It’s Thursday, April 23, and Citigroup is planning to break up with the coal industry.
Citigroup vowed this week to ramp down financing for thermal coal-mining companies, in recognition that “emissions from fossil-fuel sectors in particular must be drastically reduced in the coming decade.” By 2030, the bank plans to stop lending to the industry entirely.
In addition, Citi also plans to stop providing financial services for coal mines and coal-fired power plants, even in developing countries. Last week, the bank updated its environmental and social policy framework to include the new targets along with a commitment not to fund oil and gas exploration and production in the Arctic, though the company hasn’t provided such financing in the past.
This isn’t the first time Citi has pursued a green image. Last year, the New York–based company filled its first-ever role of chief sustainability officer and met a goal of financing $100 billion of activities and programs addressing climate change.
The Sierra Club pointed out that Citi’s new commitments are silent on fracking and tar sand extraction but celebrated the Arctic drilling announcement as a win. “The dominoes continue to fall, and now four of the top six American banks have recognized that Arctic drilling is a toxic investment to be avoided,” said Ben Cushing, a campaign representative for the environmental group, in a statement.
The Smog
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