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Banks worldwide funded over $150 billion worth of high emission projects called “carbon bombs” last year. As part of an investigation into fossil fuel extraction projects, The Guardian found 425 potential carbon bomb projects with links to bank financing. These bank activities sit in stark contrast to the net-zero pledges and ESG targets that many banks have committed to in the public arena. Environmentalists have raised concern that reports and disclosures made by banks do not align with the reality of their business models. Between 2016 and 2022, banks from the US, China and Europe collectively provided $1.8 trillion worth of financing to coal, oil and gas related companies – during a period of time when financed emission reporting and emission targets were gaining prevalence in the financial industry. However, banks argue that they continue to support energy security and a responsible energy transition through their financing deals. With net-zero deadlines often set for 2030 or 2050, only time will tell whether the finance and energy industries make real progress to avoid severe climate impacts. #CarbonBomb #ESG #ClimateImpact

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