HSBC and other European banks receive top scores in a ranking of 40 leading banks on climate change strategies, in a report released by CERES in January.  Citigroup and Bank of America posted the hightest scores among 16 U.S. Banks.  The report ranked 16 U.S., 15 European, five Asian, three Canadian and one Brazilian bank. Asian banks did poorly, with the Industrial Bank of China and the Bank of China getting the lowest scores in the survey.

Yet, the report notes that for all of the positive momentum, many of the 40 banks have done little or nothing to elevate climate change as a governance priority – a trend that cuts across European, North American and Asian banks alike.

The report concludes that more action is needed to align the banking sector with greenhouse gas reductions that scientists say are needed to avoid the dangerous impacts of climate change. In this regard, the report recommends that banks:

• Elevate climate change as a governance priority for board members and CEOs, especially at U.S. banks where direct board involvement has been virtually non-existent;
• Provide better disclosure about the financial and material risks posed by climate change, their own emission reduction strategies, and emissions resulting their financing and investment;
• Explain how they are factoring carbon costs into their lending decisions, especially for energy-intensive projects that pose financial risks as carbon-reducing regulations take hold worldwide;
• Set progressively higher targets to shrink the carbon footprint of their lending and investment portfolios, and be more transparent about they plan to meet these objectives.

For the full press release and report read:
http://www.incr.com/NETCOMMUNITY/Page.aspx?pid=826&srcid=552