Tuesday 5 May 2020

Westpac to withdraw support for thermal coal mining by 2030

Westpac has announced plans to cease financing thermal coal mining by 2030, joining other major financial organisations that have already committed to divest from the fossil fuel industry.

The Australian bank says it has increased the share of renewables in its lending to the electricity generation sector from 59% to 75% since 2016.

The firm has unveiled its fourth climate action plan, which includes its commitment to source the equivalent of 100% of its global electricity consumption from renewable sources by 2025 and reduce its carbon dioxide emissions by 90% by 2030.

The plan will also introduce actions to help customers become more climate-resilient by providing access to products and services, which support upgrades to homes to reduce energy consumption and improve resilience to natural disasters.

Initiatives and policies which aim to achieve the goals of the Paris Agreement the 2050 net zero emissions goals like United Nations Environment Programme Finance Initiative’s Principles for Responsible Banking and Australian Sustainable Finance Initiative will also be supported.

The bank recognises climate change as one of the most significant issues that 'would affect long-term prosperity of the global economy and our way of life'.