The Netherlands – ING aims to increase new renewable energy financing by 50% by the end of 2025 and will no longer provide dedicated financing for new oil and gas fields.
These steps are consistent with the International Energy Agency’s ‘Net-Zero Emissions Roadmap by 2050.’ According to the roadmap, massive investment in clean energy and infrastructure is required, which will lead to a decrease in demand for fossil fuels. That reduced demand should be met by existing oil and gas fields, which means that no new fields should be required, according to both the IEA and us.
These actions also support the European Union’s ‘Fit for 55’ and ‘REPowerEU’ initiatives. There are also key elements such as existing field oil and gas supplies, investments in clean energy and infrastructure for the electrified economy, and energy efficiency.
Financing restrictions
ING has more than doubled its financing of renewable energy sources such as solar and wind, which now accounts for nearly 60% of the power generation portfolio.
The announced restriction is for dedicated upstream finance (lending or capital markets) for oil and gas fields approved for development after December 31, 2021. Simultaneously, ING will continue to provide financing to clients who are actively involved in keeping oil and gas flowing, as part of efforts to keep energy secure and affordable during the low-carbon transition.
