; https://press.uchicago.edu/ucp/books/book/chicago/P/bo254000286.html “Frederick Douglass: Prophet of Freedom” by David W. Blight; https://www.pulitzer.org/winners/david-w-blight “James” by Percival Everett; https://www.pulitzer.org/winners/22691 Subscribe to stay up to date on podcast episodes, news, and research from Resources for the Future: https://www.rff.org/subscribe/

In this episode, host Kristin Hayes is joined by Andy Rankin and Dave McGimpsey—both partners at Dentons, a global law firm—to explore how an overlooked tax policy in the One Big Beautiful Bill Act can spur clean energy development, to the benefit of both local communities and companies. Despite recent rollbacks of solar and wind energy tax credits, Rankin and McGimpsey insist that newly expanded Qualified Opportunity Zones (QOZs) provide ample opportunity for energy developers to gain a solid footing in project financing and equity growth. Unlike the original 2017 iteration of the QOZ program, new adjustments ensure that QOZ tax benefits have no sunset date in sight, hinting at a new dawn for renewable energy build-out. References and recommendations: “The Qualified Opportunity Zone Program and Clean Energy: A New Era for Natural Gas, Solar, Wind, Energy Storage and Nuclear Projects” from Dentons; https://www.dentons.com/en/insights/articles/2025/september/4/the-qualified-opportunity-zone-program George F. Will op-ed writings; https://www.washingtonpost.com/people/george-f-will/ “The Water Values Podcast” with Dave McGimpsey; https://podcasts.apple.com/us/podcast/water-values-podcast/id843026539 Subscribe to stay up to date on podcast episodes, news, and research from Resources for the Future: https://www.rff.org/subscribe/