It`s got to change. Investors are increasingly starting to challenge banks over their fossil fuel policy, as evidenced by the shareholder decision coordinated by ShareAction, recently submitted to Barclays. It calls on Barclays to end a plan to gradually provide financial services (including project financing, business financing and access to employment) to energy companies as well as gas and electricity suppliers that do not meet the paris climate agreement targets. Shareholders will vote on May 7. From a technical point of view, too, there was disappointment. It was hoped that the parties would finally agree on the rules that should govern global co2 markets (Article 6 of the agreement). However, this has been postponed for this year`s discussions. “A charitable dollar has only one life; A social business dollar can be invested several times “Last year`s Madrid climate summit is an example of the current situation. The longest UN climate talks to date have proved insignificant for climate negotiations and deeply disappointing for the global fight against climate change. The largest gains have been made on the economic front: the cost of renewable energy has fallen considerably. According to IRENA, renewable energy is already the cheapest source of electricity in many parts of the world. If prices continue to fall, the benefit in terms of renewable energy costs will only increase.
 Pending significant political change, the Principles for Responsible Investment (PRI) and other organizations developed the inevitable political response and assessed its consequences. It estimates that by 2030, the major countries will have taken steps to phase in coal consumption and introduced additional carbon prices. By 2035, they will have banned the sale of new cars using fossil fuels. What is positive is that all the banks surveyed seem to be actively pursuing to increase green financing and develop a range of low-carbon products and services, ranging from green mortgages to green bonds. However, efforts are being slowed by challenges in defining what is considered “green,” a lack of data at the corporate and project level, and increased transaction costs. It is understandable that banks are currently concerned about the effects of the Covid 19 pandemic. The banking sector has an important role to play in this crisis and it is appropriate for banks to give priority to their response. However, banks must also play a role in combating climate change and the systemic risks to the sector and the economy.
Public pressure, government support and the steady improvement in the profitability of renewable energy and associated technological costs – particularly in the area of battery storage – are expected to continue to grow.