Projects

Shifting Global Finance Beyond Fossil Fuels

Shifting finance has emerged as a key strategy in the global effort to transition from fossil fuels to clean energy. Policies adopted by financial institutions to limit support for fossil fuels are having a direct impact in the real economy, driving up the cost of capital and shifting the cost/benefit equation for new projects.

To a significant extent, the availability and cost of finance and other financial services will determine whether the pipeline of new fossil fuel projects is built and how quickly existing infrastructure is retired. At a wider level, the political and policy signals sent by the finance industry, combined with their muscle as active owners of the global economy, have the potential to create a potent countervailing force against the lobbying power of the fossil fuel industry and to shift the political and economic context that shapes government climate policies.

Programs

We work with diverse networks of partners on the following programs:

Insurance – encouraging the world’s largest insurance and reinsurance companies to stop underwriting fossil fuels. 

Investor engagement – nurturing a global network of shareholder advocacy groups and progressive investors to drive a more assertive advocacy agenda on climate.

Asset Managers – encouraging the world’s largest asset managers to actively use their market power to drive the transition from fossil fuels to clean energy.

Banks – encouraging the world’s largest asset managers to actively use their market power to drive the transition from fossil fuels to clean energy.

Central Banks – improving regulation of the financial system to better factor in climate risk and to limit the flow of finance to fossil fuels.

Chinese overseas finance – improving regulation of the financial system to better factor in climate risk and to limit the flow of finance to fossil fuels.