ANZ Responds to Accusations of Falling Short on Climate Commitments
An environmental advocacy group has alleged that Australia’s major banks are investing billions in fossil fuel industries.
A report from Market Forces criticized Australia’s top financial institutions, including ANZ, for not fully committing to climate goals.
The report claimed that Commonwealth Bank, ANZ, Westpac, and NAB collectively injected $61 billion (US$41 billion) into fossil fuels since the adoption of the Paris Agreement in 2015, despite reducing funding to the sector by almost half from 2022-23.
The main aim of the Paris Agreement is to reduce financial support for fossil fuels and promote investments in low-emissions alternatives.
Analysis in the report revealed that the Big Four provided $3.6 billion in loans to fossil fuel projects in 2023, with $2.5 billion allocated to companies expanding coal, oil, and gas ventures.
Upon reaching out for comments, ANZ responded to the accusations.
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A spokesperson from ANZ expressed skepticism about the report’s methodologies and highlighted ANZ’s position as the largest lender to the energy sector in Australia.
The spokesperson emphasized the importance of investing in the transition to net zero emissions, pointing out that ANZ had reduced its financed emissions in various sectors significantly.
In response, banking analyst Kyle Robertson, speaking on behalf of Market Forces, stressed the expectations of customers for banks to take action against climate change and environmental harm.
Market Forces’ findings indicated that in 2023, the Big Four banks did not finance any new coal, oil, or gas projects directly for the first time since the Paris Agreement.
Moreover, the group alleged that almost 70 percent of the fossil fuel loans provided by the banks were inconsistent with climate commitments.
ANZ’s spokesperson mentioned that the bank was aligned with their targets and had measures in place to assist clients in meeting theirs.
“We will have largely exited all thermal coal miners by 2030 while continuing to support existing customers with mining rehabilitation bonds,” the spokesperson stated, emphasizing their commitment to fulfilling responsibilities in exiting mine sites.
