Banks fuel climate risk with $200 billion for new gas projects

A surge of liquefied natural gas projects could generate emissions rivaling all coal power plants worldwide, raising fears over climate goals.

The Guardian reports.

In short:

• A report from Reclaim Finance highlights $213 billion invested in liquefied natural gas (LNG) terminals, which could emit 10 gigatonnes of greenhouse gases by 2030.
• Global LNG capacity is projected to grow nearly 50% by the decade’s end, far outpacing demand and risking reliance on cheap fossil fuels over renewables.
• Critics argue banks and investors lack policies to curb LNG investments, undermining their climate commitments and threatening the Paris Agreement targets.

Key quote:

“Oil and gas companies are betting their future on LNG projects, but every single one of their planned projects puts the future of the Paris agreement in danger.”

— Justine Duclos-Gonda, campaigner at Reclaim Finance

Why this matters:

Expanding LNG infrastructure locks in fossil fuel dependency and increases methane emissions, a potent driver of climate change. Redirecting investments to renewables is essential to avoid surpassing global temperature thresholds.

Related:

• Fossil fuel funding grows despite climate pledges
• States push for fossil fuel companies to fund climate resilience
• Banks continue funding fossil fuels despite global climate agreements