In a bid to help address climate change, reduce demands on natural resources and advance lower-carbon economic solutions, the Bank of America, one of the world’s largest financial institutions, has announced a new 10-year, $50 billion environmental business goal. Besides, the company also introduced significant measures to reduce the environmental impact of its own operations.
Effective from January next year, the measures are in line with the anticipated completion of the company’s 10-year, $20 billion environmental business initiative which is more than four years ahead of schedule.
“Environmental business delivers value to our clients, return for our shareholders, and helps strengthen the economy,” said BoA Chief Executive Officer Brian Moynihan. “We met our prior goal in about half the time we set for ourselves, so more than doubling our target is ambitious but achievable.”
The new environmental initiative will consist mainly of lending, equipment finance, capital markets and advisory activity, carbon finance, and advice and investment solutions for clients. The areas of focus are energy efficiency in residential, commercial, and public properties, renewable energy and energy infrastructure including wind, solar, hydro, biomass and waste-to-energy solutions and their upstream and downstream supply chains, smart grid, large-scale energy storage and other important infrastructures.
Besides, the company also aims to focus on lower carbon forms of transport such as electric and hybrid electric vehicles, batteries/fuel cells and sustainable bio-fuels, as well as developing local and regional charging infrastructure to support the growth of new hybrid vehicle technologies and innovative new technologies and infrastructure development, including water purification and waste disposal and recycling.
The bank also announced a goal to provide $100 million in grants and program-related investments to nonprofit organizations, community development financial institutions and other non-governmental organizations promoting low-carbon and resource conservation solutions.