“This is about us not just saying the right thing, but actually doing the right thing,” Marisa Buchanan, JPMorgan’s world head of sustainability, advised NCS Business.
“Technology has to be such a huge piece of the puzzle when it comes to meeting the Paris climate goals. This is a big opportunity for us as a bank,” stated Buchanan.
The bulletins underscore how a lot stress banks are underneath to present that they’re a part of the answer to the climate crisis. And it demonstrates how Wall Street more and more views clear power as a viable funding, not merely a feel-good initiative.
‘Banks are nonetheless internet negatives’
“Banks are still net negatives in the overall sustainable finance horizon,” stated Vanessa Fajans-Turner, govt director at BankFWD, a community that goals to persuade banks to section out fossil gasoline financing.
For occasion, JPMorgan alone financed $51.3 billion in fossil fuels tasks in 2020, in accordance to the climate group report. That is roughly even with the $55 billion in inexperienced initiatives the financial institution stated it supported final yr.
“That’s not a coherent sustainable finance strategy, and the bank’s clients and competitors know it,” stated Fajans-Turner. “We welcome the announcements by banks to be increasingly engaged climate actors. But banks still have a long way to go.”
Dimon: We cannot simply stroll away from fossil fuels
In different phrases, whereas JPMorgan is stepping up its assist for inexperienced power, it is not saying goodbye to fossil fuels.
Even although oil and gasoline are anticipated to be main gasoline sources over the subsequent decade, climate activists need to minimize assist for fossil fuels now.
“We cannot meaningfully address the climate crisis without stopping the expansion of fossil fuels,” Natalie Mebane, coverage director at environmental group 350.org, stated in a press release Wednesday in assist of laws that will cease new oil and gasoline leases on federal lands and water.
The bulk of the $2.5 trillion purpose introduced by JPMorgan offers with efforts to increase funding in underserved communities.
That consists of offering financing to small companies, reasonably priced housing and schooling in low to average earnings communities in developed markets like the United States.
“There are so many communities around the world that don’t have the living standards we do in the United States and are in real need of infrastructure, jobs and economic growth,” stated JPMorgan’s Buchanan.