According to ING, the financial sector for cars and electricity is on track to meet the climate target
Five of ING’s largest service-emitting industries, including the electricity and automotive industries, are on track to meet new, tougher climate targets, but others, such as residential real estate, are on track. dragged.
After assessing customers in its most polluting industries, the bank concluded that the majority were on track to meet the recently established tougher climate target, which aims to keep global warming below 1.5 degrees Celsius. above pre-industrial levels by mid-century.
Banks are quietly pressuring their customers to take action or risk having their financial support withdrawn to measure and reduce the climate-damaging emissions their lending to the real economy causes.
Compared to the auto sector, commercial real estate was down 9.2%. Shipping, which has not yet followed the 1.5 degree trajectory, has deviated 6% from its trajectory.
The hardest-to-shrink steel sector, which was 5.4% above the forecast path, and aviation, which had recovered from COVID-19 lockdowns, recorded the worst performances.
The bank’s largest exposure, residential real estate, was 3.2% above its route, while cement was 4.2% above.
“Although it is a lot of work, we are generally satisfied with the progress. Only if we work with other stakeholders can we achieve these climate goals “for example, their customers and legislators,
ING, a bank that is part of the Net Zero Banking Alliance and has publicly committed to helping the transition to a low-carbon economy, announced earlier this year that it would no longer finance new oil and gas projects. .
Summary of news:
- According to ING, the financial sector for cars and electricity is on track to meet the climate target
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