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The Energy Supply Financing Ratio (ESFR) compares a bank's financing of fossil fuels against its financing of sustainable alternatives, with a target ratio of 6:1 by 2030 based on IEA scenarios. Reclaim Finance warns that varying methodologies allow banks to present misleading ratios, often by excluding capital market activities or including fossil-fuel-related technologies like CCUS in 'low-carbon' scopes. While some North American and French banks have begun publishing these ratios, significant gaps in transparency and scope persist.

The Energy Supply Financing Ratio (ESFR) compares a bank's financing of fossil fuels against its financing of sustainable energy alternatives. Based on the International Energy Agency's (IEA) Net Zero Emissions by 2050 scenario, a ratio of 6:1 is required by 2030 to meet climate goals. However, Reclaim Finance finds that the 65 largest global banks averaged a ratio of only 0.42:1 between 2021 and 2024. The document warns that banks often use misleading methodologies—such as excluding capital markets activities or including fossil-fuel-linked technologies like CCUS in 'low-carbon' categories—to greenwash their climate strategies.

The report analyzes Sudan's development prospects through 2043, identifying violent conflict as the primary constraint to growth. It uses scenario modelling to demonstrate that while the 'Current Path' leads to stagnation and high poverty, a 'Combined scenario' of reforms in agriculture, governance, and infrastructure could significantly increase GDP and reduce extreme poverty. The analysis emphasizes that peace is a necessary precondition for these transformations.

The report projects that São Tomé and Príncipe will see population growth to 351,000 and a GDP per capita increase to US$4,910 by 2043 under its Current Path. While the nation remains a low carbon emitter, it faces systemic poverty and food insecurity. The 'Combined Agenda 2063' scenario, integrating improvements in trade, manufacturing, and infrastructure, could significantly boost GDP per capita to US$7,082 and reduce the poverty rate to 39.8%, though this growth would increase carbon emissions to 130,000 tons.

The report projects that Mauritius will see steady GDP per capita growth and eliminate extreme poverty at the US$5.50 line by 2036 under its current path. While the country is a low emitter, carbon emissions are expected to rise from 1.3 million tons in 2019 to 1.8 million tons by 2043. The 'Combined scenario'—integrating improvements in trade, manufacturing, and finance—could increase GDP per capita by 18.5% by 2043, though it would also result in an additional 0.3 million tons of carbon emissions compared to the baseline.

The report finds that TotalEnergies' investment strategy heavily favors fossil fuels, with 4.8 dollars invested in oil and gas for every dollar spent on integrated power in 2025. The company's 2030 production targets are projected to be at least 59% higher than levels required for NZE alignment. While diversifying into renewables, the report notes this is largely through acquisitions and remains marginal, with oil and gas expected to represent 83% of the energy mix by 2030. Additionally, the company is expanding its LNG capacity and gas power production, while relying on CCUS and offsets to meet emissions targets it has recently modified, including a statement in 2026 that it could no longer commit to a 'net zero' objective.

The report provides a detailed analysis of the power sectors of seven major countries and regions in 2025, which collectively represent 72% of global electricity demand. Key trends include China's unprecedented solar growth and first absolute decline in power sector emissions since 2015, the US seeing wind and solar overtake nuclear power for the first time, and the EU's wind and solar generation exceeding fossil generation. India saw renewable growth double its demand increase, while Brazil maintained one of the cleanest systems globally with 87% renewable generation. Conversely, Russia and Japan continue to rely heavily on fossil fuels, with Russia's wind and solar remaining marginal at less than 1% of its mix.

Ghana faces a critical juncture where economic recovery is threatened by a fragile, high-carbon energy sector and widespread illegal mining. The energy sector is characterized by high debt, a heavy reliance on thermal generation, and a lack of renewable energy investment. Simultaneously, illegal mining (galamsey) causes severe deforestation and water pollution, threatening food security and the viability of hydropower. The document proposes a transition toward sustainable growth through competitive solar auctions, the establishment of a green investment facility, the formalization of artisanal mining via the Ghana Gold Board, and large-scale ecosystem restoration.

The report argues that industrial electrification in India is economically viable across all temperature ranges when powered by low-cost solar energy. It finds that switching to electric technologies like heat pumps and thermal batteries can reduce industrial energy use by 22% and cut CO2 emissions by over half. The analysis highlights that solar-powered electrification is already cheaper than petroleum and natural gas across all temperatures and competitive with coal in several bands. To scale this transition, the report recommends streamlining Green Energy Open Access rules, reducing electricity cross-subsidies, and implementing production-linked incentives for clean commodities.

The policy brief advocates for a hierarchical approach to industrial decarbonization in the United States, prioritizing energy efficiency and electrification over carbon capture, utilization, and storage (CCUS). It argues that CCUS should be limited to niche uses because it fails to address upstream emissions, captures only about 90 percent of CO2, and prolongs fossil fuel infrastructure. The document identifies six high-priority CCUS use cases, dividing them into long-term solutions for process emissions and bioenergy, and short-term solutions for blue hydrogen production, high-temperature heat, high-purity CO2 streams, and new efficient facilities.

The NewClimate Institute provides a critique of the second draft of the SBTi Corporate Net-Zero Standard v2.0, noting improvements in scope 3 emission source identification and reporting granularity while highlighting concerns regarding the 1% threshold for emission responsibility, the use of non-durable removals for fossil emissions, and the frequency of standard renewals.

The report examines the growth of the bioeconomy and the deployment of biobased technologies—including bioenergy, bioplastics, and sustainable land use—as a means to reduce emissions and build climate resilience. It highlights the potential for these technologies to operate locally and inclusively, leveraging regional resources and indigenous knowledge to support a low-carbon transition.

US and Japanese advocacy groups are calling on Japan's Ministry of Economy, Trade and Industry (METI) to reform the Feed-In Tariff (FIT) system for wood pellets. They argue that Japanese subsidies have fueled an industry in the US characterized by repeated legal violations and pollution. The groups propose prohibiting subsidies for non-compliant mills, mandating full public disclosure of supply chains, and requiring direct due diligence rather than reliance on certification schemes.

The report analyzes the integration of methane abatement in sustainable finance taxonomies across five jurisdictions. It finds significant gaps in sectoral coverage, a tendency to prioritize usability over technical rigor, and a lack of specific, measurable criteria. To address these, the report provides a framework of best-practice measures for the energy, agriculture, waste, and wastewater sectors.

This executive summary outlines evidence-based criteria and best-practice measures to help policymakers and taxonomy developers integrate methane reduction into sustainable finance frameworks. It identifies four key sectors for mitigation—energy, agriculture, solid waste, and wastewater—and provides specific technical benchmarks, such as lifecycle GHG emission thresholds for bioenergy and leak detection and repair (LDAR) requirements. The goal is to increase the flow of capital toward cost-effective methane abatement, which currently falls short of the estimated USD 48 billion annual requirement through 2030.

The report finds that sustainable finance taxonomies generally suffer from incomplete sectoral coverage, a tendency to prioritize usability over technical rigor, and a lack of specific, measurable criteria for methane abatement. While the energy sector has the most extensive coverage, agriculture and waste sectors are inconsistently addressed. The authors propose a set of evidence-based best practices and technical screening criteria to improve the environmental integrity of green finance frameworks.

This executive summary outlines a practical roadmap for policymakers and taxonomy developers to integrate methane reduction objectives into sustainable finance frameworks. It identifies specific abatement measures for four high-potential sectors—energy, agriculture, solid waste, and wastewater—and establishes minimum requirements for leakage detection and repair (LDAR) to ensure environmental integrity and investor confidence.

The report finds that while India has achieved its non-fossil electricity capacity target of 50% by 2025, government support for fossil fuels remains five times larger than for clean energy. Total government support to energy in FY 2024 was at least INR 6.3 lakh crore (USD 75 billion), with a significant portion shifting from direct subsidies to investments by state-owned enterprises (SOEs) and public financial institutions (PFIs). The analysis highlights a critical fiscal reliance on fossil fuel revenues, which account for 90% of energy revenues, and a growing burden of electricity subsidies for end consumers that constrains fiscal space for clean energy. The report recommends transitioning to targeted direct benefit transfers for electricity, phasing out fossil fuel production subsidies, and implementing a strategic roadmap for aligning public finance with net-zero goals by 2047.

The report examines the land-use intensity of various renewable energy sources and proposes dual-land-use systems—such as agrivoltaics and ecovoltaics—to mitigate land degradation and enhance biodiversity and food security. It emphasizes the need for cross-sectoral policy coordination, inclusive governance, and targeted finance to ensure the energy transition does not compromise land health or local livelihoods.

In the first half of 2025, China, India, the EU, and the US accounted for 63% of global electricity demand and 64% of CO2 emissions. China and India saw declines in fossil fuel generation as clean energy growth outpaced demand, with China contributing 55% of global solar and 82% of global wind growth. Conversely, the US experienced a rise in emissions as solar and wind growth failed to keep pace with demand, leading to a 17% increase in coal generation. In the EU, strong solar growth was offset by declines in wind and hydro due to poor weather conditions, resulting in a 14% increase in gas generation and a 4.8% rise in power sector emissions.