Climate change: Australia’s big banks urged to reject new loans for coal projects



Reported by Assylkhan Ziyash in Almaty

19 May 2016 – According to an article published in the Guardian in the UK (https://www.theguardian.com/) Australia’s big banks are being urged not to loan money for new coal projects.

160519-pmwj47-Ziyash-COAL IMAGEAustralia’s big four banks could act on their stated ambition to help achieve a 2C warming target simply by giving no new loans to coal projects.

All four big banks have made statements supporting the 2C warming target. ANZ’s (Australia and New Zealand Banking Group Limited) statement acknowledged worries that lending to fossil fuels was in conflict with the need to reduce greenhouse gas emissions.

Analysts at Market Forces examined what the banks could do to put those sentiments into practice. The group has kept a database of loans to fossil fuel projects since 2008, which now contains 475 deals. Of those loans, 142 are to coal projects.

If all the current loans to Australian coal companies were simply allowed to run their course, all but one would expire by 2021. The exception is a loan the group says Commonwealth Bank has given to one of the country’s largest coal power stations – Loy Yang B in Victoria – which runs until 2026.

To read more: https://www.theguardian.com/business/2016/may/18/australia-climate-change-big-four-banks-urged-to-reject-new-loans-for-coal-projects