BPI aims to reduce financing of coal and non-renewables by 2026 in support of PH commitment to Paris Agreement

Ayala-led Bank of the Philippine Islands (BPI) is aiming to reduce its financing of coal and non-renewable energy plants by 2026.

“We believe that we will be able to half our outstanding coal loans by the end of 2026,” said outgoing BPI President and CEO, Cesar Consing. (via PNA)

Under the Paris Agreement, a United Nations-led treaty on climate change, the Philippines is aiming to phase out coal-fired power generation by 2037.

Coal-fired power plants currently account for around 58% of the country’s power sources, followed by renewable energy (RE) and gas-fired power, which account for 21% each.

BPI’s loan portfolio for sustainable development projects states coal and diesel-fired power projects account for 45%, RE projects 45% and 10% for gas-fired power projects.

In the company’s 2020 Integrated Report, sustainable development finance (SDF) for energy efficiency projects amounted to ₱835 million last year, ₱47.8 million for RE projects, and ₱6.9 billion for climate resilience projects.

“While we cannot yet fully abandon coal and non-renewable energy, because of the deficit in energy supply versus demand, we support the shift to renewable energy resources and energy efficiency,” said BPI. (via PNA)

SOURCE: PNA