RBS vows to stop financing new coal and Arctic oil projects

The bank’s new policy changes is part of its efforts to tackle climate change

By Priyanka Shrestha

RBS is to no longer fund new coal fired power stations, oil sands and Arctic oil projects.

The bank’s new policy changes cover the mining, power and oil and gas sectors and is part of its efforts to tackle climate change.

RBS said it won’t be providing finance to mining companies generating more than 40% of their revenues from thermal coal and power firms producing the same amount of power from coal.

Earlier this year, the organisation pledged to provide £10 billion of funding to the sustainable energy sector between 2018 and 2020.

Kirsty Britz, Director of Sustainable Banking at RBS said: “The RBS of 2018 is very different to the bank we were a few years ago. If we’re going to support out customers in the long run, then it means addressing the challenges of climate change and the risks and opportunities it presents.

“We want to help build a cleaner, more sustainable economy for the future and these policy changes form part of our broader approach to this major issue.”

The bank sources 90% of its UK and Ireland electricity from renewables and reported a 39% drop in its own CO2 emissions since 2014.