Fossil fuels are fast losing their social license. It is becoming increasingly evident that countries’ continued reliance on dirty hydrocarbons escalates the climate crisis, worsens air pollution and enables war.
Long touted as a ‘bridge fuel,’ fossil gas now needs to be recognised by policymakers for the hurdle to the energy transition that it is, and multilateral development banks should urgently end support for gas projects and gas-dependent companies.
The energy transition has to be just and fast, with citizens, municipalities and workers as critical participants in the process. We are working to ensure no more public money is spent on coal, and public finance is used to accelerate this transition.
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IN FOCUS
Fossil gas
Fossil gas is the new coal. Although often labelled ‘natural,’ fossil gas is a major driver of the climate crisis. There is no more room for new investments in fossil gas projects if we are to avert the worst impacts of the climate crisis and set a path towards decarbonisation.
District heating
District heating and individual heating are still dominated by fossil fuels and inefficient burning of wood without regard to sustainability criteria, in combination with a low degree of energy efficiency. This has to change, since heating plays a crucial role in the transition into a clean and zero-carbon economy.
Just transition
No one should be left behind when we reconstruct our world into one driven by clean energy. Working on just transition brings all actors who believe in fair regional redevelopment to the same table: unions, industry, public administration, governments, civil society and others sharing this goal.
Documentary: Turning the Tide
Our documentary exposes, for the first time, the extent of financial support four of the world’s leading multilateral development banks (MDBs) – the World Bank, the European Investment Bank, the Asian Development Bank and the European Bank for Reconstruction and Development – have been providing to the global fossil fuels industry over the past 13 years.
Our analysis shows that since 2008, the oil, coal and gas business has been enjoying no less than EUR 81.5 billion in support from these government-owned financial institutions in the form of loans, grants, credit lines and guarantees.
Coal projects
Ugljevik power plant, Bosnia and Herzegovina
Commissioned in 1985, the 300 MW coal power plant in Ugljevik, Bosnia and Herzegovina, has become famous for emitting more sulphur dioxide than all of Germany’s coal power plants in 2019.
Pljevlja I power plant, Montenegro
The existing 225 MW Pljevlja thermal power plant in the north of Montenegro, near the borders with Serbia and Bosnia-Herzegovina, has been operating since 1982. The plant was originally planned to comprise two units but the second one was never built. The plant, along with the extensive use of coal and wood for heating, has caused unbearably bad air quality in the town.
Kostolac B power plant (B1, B2), Serbia
The Kostolac B power plant, consisting of 2 units of 350 MW each, first entered into operation in 1987. In 2022, the plant delivered 4388 GWh of electricity to the grid, nearly 20 per cent of the country’s coal-based generation.
Latest news
EU’s Modernisation Fund continues to fund fossil fuels and waste incineration projects, undermining climate and environmental goals
Press release | 20 December, 2024The European Commission yesterday announced the disbursement of EUR 2.7 billion from the EU Modernisation Fund to support 39 investment projects across eight Member States. However, CEE Bankwatch Network’s analysis shows that a significant portion of this funding is being disbursed to projects that contradict the EU’s climate and energy targets for 2030.
Read moreBosnia and Herzegovina southern gas interconnector: ‘Why gas at all?’ should be the key question
Blog entry | 18 December, 2024The long-running controversy about the planned southern gas interconnector between Croatia and Bosnia and Herzegovina (BiH) has dramatically reignited this month. After fervent lobbying by the US Ambassador to BiH, a special law on the project was adopted by the first of two houses of the Federation of BiH entity parliament on 12 December. But political controversies have monopolized the debate, with hardly a word on its energy, economic or climate implications.
Read moreHeating the heights: Žabljak’s bold move towards sustainable warmth
Blog entry | 11 December, 2024Perched 1,456 metres above sea level in the Durmitor National Park in Montenegro, Žabljak, the highest urban settlement in the Western Balkans, is looking for new heating solutions. A 2020 pre-feasibility suggested biomass, but determined to avoid air pollution and deforestation, the local authorities set out to find a better way forward.
Read moreRelated publications
EIB’s clean energy credentials continue to be compromised, policy review offers clean break from fossil fuels
Bankwatch Mail | 13 March, 2012 |‘Carbon Rising’, a new study from Bankwatch, catalogues the EIB’s energy lending for the period 2007-2010 during which time the bank loaned EUR 40 billion to energy projects across the EU and EUR 8 billion outside the EU. This lending was guided by the EIB’s first energy policy ‘Clean Energy for Europe: A Reinforced EIB Contribution’, adopted by the bank in 2007.
Polish energy companies’ black propaganda threatens EU climate ambitions again
Bankwatch Mail | 13 March, 2012 |Poland is on course to place further large roadblocks in the way of the European Commission’s Roadmap 2050 towards a low-carbon economy unless certain demands being insisted on by Warsaw are met. These include the granting of free allowances for all 16 power plants that Poland has asked to be supported under the EU’s Emissions Trading Scheme.
Vreoci community requests EBRD to suspend credit arrangement with Kolubara
Advocacy letter | 13 March, 2012 | Download PDFThe Vreoci community from the Kolubara mining basin requests from the EBRD to suspend the loan arrangements for the Kolubara lignite mine due to the constant and increasing violations of human and property rights by the Public Company Mining Basin “Kolubara” – Lazarevac.
