ECOLOGICAL DEBT, ENVIRONMENTAL JUSTICE & CLIMATE CHANGE
Asian Peoples' Movement on Debt and Development
UN climate fund must reject HSBC, Crédit Agricole – Asian movements
Both banks fund dirty energy, say civil society groups
SONGDO, South Korea, 7 March 2016 – An alliance of Asian people’s movements joined over 170 civil society groups worldwide in calling for the main UN Green Climate Fund (GCF) to reject the partnership bids of HSBC and Crédit Agricole.
“If the Green Climate Fund is serious about helping developing countries cope with climate change, it must not partner with dirty energy funders like HSBC and Crédit Agricole,” said Lidy Nacpil, coordinator of the Asian Peoples’ Movement on Debt and Development (APMDD) and active observer for Southern civil society in the GCF board. "We urge the GCF Board, which is now holding its 12th meeting in Songdo, Korea, not to approve their application for accreditation as financial intermediaries."
Today, on the eve of the GCF board meeting in Songdo, APMDD and other groups released a statement detailing the two banks’ well-documented involvement in recent money laundering and other scandals, their large exposure to coal and other polluting industries, and their anti-people and anti-environment policies.
The groups stated that HSBC and Crédit Agricole rank among the top 20 private sector banks financing coal. HSBC channeled almost €8 billion while Crédit Agricole gave around €7 billion to the coal sector between 2005 and April 2014, according to BankTrack data.
Both banks also financed non-fossil-fuel sectors with a large negative impact on climate, citing HSBC as a major financier of palm oil in Indonesia’s.
"HSBC is bankrolling dirty and harmful energy as a major financier of Indonesia’s palm oil sector. The logging and burning of rainforests and peatlands for palm oil has led to a lot of carbon emissions. It has also displaced entire communities and farmlands," said Jefri Saragih, executive director of Sawit [Palm Oil] Watch, an APMDD member organization based in Bogor, Indonesia.
The GCF was founded under the United Nations climate convention to redistribute money for climate adaptation and mitigation from developed to developing countries. Over $10 billion is currently pledged to the fund. If the GCF board approves the banks as their “accredited entities”, they will be able to receive and disburse funds to support adaptation and mitigation in developing countries.
The groups also noted in their statement that the vast majority of GCF resources are expected to flow through international and developed-country entities, even though the funds are supposed to prioritize national banks and other institutions, particularly those in developing countries.
"The Green Climate Fund Board must reject HSBC and Crédit Agricole. Creating new business for big banks with large fossil fuel portfolios and poor records on human rights and financial scandal would undermine the very purpose of the Fund,” said Karen Orenstein of Friends of the Earth U.S.
"To accredit HSBC and Crédit Agricole is to short-change the vulnerable communities and the countries that the Fund is meant to directly benefit. There is no profit to be made in building the resilience of those adversely impacted by climate change. Public funds must be used to support local communities in developing countries, not to subsidize big banks,” said Sam Ogallah of the Pan African Climate Justice Alliance.
“Accrediting HSBC and Crédit Agricole would be inconsistent with both the Paris Agreement, and with upholding high human rights standards. Any private sector partner of the GCF must have a credible strategy in place to make its entire portfolio and operations consistent with keeping global temperature rise to no more than 2°C, let alone well below 1.5°C,” said Annaka Peterson of Oxfam.
“The accreditation of these banking giants would jeopardize the reputation of the Green Climate Fund and expose it to unnecessarily high fiduciary risk. HSBC and Crédit Agricole provided US$7 billion and US$9.5 billion, respectively, to the coal industry between 2009 and 2014, and their coal financing does not show a clear downward trend. Moreover, HSBC is deeply embroiled in massive financial scandal,” said Yann Louvel of BankTrack.
A U.S. judge recently ordered the release of a report by an independent monitor overseeing the cleanup of HSBC’s massive money laundering – the report is said to be so damning that it would provide a “road map” for criminals seeking to launder money and finance terrorism.
For interviews or more information please contact:
- Lidy Nacpil, APMDD, +63 917 880 0410,
- Karen Orenstein, Friends of the Earth U.S., +1-202-640-8679,
- Sam Ogallah, Pan African Climate Justice Alliance, +254 712 612 662,
- Annaka Peterson, Oxfam, +1-202-412-7352,
PARIS, 11 December 2015 – Asian activists criticized the latest draft of the Paris climate agreement which came out at 9 PM, Paris time, saying that the draft was unacceptable and that it undermined their survival.
“Our survival is non-negotiable. But after all the hype about high ambition and the 1.5°C aspirational limit for global warming, the latest version of the climate agreement is sentencing us to even more deaths and destruction,” said Lidy Nacpil, coordinator of the Asian Peoples Movement on Debt and Development (APMDD).
APMDD delegates from the Philippines, India, and Nepal joined over a hundred civil society observers in the Paris climate talks this afternoon (3 PM, Paris time) in forming a giant red line down the main corridor of the climate summit venue in Le Bourget. The line represented civil society’s own “red lines” or non-negotiable issues: equity, finance, justice, zero emissions, and compliance.
MANILA, 4 November 2015 – An alliance of people’s movements across Asia co-published today an independent civil society review of national climate pledges, ahead of the November 8-10 informal dialogue of climate negotiators in Paris.
The full review, entitled "Fair Shares: A CSO Equity Review of INDCs", was released online today. It compares the initial climate action pledges, called Intended Nationally Determined Contributions (INDCs), of countries to their actual fair share of climate action.
The review shows that the INDC commitments will likely lead the world to a devastating 3°C or more warming above pre-industrial levels. The current INDCs amount to barely half of the emissions cuts required by 2030.
Moreover, the INDCs submitted by all major developed countries such as the United States, European Union, Japan and Russia fall well short of their fair shares in terms of both emissions cuts and finance.
On the other hand, the majority of developing countries’ mitigation pledges, including China and India, exceed or broadly meet their fair share. It also shows they still have mitigation potential beyond their fair share.
“The INDCs of developed countries are condemning us to even much greater devastation than what we are already experiencing now. On the other hand, the review results do not mean a free pass for developing countries. Developing country governments must deliver on their fair shares, and be firm on their demands for finance from developed countries so that they can undertake more mitigation actions to save our peoples and communities from climate catastrophe. All governments must ensure a just transition; workers and communities must not be displaced in the process,” said Lidy Nacpil, coordinator of the Asian Peoples’ Movement on Debt and Development, from Manila.
“It also comes at a poignant time for us Filipinos as we prepare to commemorate the second anniversary of Haiyan’s landfall on Sunday. The destruction the super typhoon wrought on our country is but one reminder that we cannot wait a decade or more for countries to improve on their climate pledges,” she added.
The equity review was initiated by a broad group of social movements, networks, and other civil society organizations in the international, regional, and national levels.
NOTES TO EDITORS:
The Asian Peoples’ Movement on Debt and Development (formerly Jubilee South–Asia Pacific Movement on Debt and Development) is a regional alliance of peoples' movements and organizations, coalitions, and NGOs. APMDD co-initiated the Fair Shares equity review of INDCs.
For the full report and for more details on the Fair Shares review, go to www.civilsocietyreview.org.
Asian alliance calls on UN climate fund to shun HSBC, Crédit Agricole
Both banks fund dirty energy, say civil society groups
LIVINGSTONE, Zambia, 2 November 2015 – As the last Green Climate Fund board meeting before the Paris climate conference begins here today, an Asian alliance of social movements joined over a hundred civil society groups worldwide in calling for the main UN climate fund to reject the partnership bids of two European banking giants – the British HSBC and French Crédit Agricole.
“If the Green Climate Fund is serious about helping developing countries cope with climate change, it must not partner with these dirty energy financiers,” said Lidy Nacpil, coordinator of the Asian Peoples’ Movement on Debt and Development.
“It already tarnished its reputation by accrediting the World Bank and Deutsche Bank as its intermediaries in the July board meeting – that board must not let what remains of that reputation go up in smoke now, less than a month before Paris,” she added.
APMDD and other groups released a statement today which detailed the two banks’ well-documented involvement in recent money laundering and other scandals, their large exposure to coal and other polluting industries, and their anti-people and anti-environment policies.
Developed world should deepen emissions cuts five times or more by 2030, say civil society groups, plus support poor countries
The US and EU should make five times the greenhouse gas emissions cuts by 2030 promised in their national submissions to a UN deal.
Japan is doing a tenth of its fair share, while Russia is making zero contribution to the global effort to limit temperature rise to 2C.
That is the conclusion of a report backed by 18 civil society groups including Oxfam, WWF and Action Aid.
:Across the board, rich countries are failing to bring the two most important ingredients to the negotiating table – emission cuts and money," said Brandon Wu, a climate finance expert at ActionAid.
:If they truly want to solve the climate crisis, wealthy nations must provide finance to support clean development in poor countries and to help communities adapt to dangerous climate impacts.
:Without it, any agreement in Paris will be asking the poor to put out a burning building with a glass of water."
Recent analysis from the OECD suggests climate finance aid for developing countries is on the rise – hitting $60 billion in 2014 – but significantly short of an annual target of $100 billion by 2020.
To date, 150 countries have pledged "intended nationally determined contributions" to a deal set to be finalised in Paris this December.
Covering 90% of global emissions, these plans are based on what governments consider technically and politically feasible.
While they show an unprecedented level of engagement, collectively the pledges do not deliver sufficient emissions cuts to hold warming to 2C.
Nor do the voluntary contributions represent an equitable division of effort, according to the civil society report, based on historic responsibility and national spending power.
China, India, Indonesia, Kenya and the Marshall Islands are meeting or exceeding their "fair share", it found.
Tim Gore, Oxfam's head of climate policy, said: "Some of these countries have made promises that could genuinely transform how their future economies will operate. This could transform the UN negotiations as a result."
Rich countries, meanwhile, are "locked into incremental target cuts," said Gore, calling for Paris to deliver "transformational, not piecemeal" progress.
Lidy Nacpil, Filipina activist and coordinator of the Asian Peoples' Movement on Debt and Development, said rich and poor countries needed to cooperate.
Launching the report in Bonn, where negotiators are into their last week of talks before Paris, she said: "While it is very clear the onus is on developed countries... it is not a free pass for developing country governments.
:They must ensure that they deliver on their targets for a fair share. They must also raise their conditional targets to reflect what they are ready to do if and when finance is delivered from developed countries."