"NAB's 2022 Climate Report details how its financing activity supports the transition to net zero by 2050. NAB will support customers to accelerate the decommissioning of coal and gas-powered assets, while increasing financing to renewables - currently 73% of our lending to power generation," NAB Chief Climate Officer, Jacqueline Fox, said.
"In relation to questions about financing particular resources companies or projects, NAB's approach is not to comment on individual customers or transactions. NAB has set targets at a sector level - and will be transparent in its progress to achieve them."
NAB is reducing its exposure to thermal coal:
- NAB's target is to reduce its thermal coal mining exposure to effectively zero by 2030, aside from residual performance guarantees to rehabilitate existing coal mines
- In the past three years it has reduced by 44% to $0.42bn (at 30 September 2022).
- Close to one quarter of this exposure is performance guarantees for rehabilitation of existing coal mines.
- NAB is not financing any new thermal coal mining projects - and has not since 2015.
- NAB is not taking on new thermal coal mining customers.
- NAB is not financing new or material expansions of coal-fired power generation facilities.
NAB has also capped oil and gas exposures and has set targets to reduce emissions from its lending to this sector, informed by the International Energy Agency's 'Net Zero by 2050' scenario.
"Further information on NAB's decarbonisation targets and risk settings are detailed in our 2022 Climate Report, which we encourage all stakeholders seeking to understand our approach to read," Ms Fox said.
