Citigroup Inc (C.N) on Wednesday laid out goals for corporate borrowers to cut emissions that included a rare “absolute reduction” target for companies in the energy sector by the end of the decade.
Citi said in a report that it aims for emissions from companies across its energy loan portfolio to drop 29% by 2030 from 2020. Other banks have focused on cutting clients’ “emissions intensity,” a measure of emissions relative to output that climate activists have said does not go far enough.
Citi did target a 63% reduction in emissions intensity for borrowers across the power sector.
A Citi representative said while global absolute emissions must decrease soon, it chose an intensity target for power “because many aspects of the global economy will need to be electrified, so we’ll need to increase power generation while also decarbonizing it.”
The figures were in a report Citi issued detailing how, like other banks, it aims to achieve net-zero carbon emissions associated with its financing by 2050.