Laura de Zwaan

Climate Change and Financial Regulation: Challenges for the Financial Sector Following the Global Financial Crisis

Regulation has played a significant role in shaping the financial services sector in Australia over the past few decades. Regulatory changes have included the establishment of the Australian Prudential Regulation Authority (APRA), floating the Australian dollar, allowing foreign financial institutions to operate domestically, the introduction of the superannuation guarantee charge, and the removal of interest rate controls. As the economy emerges from the worst financial crisis since the Great Depression, a new force of change that is recognised as one of the most significant sources of risk and opportunity facing the business community in the foreseeable future has come to the forefront: climate change. Climate change is expected to be a significant change agent in the financial services sector as extreme weather patterns, sea level rises and atmospheric changes impact on asset values (both investment and lending), project finance and risk products. The financial services industry will particularly be affected by these developments, both as a provider of financial products (capital, credit, investment, advice and insurance) and through its powerful influence on the economy in terms of capital allocation. In addition, industry constituents will be impacted significantly by government regulation in this area (reporting, emissions trading and environmental policies) with respect to both their own business practices and those of their clients. This study reports the results of interviews conducted with senior members of the finance sector working in the sustainability area to gauge their perceptions of the challenges facing the sector with respect to climate change. Our results confirm that that regulatory intervention will be critical to climate change response gaining traction and momentum. In particular, regulatory certainty will promote engagement, especially in relation to the Carbon Pollution Reduction Scheme (CPRS), with other developments needed in terms of information disclosure, performance and remuneration, and incentive programs. Accordingly, the significant potential risks and opportunities that climate change presents to the sector, and to the broader economy, will in part be managed/realised only if a swift and significant regulatory response is achieved.

‘It’s the Worst, but Real Experience Is Invaluable’: Pre-service Teacher Perspectives of the Costs and Benefits of Professional Experience

Professional experience, or practicum placements, is an important component in the education of pre-service teachers and preparing them for their own classrooms after graduation. However, while the pedagogical and personal development benefits of participation are well documented, the personal costs of participation have been less comprehensively explored. This chapter identifies the perceived costs and benefits of participation in practicum from the perspective of undergraduate and postgraduate pre-service teachers attending an Australia university. The research study reported in this chapter reveals that the practicum experience is, on the whole, associated with positive feelings and the opportunity to gain practical ‘real-world’ experience and professional development. However, the financial hardship that can be created or magnified as a consequence of participation in practicum can negatively impact the practicum experience and the well-being of a pre-service teacher. The chapter concludes by reflecting on approaches that universities and accrediting bodies may consider to manage the financial and other impacts of practicum participation on pre-service teachers without decreasing their educational and experiential value.