ING stops investments in projects opening new oil and gas fields with immediate effect
ING will provide no new loans to companies in the fossil fuel industry that focus solely on mining oil and gas and developing new fields, the bank said in an update on its climate approach. The main focus of this approach is still on “steering the most carbon-intensive sectors in our loan portfolio towards global climate goals,” the bank said.
“We will stop all new general financing to so-called pure-play upstream oil and gas companies that continue to develop new oil and gas fields. This policy is applicable with immediate effect,” ING said. The policy does not affect large fossil fuel companies like Shell and BP, which have activities beyond mining for gas and oil.
ING will also stop providing financing for new LNG export terminals after 2025, the bank announced. This involves facilities where natural gas is liquefied and then exported by ship. The bank’s ultimate goal is to no longer finance companies that pump oil and gas from 2040.
The bank also said that it was monitoring around 2,000 wholesale banking clients and their sustainability measures. After 2026, the bank will decide whether to continue doing business with them based on their progress. According to ING, by then, it will have “a more robust understanding of how they’re progressing.”
“The urgency of climate change is becoming more evident all the time and ING wants to play a leading role in accelerating the global transition to a low-carbon economy. We all have a part to play, and we can all make the difference for present and future generations if we work together towards the same goals,” ING CEO Steven van Rijswijk said.
ING has recently been the target of several Extinction Rebellion protests, with the climate group demanding that the bank immediately stop financing the fossil industry.
A bank spokesperson told NOS that the bank’s climate approach has nothing to do with pressure from the group of climate activists. “We have been working on steering towards sustainability in our loan portfolio since 2018,” the spokesperson said.
