SpliFF
Environmentally friendly banks
How Eco Friendly Is Your Bank?
Does your bank really care about the planet, or is it
possibly bankrolling destruction?
Let's say you've socked away a few thousand dollars in a term deposit for a rainy day. How would you
feel if that money was being used to help finance
deforestation, a coal fired power station, fracking for
coal seam gas or other forms of coal mining?
During the December 2011 climate talks in Durban,
South Africa, it was revealed that 20 of the world's
largest commercial banks are responsible for 75%
of emissions from the coal industry, in that they provide the financial support for those emissions to be
generated.
The study, entitled "Bankrolling Climate Change",
names these banks and just for good measure, also
notes their corp-spin in relation to their supposed
commitment to battle climate change.
A really green bank is so much more than one that
just uses recycled paper and energy efficient light
bulbs in their branches. Banks can make or break
polluting industries; so why are they continuing to
assist them with finance? That's a rhetorical question; we all know the answer. Profits. But it may be
more than just that - in some instances it could just
be because that is the way they have worked for so
long.
72 SmokinUnderground.com
A really green bank is so much more than one that
just uses recycled paper and energy efficient light
bulbs in their branches. Banks can make or break
polluting industries; so why are they continuing to
assist them with finance? That's a rhetorical question; we all know the answer. Profits. But it may be
more than just that - in some instances it could just
be because that is the way they have worked for so
long.
Past the really filthy top 20 institutions, the
"Bankrolling Climate Change" study looks at a total
of 93 banks around the world and their support of
coal - and there are some surprises in the list; including one of the banks I do business with.
Green vs ethical banking
So, these banks that say they are environmentally
conscious are liars? Well, it depends upon your definition of "green". To some, green banking is about
their day-to-day business processes being environmentally friendly; such as the recycled paper I mentioned or a branch sticking solar panels on its roof.
Some may even provide green loans that offer a
lower interest rate if you're using the cash to insulate
your home, install a solar hot water system or carry
out other energy efficiency measures. These things
are great but..
Ethical banking is the big picture that builds on the
warm and fuzzy green stuff - the understanding that
funds are only channelled into investments that are
environmentally friendly and also observe the principles of social justice.
What to do?
Figuring out which bank operates under green and
ethical (as explained above) principles can be a really time consuming process; so perhaps the first
thing to do is ask your bank if it invests in coal
mines, coal fired power generation or other industries of concern to you. Tell them that if they do, it