New York Congresswoman Alexandria Ocasio-Cortez and Massachusetts Senator Ed Markey earlier this month unveiled their “Green New Deal” proposal for a federal infrastructure program that envisions de-carbonized U.S. industries and a driving role for government in funding energy-efficient projects. But according to a new CNN article, Wall Street would rather invest privately in these projects than fund them indirectly through higher taxes and government oversight. Furthermore, investors are disappointed that the Green New Deal doesn’t address reducing the regulatory hurdles that tend to hold up completion of new projects.
Regardless, private investment in clean energy projects already is on the rise, says Pillsbury Finance partner Mona Dajani, and the general sense among investors is that the proposals in the Green New Deal are unlikely to displace private finance anytime soon.
“If you look at slow money, long-time horizon investments, this is definitely an interesting place to be,” Dajani said. “At the end of the day, I do believe that [the plan] will have a tangible impact on corporate America. But there’s no detail—it needs to be much more refined. If something like this does pass, it’s not going to look like what they’re proposing.”