ANZ – Still Australia’s biggest lender to dirty fossil fuels
Share this page
Tell ANZ two degrees means no more fossil fuels!
ANZ is Australia’s number one lender to fossil fuels. Since committing in 2015 to support the goal of keeping global warming below 2ºC, it has loaned nearly $7.4 billion to the dirty fossil fuel industry – more than seven times its lending to renewable energy.
And that’s not all. Our latest research has found that ANZ financed 93% more new fossil fuel projects in 2017 than they did in 2016. In total they handed out $905 million. Which is definitely no way for a bank to act if they are truly serious about helping fight climate change.
Tell ANZ to that its two degrees pledge means no more fossil fuels by filling out the email form below.
ANZ’s global fossil fuel lending since 2°C commitment
According to our latest findings, Australia’s Big Four banks are lending billions to projects that expand the fossil fuel industry despite promising to help limit global warming below 2°C. Take action: tell the Big Four banks to stop funding fossil fuels! https://t.co/Q8yUFP2Ma0 pic.twitter.com/DzYbQciU1d— Market Forces (@market_forces) May 31, 2018
Has ANZ fulfilled its commitments on two degrees?
In late 2015, ANZ publicly committed to taking action to support the international aim of limiting global warming to less than 2°C above pre-industrial levels. But as our latest 2°C scorecard shows, the bank’s recent activity brazenly flouts that commitment.
ANZ topped the big four banks’ financing for fossil fuels in 2017, increasing loans to the industry by a whopping 93% on the previous year. Altogether, ANZ handed out $905 million to new projects ranging from gas fields in Indonesia’s North Sumatra to the giant Ichthys LNG plant off the north of Australia.
A two degree warming limit gives us a very strict carbon budget to work within, meaning 80% of known fossil fuel reserves must stay underground if we are to have even a 75% chance of not exceeding the limit.
What does this mean for ANZ? An obvious start would be a policy excluding any new investments that expand the fossil fuel industry. Beyond this, the bank must commit to actively managing down its exposure to fossil fuels, and become coal-free in five years.
GOT AN ANZ HOME LOAN?
You’ll be amazed how powerful it can be
How is ANZ expanding fossil fuels?
Despite its two degree commitment, ANZ continues to loan to companies and projects that are expanding the fossil fuel industry.
One example is ANZ’s $38m loan to Tata Power in February 2016. Tata Power is the largest energy company in India, producing around 80% of its power from dirty coal. The company is looking to develop new coal plants, including the massive 1600 MW Maharastra project at Dehrand. ANZ’s loan was part of a $460m refinancing deal, which will help Tata’s expansion plans.
In late October 2016, ANZ contributed $61m to a deal enabling a new gas-fired power plant to be built in Jakarta. This is despite warnings that new fossil fuel assets are likely to become stranded if we are to meet the Paris Agreement’s 2°C target.
Find out more about the extent and impacts of banks financing fossil fuels, compare the lending positions of different banks and learn more about how to switch to a bank that aligns to your values.