JPMorgan: Defund Tar Sands and Coal now!

JPMorgan

JPMorgan Chase continues to fund disastrous projects and companies that drive the climate crisis. Tell JPMorgan Chase: Defund Tar Sands and Coal now!

JPMorgan Chase is the top U.S. banker of extreme fossil fuels over the last three years. JPMorgan Chase has increased its financing for coal mining by 21x in 2017 and increased funding to one of the dirtiest sources of energy on the planet, tar sands. [1]

JPMorgan Chase funds a slew of environmentally destructive tar sands projects. In June 2017, it lent $243 million to the Kinder Morgan Trans Mountain expansion project loan, [2] despite a coalition of more than 20 Indigenous and environmental organizations warning the bank about the Indigenous rights and climate impacts of the project, and legal challenges from seven First Nations and the cities of Vancouver and Burnaby. [3]

In December 2017, the bank re-upped support for TransCanada, despite the controversy around its Keystone XL pipeline, approving a renewal of a $1.5 billion credit facility that JPMorgan Chase led. [4] JPMorgan Chase is a major lender to Enbridge and Teck, the company behind Frontier, an enormous proposed open-pit tar sands megamine in Alberta. JPMorgan Chase’s fossil fuel financing has impacts far beyond North America. As highlighted in a November Amazon Watch report, [5] the bank invests in at least three companies that drill for oil in the Amazon rainforest — in spite of direct opposition from Indigenous Peoples, and with devastating impacts on local communities and the rainforest ecosystem. [6] And it continues to take advantage of glaring loopholes in its coal policy to finance companies like Polish utility Energa, which is planning the destructive Ostroleka coal-fired power plant. [7]

Overall, JPMorgan Chase continues to be uniquely exposed, among its peers, to climate risk through its extreme fossil fuel financing. It is the number one U.S. banker of extreme fossil fuels, with overall exposure increasing by 53 percent from 2016 to 2017. In particular, JPMorgan Chase’s financing for tar sands and coal mining have gone through the roof. This report finds that from 2016 to 2017, JPMorgan Chase upped its tar sands financing by 4 times. Its coal mining financing in 2017 is a startling 21 times higher than the previous year — this while the bank purports to have a policy to reduce its credit exposure to coal mining companies! [8] JPMorgan Chase is also the top banker of ultra-deepwater oil, and the top Western banker of coal power over the past three years.

JPMorgan Chase wants to be seen as a responsible actor on climate. In 2017, the bank committed to facilitate $200 billion in clean financing through 2025 and announced that it would source renewable power for 100 percent of its global energy needs by 2020. [9] Dimon has publicly supported the Paris Agreement. [10] Yet at the same time, JPMorgan Chase’s extreme fossil fuel financing is putting a 1.5 degree world further out of reach every month.

Tell JPMorgan Chase we will not stand for their destructive banking practices.

 

[1] https://www.ran.org/bankingonclimatechange2018

[2] https://www.alternet.org/environment/these-banks-are-financing-pipeline-will-let-big-oil-move-more-barrels-day-keystone-xl-or

[3] https://www.thestar.com/news/canada/2017/06/08/environmental-and-indigenous-groups-demand-banks-avoid-supporting-trans-mountain-expansion.html

[4] Research on TransCanada’s credit facility via Bloomberg Finance L.P., updated December 2017

[5] https://amazonwatch.org/news/2017/1109-investing-in-amazon-destruction

[6] https://www.huffingtonpost.com/entry/amazon-oil-drilling_us_5a05060fe4b05673aa586549

[7] https://www.reuters.com/article/poland-coal-banks/refile-polish-coal-burning-companies-find-ways-to-win-big-bank-backing-idUSL8N1HR21C

[8] https://www.jpmorganchase.com/corporate/Corporate-Responsibility/document/jpmc-environmental-and-social-policy-framework.pdf

[9] https://www.jpmorganchase.com/corporate/Corporate-Responsibility/document/jpmc-cr-sustainability-fact-sheet.pdf

[10] https://www.cnbc.com/2017/06/02/jpmorgan-ceo-dimon-disagrees-with-trumps-decision-to-withdraw-from-climate-deal.html

 

*This Ask draws from the Rainforest Action Network's Banking on Climate Change report http://www.ran.org/bankingonclimatechange2018