Five Years Lost

The report 'Five Years Lost' details 12 major fossil fuel expansion projects globally, estimating they would collectively emit at least 175 gigatons of CO2, consuming up to 75% of the remaining carbon budget for a 66% probability of limiting warming to 1.5°C. It identifies a systemic failure in the finance industry, noting that between January 2016 and August 2020, financial institutions provided $1.6 trillion in loans and underwriting and $1.1 trillion in investments to 133 companies driving these projects. The document highlights the role of public finance, specifically Export Credit Agencies (ECAs) and Multilateral Development Banks (MDBs) like the World Bank Group, in de-risking these projects. Case studies cover diverse regions including the Permian Basin (USA), Vaca Muerta (Argentina), and the Barents Sea (Norway), emphasizing the associated human rights abuses, environmental degradation, and the 'myth' of natural gas as a bridge fuel.

• Twelve specific fossil fuel expansion projects are projected to cause at least 175 gigatons of additional CO2 emissions, which represents nearly 75% of the remaining 235 Gt carbon budget required for a 66% probability of limiting global warming to 1.5°C.
• Between January 2016 and August 2020, financial institutions provided $1.6 trillion in loans and underwriting and invested $1.1 trillion in bonds and shares for the 133 companies driving the 12 highlighted expansion projects.
• US financial institutions are the leading investors in these projects, with BlackRock ($110 billion), Vanguard ($104 billion), and State Street ($50.8 billion) identified as the top three investors.
• The World Bank Group provided over $12.1 billion in public assistance for fossil fuel operations in at least 38 countries since the Paris Agreement, including $10.5 billion in new direct project finance and $200 million in technical assistance.
• The European Central Bank's (ECB) asset purchase programmes, including the Pandemic Emergency Purchase Programme (PEPP), are financing at least 38 fossil fuel corporations, which the report argues lowers borrowing costs for polluters and increases transition risks.
• In the US Permian Basin, projected production and emissions from 2020 to 2050 could be 65% greater than all production from 1925 to 2019, with potential emissions of 46 billion metric tons of CO2.
• The Burrup Hub in Western Australia is described as Australia's most polluting fossil fuel project, with potential lifetime emissions of 6.1 gigatons of CO2e, equivalent to 11 times Australia's current annual emissions.
• The report argues that the 'bridge fuel' narrative for natural gas is misleading due to methane leakage, noting that fossil fuel activities are responsible for half of the world's major methane leaks.
• In Mozambique, gas projects have been linked to severe human rights abuses, including the forced resettlement of over 677 families and the deaths of at least 2,193 people due to insurgent attacks and militarization in Cabo Delgado.
• The UK's 'Maximising Economic Recovery' policy is criticized for being incompatible with the Paris Agreement, as it aims to maximize oil and gas extraction through new licenses and tax breaks.

APA

Reclaim Finance (n.d.). Five Years Lost. https://reclaimfinance.org/site/wp-content/uploads/2020/12/FiveYearsLostReport.pdf

Chicago

Reclaim Finance. Five Years Lost. n.d. https://reclaimfinance.org/site/wp-content/uploads/2020/12/FiveYearsLostReport.pdf.

Wikipedia

{{cite report |author=Reclaim Finance |title=Five Years Lost |url=https://reclaimfinance.org/site/wp-content/uploads/2020/12/FiveYearsLostReport.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{reclaimfinancendfive, author = {{Reclaim Finance}}, title = {{Five Years Lost}}, institution = {Reclaim Finance}, url = {https://reclaimfinance.org/site/wp-content/uploads/2020/12/FiveYearsLostReport.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }