Cracks form in Wall Street’s commitment to green finance

Published October 18, 2022 12:00am ET



Wall Street‘s support for an aggressive transition to green energy is showing its limits as some of the largest firms face pressure to ease off their voluntary green financing commitments or weigh walking back on climate pledges altogether.

Political leaders campaigning for a rapid phaseout of fossil fuels have sought to facilitate tens of trillions of dollars in private-sector investment for renewable energy and other green technologies in pursuit of net-zero emissions by 2050. Big finance companies — JPMorgan Chase, Bank of America, investment giant BlackRock, and many others — have set their own companywide net-zero targets. But with the global energy crisis keeping the price of oil, coal, and gas elevated, they’re also stressing the need to keep investing in fossil fuels and reportedly may walk away from certain commitments to go green fast out of worry that it could expose them to legal liability if they fall short.

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