June 7, 2019 Read More →

France’s Crédit Agricole to stop thermal coal investments in EU, OECD by 2030

BusinessGreen:

French bank Crédit Agricole has said it will stop investing in thermal coal production in EU and OECD countries by 2030, as it pledged to align its activities with the Paris Agreement in a new strategic growth plan published yesterday.

The world’s largest cooperative financial institution, which consists of almost 40 local and regional banks as well as the central Crédit Agricole institute, said it would commit all its entities to a common Paris Agreement-compliant climate strategy to be published in 2020. The strategy will be certified by an independent body and based around the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD) as it moves to “strengthen our commitments to financing the energy transition”, the bank said.

Crédit Agricole, which manages around €1.8tr assets, will also fully phase out coal from its financing and investment portfolio by 2030 in EU and OECD countries, and will do the same by 2040 in China and by 2050 everywhere else.

It promised “no new business relations with companies for which thermal coal accounts for over 25 per cent of their revenues except those that have announced plans to close their thermal coal activities or which intend to announce such plans by 2021”, as well as “no new business relations with companies developing or planning to develop new thermal coal capacity”.

In addition, the bank aims to finance a third of renewable energy projects in France, double the size of its green loans portfolio to €13bn by 2022, and “promote clean and responsible investment policies” by incorporating ESG criteria in all funds managed by is asset management arm Amundi, among other new green policies.

More: ‘Game changer’: French bank Crédit Agricole to ditch EU coal by 2030

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