European Commission Upholds EIB Decision to Stop Supporting Fossil Fuel Projects
The European Commission announced its support for the decision of the European Investment Bank (EIB) to stop financing fossil fuel projects from the end of 2021.
The EIB’s board adopted a strategy according to which the bank would not consider new financial investments in fossil fuel projects from the end of 2021, the bank’s press release states.
In selecting projects for financing, the bank will give priority to those that improve energy efficiency and energy decarbonisation.
By the end of 2020, the bank will link all financing to the goals of the Paris Climate Agreement. The EIB also intends to support the transition of the EU economy to climate neutrality by 2050. Earlier, the European Commission proposed strategies according to which the net emissions of greenhouse gases into the atmosphere (that is, emissions and their absorption) can be reduced to zero by 2050.
Over the past five years, the European Investment Bank has provided more than €65 billion of support for the development of renewable energy sources, energy efficiency and energy distribution, according to the report. Now, the EIB will seek to ensure that its financing contributes to attracting investments worth €1 trillion in support of climate change between 2021 and 2030.