Germany鈥檚 KfW Bank rules out financing of any coal operations
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German government-owned business and development bank KfW stops financing all coal-related business activities. The KfW Group鈥檚 new 鈥溾 rules out financing the 鈥減rospection, exploration and mining of coal; land-based means of transport and related infrastructure essentially used for coal; power plants, heating stations and cogeneration facilities essentially fired聽with coal.鈥 It also says that 鈥淚nvestments in power transmission grids with significant coal-based power feed-in will only be聽pursued聽in countries and regions with聽an ambitious national climate protection policy or strategy (NDC), or where the investments are targeted at reducing the share of coal-based power in the relevant grid.鈥
Previously, KfW had only ruled out financing the construction of new coal power plants, according to environmental NGO Urgewald. The NGO welcomed KfW鈥檚 decision, but added it followed 鈥測ears of hesitation鈥 while comparable French, Dutch and Swiss institutions stopped financing coal as early as 2013. 鈥淪adly, KfW again misses an opportunity to take a leading role among public banks. It should have used its new energy rules to start the exit from other fossil fuels,鈥 Urgewald said, adding KfW could still finance certain types of oil and gas production.聽聽聽