Just as Bankwatch published a new infographic juxtaposing the European Investment Bank's beneficial and harmful energy lending, Europe's political leaders have set a priority for energy investments to phase out fossil fuel subsidies and focus on clean energy instead.
The European Investment Bank, the house bank of the European Union, which directs a fifth of its annual lending portfolio of 60 to 70 billion euros to energy projects, is currently reviewing the policy document that guides its lending to the power sector. On this occasion, Bankwatch is publishing a poster of positive and negative examples of the bank’s lending to energy projects.
With the final negotiations aimed at sealing agreement on the EU budget for 2014-20 now underway, environment NGOs are warning that a last minute amendment aimed at permitting EU subsidies for fossil fuels that are devastating for the climate must be rejected by negotiators of the future EU Cohesion Policy’s regional development funds.
With each passing day, there is less chance that we will manage to keep the planet within the "safe" limit of two degrees Celsius global warming that would avoid disastrous climate change. The European Investment Bank and the European Bank for Reconstruction and Development can play a pivotal role in leveraging more private investment for sustainable energy. Both institutions are now reviewing their energy lending policies.
The European Parliament yesterday chastised the European Bank for Reconstruction and Development for its explicit interest in financing a new lignite-fired power plant in Kosovo. NGOs hope the bank will pay more attention to the Parliament than it did to civil society and energy experts so far.
Poland’s government is hasting to adopt liberal shale gas legislation. It tries to avoid any interference by factually excluding local opposition movements and by pre-empting the development of an EU wide framework on unconventional fossil fuels.
After the EIB and the EBRD disbursed a promised 650 million euros for Slovenian lignite plant TES 6 on March 8, Focus Slovenia, CEE Bankwatch Network, and 96 other NGOs are today sending a letter to the two banks calling on them to never commit to such a misguided loan again.