EPSU joins call for an end to fossil fuel financing

Banking on climate chaos 2024

(13 May 2024) Commitments to fossil fuel financing from the world’s 60 largest banks reached $708 billion in 2023, bringing the total to $7.11 trillion since the Paris agreement. Very few banks added new fossil fuel exclusion policies, and whilst some new policies among European and Australian banks restrict project financing to new conventional oil and gas fields, several banks rolled back their previous exclusions. These are amongst the many shocking findings of the new Banking on Climate Chaos: Fossil Fuel Finance Report 2024.

Not only do fossil fuel projects cause destruction of communities and ecosystems living closest to the projects on the frontlines, but ending the era of fossil fuels is the only way to mitigate climate change. This was finally acknowledged for the first time by the United Nations Framework Convention on Climate Change Conference of the Parties in December 2023 (COP28) which reached an agreement “transition away” from fossil fuels. 

However, the fossil fuel industry continues doing its best to ignore the facts, evidenced by their reckless expansion plans and rollbacks on their already weak climate commitments. Bank executives are also cashing in on dirty investments on a scale that puts climate mitigation and adaptation financing to shame. 

EPSU, having long called for and end to fossil fuel financing, has endorsed the Banking on Climate Chaos 2024 report, including its demands to:

  • Exclude all finance for fossil fuel expansion immediately.
  • Adopt absolute financed emissions reduction targets for oil, gas, and coal aligned with a rigorous 1.5 C scenario.
  • Demand robust, 1.5ºC-aligned transition plans for all existing fossil fuel clients.
  • Protect human rights and the rights of Indigenous Peoples.
  • Scale up financing for a just and fair transition.

You can read the full report here