National Bank sets $20 billion renewable energy funding target.
National Bank says it’s aiming to reach $20 billion in renewable energy lending commitments by 2030 as part of its net-zero emissions push, even as the U.S. government works to unwind supports for the sector.
The bank says in its latest climate report that, factoring in amortization and repayments on existing loans, the target translates into nearly $10 billion in additional renewable lending over the next six years.
National Bank says that since 2019 it has tripled its renewable funding to $15 billion and that in 2023 its total renewable lending surpassed its exposure to non-renewable energy. He noted National Bank’s target also surpasses the $15 billion renewable funding target RBC announced last year, despite National being a much smaller bank.
It’s still unclear what the scale of the pullback in U.S. funding will be. When passed in 2022, the Inflation Reduction Act ushered in hundreds of billions of dollars in funding for climate initiatives.
National Bank’s climate report highlights two projects it helped arrange funding for, both in the U.S. They included its underwriting of US$775 million as part of a US$8.8 billion financing for a wind project and transmission line in New Mexico and it leading a US$283 million green loan for a solar project in New Jersey.
Source: INVESTMENTEXECUTIVE
