CIBC Plans to Reduce Emissions Intensity of Oil, Gas Loan Book
Canadian Imperial Bank of Commerce plans to cut the emissions intensity of its lending to the oil and gas sector by 2030.
(Bloomberg) -- Canadian Imperial Bank of Commerce plans to cut the emissions intensity of its lending to the oil and gas sector by 2030, part of a plan to reach net-zero emissions from its operations and financing activities by 2050.
The interim targets for the portfolio consist of a 35% reduction in the intensity of scope 1 and 2 emissions, which are those produced by the companies themselves, and a 27% reduction in the intensity of scope 3 emissions, those generated by burning the fuels the companies sell, according to a statement Thursday. The goals are set against a 2020 baseline.
Canada’s largest banks have released interim goals for their financed emissions in recent weeks, with most opting for intensity-based targets that still allow for total emissions to grow and let the banks increase their lending presence in the industry. Toronto-based CIBC said it plans to set an additional goal by the end of the year.
“The targets we have set will be key to accelerating our actions aimed at addressing climate change, and we are committed to supporting our clients as we navigate this transition together and realize our shared ambition for a more sustainable future,” Chief Executive Officer Victor Dodig said in the statement.
Among Canada’s five largest lenders, Only Bank of Montreal has set a target for absolute emissions reductions in part of its lending portfolio.
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