RALEIGH, N.C. – Climate change could pose major risks to retirement investments, according to one expert who says looking for sustainable investment options could help buffer your nest egg.

Over the past decade, said James McMahon, chief executive of The Climate Service, an Asheville-based climate-risk analytics company, growing numbers of institutions and businesses have divested from fossil fuels – and yet, the average investor has not.

"For an average investor, I think we tend to invest in the funds that our employers make available to us," he said, "so I think the first thing to do is to look for investment products that take sustainability into account."

As an example of what to watch for, sea-level rise and soil erosion threaten the state's coastal homes and real estate, and researchers have predicted North Carolina will see around a 50% increase in drought severity by 2050.

It's up to individual investors to look for sustainable options, according to Michelle Garey, a portfolio manager at Bank OZK in Shelby. She said most investment funds aren't designed to guard investors from climate-change risks, and they don't follow "ESG," a set of standards investors use to determine whether a potential investment is environmentally and socially responsible.

"So if you're just a regular employee working for a large corporation," she said, "the 401(k) plan most likely, at this point in time, does not incorporate the ESG criteria."

ESG stands for "environmental, social and governance."

Garey predicted that as more companies move away from fossil fuels and toward renewable-energy technologies, those areas will be a silver lining for investors "focusing on utility companies, for instance, that have strict goals about reducing their carbon footprint."

Earlier this month, it was reported that shareholders in BlackRock, Inc., the world's largest asset manager, have lost billions of dollars due to the firm's heavy investments in oil, gas and coal companies.


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Wet weather this spring has improved drought conditions in Minnesota and southern Canada. However, experts remain on alert for increased wildfire activity and other climate changes affecting people's health.

Poor air quality was a frequent topic last year in the upper Midwest, as smoke pushed down from Canadian wildfires. Researchers said climate change is fueling hotter and drier summers, making forests more susceptible to large fires.

Dr. Bruce Snyder, co-founder of Health Professionals for a Healthy Climate, worries about a repeat summer of thick, hazy smoke in the air creating unhealthy conditions.

"When that happens, people have more respiratory disease; people who have chronic lung disease tend to get sicker," Snyder explained. "There's a lot of downstream consequences for people all over the world, but certainly here in Minnesota."

Snyder noted the transition to cleaner energy sources is complex, but acknowledged pollution events place more emphasis on the need for less reliance on fossil fuels, due to their contributions to a warming planet. The Minnesota Pollution Control Agency said the state has had 46 air quality alerts since 2015, and 34 of those were because of wildfire smoke.

Snyder emphasized it is not just air pollution from wildfire smoke to worry about. He pointed out there are other ways a person's health can suffer from climate change.

"We've got many more dangerous insects -- ticks, mosquitoes, and so forth," Snyder stressed. "This is having a profound effect on our wildlife. But also, we're seeing a lot more progressively rising rates of Lyme disease, of West Nile virus."

Year-over-year statistics may vary, but state health officials say the median number of Lyme disease cases has risen in the past decade. Snyder added adverse health effects of climate change can be much harder for populations lacking stable housing.


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Conservationists in Maine said reinstated protections of the Endangered Species Act could help wildlife already struggling to adapt to climate change.

Economic impacts will no longer be considered when listing certain species as threatened or endangered but the threat of climate change will be a factor.

Anya Fetcher, federal policy advocate for the Natural Resources Council of Maine, said so-called "blanket rule" protections will also be revived.

"This is basically, while they are considering whether they should become endangered, they're going to continue to protect those species as if they were," Fetcher explained.

The Trump administration removed protections for threatened species along with other key aspects of the law. Fetcher acknowledged the new rules are likely to be challenged by Congress similar to other climate and environmental regulations.

Conservation powers will also be extended to federally recognized tribes, allowing them the same opportunities to protect wildlife, including some of Maine's most iconic species such as the piping plover and Canada lynx, which are losing critical habitat to development and a changing climate.

Fetcher pointed out one-third of Maine's species are vulnerable to climate change, including more than half the state's birds.

"Our wildlife is part of what makes Maine so special," Fetcher asserted. "Protecting critical habitat and the incredible wildlife that we have here is vital to our economy as well."

Fetcher added the Endangered Species Act has been helpful in protecting species such as the bald eagle, once on the brink of extinction but now a common sight in Maine. Nearly 500,000 public comments were considered in the new rule-making process.


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PacifiCorp's updated energy roadmap throws a lifeline to Wyoming's coal industry but critics said the new Integrated Resource Plan is a major setback for community health and the climate.

Rob Joyce, director of the Wyoming Chapter of the Sierra Club, said the plan would add 100 million metric tons of climate pollution by 2042. It also slashes near-term investments in cheaper wind and solar, and makes a huge bet on behalf of ratepayers to install unproven and expensive carbon capture devices on existing coal-fired power plants.

"To be increasing emissions, increasing investment in fossil fuels, and putting hundreds of millions if not billions of dollars towards carbon capture when we're not 100 % sure if that is actually even going to work is really dubious," Joyce argued.

PacifiCorp, the parent company of Rocky Mountain Power, plans to extend the life of the Jim Bridger coal-fired power plant in southwestern Wyoming until 2039. The plan also pushes back the retirements of Utah's Hunter plant by at least 10 years, and the Huntington plant by at least four years. PacifiCorp said it should deliver significant near-term cost savings to ratepayers.

The plan also added more natural gas to PacifiCorp's energy portfolio. Joyce worries Wyoming ratepayers, already tapped by state lawmakers to pay millions for a carbon capture compliance surcharge, will end up on the hook.

"We're going to have to cover the costs of the volatility of new gas resources," Joyce pointed out. "The company is saying between $500 million and $1 billion per unit that they put carbon capture on. Those are all things that they pass on to the ratepayers."

Joyce noted with a looming 2030 deadline to significantly reduce fossil fuel pollution in order to avoid the worst effects of climate change, now is the time to invest big in wind and solar. He added by delaying the expansion of clean energy resources, PacifiCorp is leaving billions of dollars in Inflation Reduction Act incentives on the table.

"Right now we know that solar and wind and even battery storage are cheap and getting cheaper," Joyce emphasized. "Those are investments that the rest of the country is making to save ratepayers money."