Search Climate Insights Directory

The report analyzes the financial support provided by 354 banks to the top 100 steelmakers, finding that $429 billion was provided between 2016 and June 2023. It highlights a critical gap between banks' climate commitments and their continued funding of coal-dependent blast furnace-basic oxygen furnace (BF-BOF) projects. The document argues that continuing to fund these assets creates significant stranded asset risks, estimated at $554 billion, and urges a shift toward green hydrogen direct reduced iron (DRI) and electric arc furnace (EAF) technologies.

Reclaim Finance criticizes Amundi, Europe's largest asset manager, for its inconsistent and insufficient voting practices at the 2024 general assemblies of major European oil and gas companies. The analysis finds that Amundi frequently supports the reelection of directors and financial accounts of companies like TotalEnergies, Shell, and BP, despite these firms lacking climate plans aligned with a 1.5°C trajectory. While Amundi opposed some leadership reelections at Shell and BP, the lack of public justification leaves it unclear if these votes were based on climate concerns or general governance. Reclaim Finance calls for Amundi to implement systematic climate criteria that trigger automatic votes against resolutions when companies continue fossil fuel expansion.

The document analyzes the June 2024 sale of 1.55 billion Saudi Aramco shares, classifying it as a Secondary Share Offering (SSO) where funds benefit the Saudi government rather than the company. While distinguishing SSOs from Primary Share Offerings (PSO) that provide direct capital for expansion, the author argues that financial institutions should avoid both to prevent supporting fossil fuel developers and increasing the attractiveness of oil and gas stocks.

Reclaim Finance criticizes the involvement of over 20 financial institutions, including BNP Paribas, HSBC, and UBS, in a June 2024 secondary share offering (SSO) of 1.55 billion Saudi Aramco shares. While noting that an SSO does not provide new capital to the company for fossil fuel expansion, the author argues that such transactions reinforce the attractiveness of fossil fuel stocks. The document calls for a total ban on financial services—including coordination, bookrunning, and advisory—for any energy company continuing fossil fuel expansion, specifically targeting primary share offerings (PSOs) as a critical funding mechanism that must be prohibited to align with the IEA's Net Zero Emissions scenario.

In May 2024, the USDA and HUD updated minimum energy standards for new construction, requiring buildings under four stories to meet the 2021 IECC and taller buildings to meet ASHRAE/ANSI Standard 90.1-2019. The report argues that these standards, combined with 45L tax credits from the Inflation Reduction Act, make high-performance certifications like ENERGY STAR and Zero-Energy Ready Home (ZERH) financially attractive, particularly for all-electric construction in specific climate zones.

The document criticizes the financing of the Stade LNG terminal in Germany, arguing that such projects create an unnecessary dependence on fossil gas and contradict climate goals. It highlights a disconnect between banks' public climate commitments and their continued funding of LNG import and export infrastructure.

Between 2021 and 2023, commercial banks in G7 countries provided US$101 billion to the coal industry, with American and Japanese banks contributing over US$73 billion. The report highlights that this financing exceeds the G7-led pledges for Just Energy Transition Partnerships (JETPs) and calls for stricter capital requirements and prohibitions to ensure a phase-out aligned with 1.5°C goals.

Between 2021 and 2023, commercial banks from G7 countries provided $101 billion to the coal industry, with US and Japanese banks leading the funding. The report highlights that this financing far exceeds the G7-led funding promised for Just Energy Transition Partnerships (JETPs) in developing nations. It criticizes the G7's goal of phasing out coal by the first half of the 2030s as insufficient to meet the 1.5°C warming limit and calls for strict capital requirements and bans on coal developers.

The report estimates that approximately CAD 98.4 million in combined federal and provincial grant funding was directed toward natural infrastructure in the Canadian Prairies in 2022. Nationally, 16 analyzed funds provide an estimated CAD 346.6 million annually. The analysis highlights that ecosystem restoration receives the most funding, while the Natural Infrastructure Fund is the only program specifically dedicated to natural infrastructure.

The report evaluates a proposed land restoration project in Burkina Faso using nature-based infrastructure (NBI) to address severe land degradation and climate-driven displacement. The analysis finds that NBI outperforms grey infrastructure, offering a return of USD 14.8 in benefits for every USD 1 invested, while providing significant carbon storage and reducing conflict by stabilizing rural livelihoods.

The report highlights a significant disparity in Canadian public finance, with crown corporations providing between CAD 7.6 billion and CAD 13.5 billion annually to fossil fuels (2020-2022) versus CAD 147 million for domestic renewable energy. It argues that Canada must implement a comprehensive policy this year to end all public finance for fossil fuels—including loans, equity, and insurance—to align with climate commitments and its upcoming G7 presidency.

The report finds that Canadian institutions provided between CAD 7.6 billion and CAD 13.5 billion annually to the fossil fuel sector from 2020 to 2022, while providing only CAD 147 million annually for domestic renewable energy. It identifies Export Development Canada (EDC) as the primary provider of this finance and highlights a critical lack of transparency in reporting. The authors recommend a comprehensive policy that covers the entire fossil fuel life cycle, includes existing investments like the Trans Mountain Pipeline Expansion, and precludes funding for carbon capture and storage (CCS) and blue hydrogen. The report suggests redirecting these funds toward clean electricity and Indigenous-led generation to support Canada's energy transition.

The report highlights a significant funding gap in the Canadian Prairies, where grey water infrastructure depreciation exceeded investments by nearly CAD 3 billion between 2017 and 2021. It argues that private capital can supplement government funding through outcome-based financing models and government incentives, provided that ethical considerations regarding land rights and Indigenous values are prioritized.

Reclaim Finance highlights the contradiction between the values promoted by French banks through sports sponsorships and their continued financial support for fossil fuel expansion. The report details the funding provided by BNP Paribas, Crédit Agricole, Société Générale, and BPCE to oil and gas companies and liquefied natural gas (LNG) projects between 2021 and 2024, asserting that such investments are incompatible with the Paris Agreement and IPCC guidelines.

The report identifies a systemic network of financial support for Indonesia's coal industry, noting that between 2020 and 2023, at least IDR 163 trillion was disbursed to coal-related activities. It highlights the role of state-owned banks, particularly Bank Mandiri and Bank Rakyat Indonesia, as primary funders. The document argues that this financial support, combined with 'regulatory capture' and the influence of a wealthy elite (the 1%), creates a state of 'climate delay.' It specifically criticizes the OJK's updated green taxonomy for labeling certain coal-fired power plants as 'Green' or 'Transition,' which the authors characterize as greenwashing. The report also maps the ownership and political affiliations of seven major coal companies, linking them to politically exposed persons and individuals listed in Offshore Leaks.

The report identifies a systemic link between Indonesia's coal industry, political elites, and national banks, which continues to fund fossil fuel expansion despite global climate commitments.

The document asserts that nature loss is a "macro-critical" threat to financial stability, with potential global economic costs of $5 trillion over five years. It details how policy, legal, reputational, and physical risks are already impacting corporate balance sheets, citing examples such as Tesla's Gigafactory delays and significant financial losses from mishandled nature interactions. The briefing identifies five priority themes for investors through 2025: framework alignment (e.g., TNFD), leveraging AI for deforestation data, managing ocean-related impacts in the blue economy, pursuing 'nature alpha' for financial returns, and active policy engagement to reverse biodiversity loss.

The document highlights a gap between net zero commitments and the actual financing of coal phaseouts, noting that commercial banks provided US$470 billion to the coal industry between 2021 and 2023. It argues that internal bank policies and financed emission targets are not valid excuses for inaction, as institutions can create specific carve-outs for decommissioning. The author proposes a new "phaseout emissions" category to track support for coal retirements without penalizing overall portfolio targets and urges the public sector to lead pilot projects and provide concessional financing to demonstrate the viability of just coal phaseouts.

The 2024 Banking on Climate Chaos report reveals that the 60 largest global banks committed $705.8 billion to fossil fuel companies in 2023, with $347.5 billion directed toward companies with active expansion plans. JPMorgan Chase is identified as the worst financier of fossil fuels, while Japanese megabanks like Mizuho and MUFG are prominent in methane gas (LNG) financing. The report highlights significant policy gaps, noting that many banks use intensity-based metrics rather than absolute emissions targets and that some North American banks have rolled back previous exclusions for coal and Arctic oil and gas. It argues that current 'net zero' targets often serve as loopholes for continued investment in fossil fuel infrastructure, particularly in Southeast Asia.

Reclaim Finance claims that ArcelorMittal uses the low-carbon recycled steel of the Paris 2024 Olympic flame to mask a global strategy that continues to build coal-fired blast furnaces. The organization highlights that four major French banks—BNP Paribas, Crédit Agricole, Société Générale, and BPCE—provided nearly 13 billion US$ to the company between 2016 and June 2023, urging them to adopt stricter sectoral policies to end financing for new coal-based steel projects and the companies that develop them.