Despite Canada’s commitment to phasing out thermal coal electricity within eight years, Canadian banks are continuing to lend and invest more than USD$100 billion (CAD$127.23 billion) to coal-related companies, including in Canada, according to a new report out of Germany that tracks investment information on thermal coal from 600 financial institutions worldwide.
The findings, from Urgewald, also show that RBC is one of Canada’s biggest backers of thermal coal, with almost USD$11 billion (CAD$14 billion) of lending and financing to coal related companies, and holding USD$6.5 billion (CAD$8.3 billion) in bonds and shares.
“While communities across Canada and around the world experience devastating climate impacts from fires to floods, Canada’s fossil banks continue to finance coal-related companies to the tune of roughly $100 billion. In 2022, RBC financing fossil fuels while spouting sustainability is like handing out cigarettes while warning about the dangers of smoking,” said Richard Brooks with Stand.earth. “From financing coal, the dirtiest fuel on the planet, to greenwashing attempts, to financing Coastal GasLink’s violence against Indigenous land defenders, RBC finds itself on the wrong side of history. Time for RBC to drop coal exposed companies and phase out financing of oil and gas.”
Urgewald’s findings show that RBC is the only financial institution in Canada to make the top three of both Canada rankings in lending and investing in coal related companies.
|Lending & Underwriting of Canadian banks to GCEL 2021, in million USD (2019-21)|
|Non-Canadian Companies||USD 20,326
|Canadian Companies||USD 4,773
|Coal Related Companies||USD 2,969
|Coal Related Companies – RBC||USD 609
Bond- and Shareholdings of Canadian investors to GCEL 2021, in million USD (Nov-21)
|Non-Canadian Companies||USD 7,473
|Canadian Companies||USD 2,371
|Coal Related Companies||USD 9,844
|Coal Related Companies Developers – RBC||USD 1,203
The Global Coal Exit List is maintained by Urgewald. It is the most comprehensive list of coal related and coal exposed companies in the world and relied upon by more than 600 financial institutions to inform their financing and investment of energy sector companies. More info can be found at: https://coalexit.org/about-us
See more photos from this action at RBC’s Toronto headquarters here.