The report shows the country’s five biggest banks—RBC, TD, Scotiabank, BMO, and CIBC—with a lot of ground to cover to put substance behind their promises.
“Part of the duty of Canada’s banks is to manage risk, yet their activities are driving up investor risk by enabling massive Scope 3 emissions,” the 22-page report adds.
The report arrives at a moment when Canadian banks are choosing to engage on net-zero strategy with fossil fuel clients and other high-emitting sectors, rather than heeding calls to withdraw their investments.
“Engagement without the possibility of divestment is like raising a toddler without consequences,” he told The Energy Mix.
To make that shift in strategy work, “major banks and pension funds need a crash course on the concept of carbon lock-in,” he said.