Launched in 2019, The Poseidon Principles now include 28 banks representing over 50% of global shipping finance.
This innovative, voluntary agreement is based on the model of the groundbreaking Poseidon Principles in shipping. With demand for steel projected to grow 30% by 2050, emissions are set to rise significantly if we continue with business-as-usual. However, because of the sector’s reliance on coal, it contributes 7% of CO 2 emissions globally. Steel is used in everything from cars and fridges to buildings and planes. In doing so, the framework informs banks of how emissions-intensive their steel loans are relative to the net-zero pathway needed to stay within our planet’s remaining carbon budget - a metric known as climate alignment. The SSP provides a methodology for banks to measure and report the emissions associated with their loan portfolios compared to net-zero emissions pathways. Signatories to the SSP represent a combined bank loan portfolio of approximately $23 billion in lending commitments to the steel sector, for a market share of over 11% of total private sector steel lending, according to RMI research. The resulting framework positions lenders to facilitate the net-zero transition of the steel industry - the largest source of industrial emissions globally. The Principles were carefully designed over the course of a year by a working group facilitated by RMI, led by ING and co-led by Societe Generale, with participation from Citi, Standard Chartered and UniCredit. Designed to support the practical achievement of net-zero emissions in the steel industry, they also provide the tools necessary for client engagement and advocacy. The SSP are the turn-key solution for measuring and disclosing the 1.5☌ alignment of steel lending portfolios. Under RMI’s leadership, six top lenders to the global steel sector - Citi, Crédit Agricole CIB, ING, Societe Generale, Standard Chartered and UniCredit - today announced the signing of the Sustainable STEEL Principles (SSP), the first Climate-Aligned Finance (CAF) agreement for lenders to the steel industry.
Six leading banks - C iti, Crédit Agricole CIB, ING, Societe Generale, Standard Chartered, and UniCredit - will measure and disclose their steel-related loan emissions via the Sustainable STEEL Principles (SSP), the first climate-aligned finance agreement for the steel industry. Global banks representing $23 billion in steel loans sign onto Sustainable STEEL Principles
0 kommentar(er)
