This morning, Gina McCarthy, head of the EPA, announced new carbon pollution standards for power plants, the centerpiece of President Obama’s Climate Action Plan.
We welcome the Environmental Protection Agency’s proposal to limit carbon pollution from power plants.
Power plants are the single largest source of carbon pollution in the United States. Setting the first-ever federal limits on carbon pollution is an essential and long overdue step to address global warming.
Communities across the nation are already seeing and feeling the impacts of global warming, from increased health risks like asthma attacks and lung disease, to devastating extreme weather events like Superstorm Sandy and wildfires across the American West. The science is clear: inaction will only increase these deadly and costly threats.
This is exactly why communities from Chicago to North Carolina, from New England to New Mexico, are fighting to shut down the polluting power plants in their neighborhoods.
To be clear, the proposed carbon pollution standard is just one step. To keep our climate stable, we must rapidly shift our energy production away from the highest-polluting fossil fuels and accelerate our transition to truly clean, renewable energy generation.
The proposed rule is not yet enough to slow global warming and not yet enough to inspire the world to make the necessary deep cuts in climate pollution. That is why we will be working hard the next year to include much deeper cuts in the final rule.
We stand with the majority of Americans who want to see strong action from the government to address global warming and set limits on carbon pollution from power plants.
RAN fights climate change by taking fast, impactful action against dirty energy. Join us by becoming a Dirty Energy Rapid Responder!
This post is by Yann Louvel, BankTrack Climate and Energy Campaign Coordinator.
Earlier this month, Bank of America participated in the 2014 Investor Summit on Climate Risk as the “convening sponsor” of the event. While there was a lot of talk about the urgency of the problem of tackling climate change, there were a few things the bank didn’t talk about. For starters, their role in financing the coal industry.
The 2014 Investor Summit on Climate Risk took place at the United Nations in New York on January 14th. Among the speakers was Lisa Carnoy, Head of Global Capital Markets for Bank of America Merrill Lynch, whose bio tells us that she “leads 700 Capital Markets professionals across Equity Capital Markets, Debt Capital Markets, Leveraged Finance and Origination of Corporate Derivatives and FX across the Americas, Europe, Asia and the Emerging Markets.”
If the bank’s finance for fossil fuels wasn’t mentioned at all, what do you think Carnoy did talk about in her speech? You may be pleased to hear that she conveyed the great imperative felt by the banking sector on climate change. Bank of America’s approach to the issue would be “like a hockey team: we’re fierce, we’re fast, and we feel the urgency.” What’s more, the banking sector as a whole was coming together to “put aside its natural competitiveness,” because “this is incredibly important, the time is now, and we need to work together.”
Great! So how had this fierce, fast hockey team come together to tackle climate change? The one initiative Carnoy presented was the Green Bonds Principles, a set of voluntary guidelines for how banks can develop and issue bonds to support green industries, which she implored investors to get behind.
While we support any efforts to scale up finance for genuine alternatives to fossil fuels, Bank of America’s backing for green bonds is dwarfed by the activities that Carnoy did not talk about. These are the activities that we have been exploring in our most recent reports: its finance for the coal sector. Bank of America was ranked the number three “climate killer bank” worldwide in the BankTrack network’s 2011 Bankrolling Climate Change report, which covered investments in 70 of the largest coal companies between 2005 and 2011. And in BankTrack’s more recent Banking on Coal report, Bank of America again ranked world number three, this time in its finance for coal mining, based on an analysis of finance for 70 coal mining companies worldwide.
Among the deals Carnoy did not talk about are some (not remotely green) bonds issued by her Capital Markets team over the last two years, which helped to raise over $1 billion for Alpha Natural Resources and Arch Coal. These companies are pure-play US coal miners, and are being targeted by campaigners for their involvement in destructive mountaintop removal coal mining in Appalachia. These bonds are toxic for our climate as well as for the investors who buy them, spreading climate risk through the financial markets in the form of potential future “stranded assets.”
While Bank of America is asking investors to back the Green Bonds Principles, it is investors who should be asking Bank of America to stop feeding them with these financially risky climate killer bonds. And now that Bank of America feels the “urgency” and “imperative” of tackling climate change, it would do well to stop financing climate change through issuing bonds for coal mining.
It is time for banks to come together, put aside their natural competitiveness, and agree to stop financing coal. Because this is incredibly important. The time is now.
- Bryce Wylde, the “health expert” who brought palm oil to the attention of Dr. Oz, posted a case for palm oil on his own Facebook wall—just before Dr. Oz pushed it to his audience—which was literally copied and pasted from MPOC's PR campaign language.
- In May 2012 MPOC hired lobbying giant Holland & Knight to challenge the US Environmental Protection Agency’s (EPA’S) science-based findings that palm-based biofuels don’t meet federal greenhouse gas standards under the renewable fuels mandate.
- In 2011 MPOC created a TV advertisement that shamelessly promoted false statements about the virtues of palm oil to such a degree that the British Advertising Standards Authority banned it throughout the entire country.
- Prior to MPOC’s 2011 UK ad embarrassment, in 2009, a separate magazine ad, also produced by MPOC and entitled "Palm Oil: The Green Answer," was banned by the UK’s Advertising Standards Agency (ASA) for making “allegations—hidden under a thin veneer of environmental concern—based neither on scientific evidence, nor, for that matter, on fact.”
- Finally, consider this—Alan Oxley, MPOC’s biggest advocate, was accused by world-renowned scientists of propagating “significant distortions, misrepresentations, or misinterpretations of fact… designed to defend the credibility of corporations… directly or indirectly supporting them financially."