Search Climate Insights Directory

Between January 2017 and June 2020, Japanese public and private institutions provided at least US$23.4 billion in financing for LNG infrastructure across 10 countries. The report argues that the original rationales for this policy—energy security, climate friendliness, and economic viability—are now flawed due to the vulnerability of supply chains exposed by COVID-19, the high global warming potential of methane leakages, and the declining costs of renewable energy. It highlights that major Japanese banks (MUFG, Mizuho, and SMBC) provided the bulk of this funding, while five major trading companies saw a combined year-on-year profit drop of US$625 million in LNG-related businesses by March 2020. The document concludes that continuing to fund LNG infrastructure risks creating stranded assets and contradicts the UN's Principles for Responsible Banking.

Between January 2017 and June 2020, Japanese public and private institutions provided at least $23.4 billion in funding for LNG infrastructure across 10 countries. The report argues that this strategy, led by the Ministry of Economy, Trade and Industry (METI), is flawed due to the high carbon footprint of LNG, the falling cost of renewable energy, and market volatility exacerbated by the COVID-19 pandemic. It highlights significant financial risks, including potential stranded assets and declining profits for major Japanese trading houses, and calls for an immediate shift toward clean energy investments.

The SAVi assessment finds that the Kalivaç and Poçem hydropower projects (HPPs) are uneconomic, producing higher costs and societal burdens than benefits. When integrating externalities, the HPPs' levelized cost of electricity (LCOE) is more than 2.5 times higher than that of solar PV. The report highlights significant negative externalities, particularly the loss of agricultural land and tourism potential along the Vjosa River, and notes that the projects are not financially attractive at domestic electricity prices of EUR 55/MWh.

Since 2010, Leonard Green & Partners and other owners collected $658 million in dividends and fees from Prospect Medical Holdings, despite the company facing severe operating challenges, underfunded pensions, and low quality ratings from the Centers for Medicare and Medicaid Services. A significant $457 million debt-financed dividend paid in 2018 contradicted previous assurances given to Rhode Island regulators that no further distributions were planned. During the same period, Prospect's EBITDA fell from $142 million in 2015 to $17 million in 2018, and its pension fund funded ratio dropped from 68.3% in 2016 to 60.7% in 2018.

This research paper by the Climate Policy Initiative outlines the state of global climate adaptation finance, highlighting the gap between estimated needs and tracked investments, while discussing the importance and challenges of tracking adaptation finance.

The report finds that global adaptation finance is dominated by public development finance, with a heavy concentration in water and wastewater management. While finance often aligns with the most vulnerable sectors in specific countries like Pakistan, Zambia, and Niger, significant funding gaps remain relative to Nationally Determined Contribution (NDC) targets. The authors highlight critical data gaps in private sector and domestic public finance and recommend the use of new datasets from the Climate Bonds Initiative and CDP to improve tracking accuracy.

Japan has provided over US$17.5 billion in public finance for 21 GW of coal power abroad since 2013, often justifying this by claiming to support "best available technologies" like ultra-supercritical plants. However, the document asserts that these plants are still too polluting to meet Paris Agreement goals and that Japan's withdrawal would not prevent the use of inferior technologies, as China and South Korea are also major funders. Furthermore, the briefing notes that Japanese-funded overseas projects often use inferior emission controls compared to domestic standards and that coal is increasingly an unsafe investment compared to cheaper solar and wind power.

This knowledge brief from Sustainable Energy for All (SEforALL), produced in support of the Kigali Cooling Efficiency Program (K-CEP), examines the challenges and opportunities associated with financing sustainable cooling solutions across diverse user needs.

The document calls for an immediate end to financial support for fossil fuel expansion to meet the 1.5°C climate goal. It criticizes financial institutions for insufficient exclusion policies and highlights the danger of non-conventional hydrocarbons and the continued expansion plans of oil and gas majors.

The report finds that while the global coal fleet grew by 34.1 GW in 2019, this was primarily driven by China, as the fleet outside China shrank for the second consecutive year. Most leading indicators of growth, including construction starts and pre-permit development, continued to decline globally. The report highlights a shift in financing, with Western commercial banks exiting project finance for coal, while Chinese public finance and Indian state-backed institutions continue to support new capacity. Despite these trends, the report argues that coal power use must fall by 80% by 2030 to align with the 1.5C warming limit of the Paris climate agreement.

The report finds that while global coal capacity grew by 34.1 GW in 2019, this was primarily driven by China, where 68.3 GW of new capacity began operating. Outside China, the global coal fleet shrank for the second consecutive year. Pre-construction pipelines are declining globally, with significant drops in India, Southeast Asia, Africa, and Latin America. In OECD countries, capacity has declined since 2011, though Japan remains a major driver of new coal power. Financing is becoming more restrictive, with no direct project finance from major US, European, or Australian banks for 2019 constructions, although public financing from China and India continues to support new projects.

The report finds that while global coal capacity increased by 34.1 GW in 2019—driven primarily by China—overall planning and construction are declining globally. It highlights a significant shift in the OECD, where the US and EU are accelerating closures, while Japan remains a major supporter of new coal projects both domestically and abroad. The document also notes a critical gap between current trends and the IPCC's requirement to reduce coal power by 80% by 2030 to limit warming to 1.5°C.

The report finds that while global coal capacity saw a net increase of 34.1 GW in 2019 due to Chinese additions, overall indicators for new projects have declined for four consecutive years. It highlights a significant shift in the OECD, where closures in the US and EU are outpacing new builds, and notes that Japan has become the most active OECD nation in new coal development. The document also details the increasing role of public finance from China, Japan, and South Korea in funding overseas coal projects as commercial banks withdraw support. In China, capacity continues to grow despite low average utilization rates of around 50% and government efforts to limit new permits.

The report finds that while the global coal fleet grew by 34.1 GW in 2019, this was primarily driven by China, as the rest of the world saw a net decrease in capacity. It highlights a continuing decline in new project starts and a significant increase in retirements in the US and EU, though it warns that current trends are insufficient to meet the IPCC's 1.5°C goal, which requires an 80% reduction in coal-fired power by 2030.

The report finds that while global coal capacity saw a net increase of 34.1 GW in 2019, this was driven almost entirely by China. Excluding China, the global coal industry declined for the second consecutive year. The report highlights a significant shift in financing, with Western commercial banks withdrawing direct funding for new coal, while Chinese and Indian state-backed institutions continue to provide critical capital. Regional analysis shows sharp declines in pre-construction capacity in Southeast Asia, Latin America, and Africa, though some countries like Japan and Turkey continue to pursue coal development despite international pressure.

The document reviews the state of adaptation finance as of early 2020, highlighting the Adaptation Committee's projections of rising costs and the Adaptation Fund's operational milestones. It addresses the difficulty of tracking adaptation flows, noting that while finance increased by 35% in 2017-2018, it represents only 5% of tracked climate finance. The brief also contrasts the massive business opportunities in adaptation solutions with the urgent needs of vulnerable populations, arguing that adaptation requires a rethinking of production and equity.

Class B and C office buildings can achieve significant energy cost savings and value increases through energy efficiency and green leasing, though adoption is hindered by information, resource, and funding constraints.

The report analyzes how the COVID-19 pandemic acted as an accelerant for the decline of the oil, gas, and plastic sectors. It details the immediate impacts of the pandemic, such as the collapse of air and cruise travel and the resulting oil price war, while emphasizing that the industry was already weakened by high corporate debt, underperforming stocks, and the rise of renewable energy. The document specifically critiques industry lobbying for bailouts and regulatory exemptions, using ExxonMobil as a case study for the intersecting financial and operational risks facing the sector.

The document argues that solar PV is a financially viable option for South African businesses, capable of reducing electricity costs by approximately 15% with payback periods between 3 and 12 years. It highlights that larger systems benefit from economies of scale, with capital costs for systems over 500 kWp falling below R10k per kWp. The brief also details various financial incentives, including tax benefits (12i and 12b) and VAT deductibility, and notes that the Western Cape is a leader in implementing regulations and feed-in tariffs for Small Scale Embedded Generation (SSEG).

Australia has increased its total government support for fossil fuels by 30% compared to the 2014–2016 average, primarily through tax exemptions and credits. Total support averaged USD 7.7 billion between 2017 and 2019, with the vast majority (USD 7.5 billion) directed toward fossil fuel use. The document highlights significant tax breaks for producers via the Petroleum Resource Rent Tax (PRRT) and fuel tax credits, noting that nine of the ten largest producers paid no corporate income tax in 2017–18.