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Climate Change Concerns Make Funding Australia s Fossil Fuel Industry Projects Difficult

May 15, 2021 03:15 AM EDT Major global investors and insurers are finding it difficult for fossil fuel companies and their contractors in Australia to insure and finance major ventures due to efforts by major global investors and insurers to reduce their exposure to risks from the climate crisis. (Photo : lum-box on PIxabay) According to a contractor, a worldwide bid for cover for the infamous Queensland Adani coalmine failed, with more than 40 underwriters refusing to back it. Submissions to a legislative inquiry pushed by pro-coal backbenchers and supported by Morrison government ministers show the main impacts on the fossil fuel industry. Australia s Lack of Strategy

Australia s fossil fuel industry admits it is harder to finance projects as climate concerns grow | Energy

The Australian Council of Superannuation Investors (Acsi) warned the government in a submission that “the price of climate risk is on the rise” and that an unplanned or “late transition to a low-emissions economy will cost the Australian economy more”. Construction firm BMD, which is building a major section of the rail line for the Adani mine, said in more than 40 years of working in Australia it had never before been “exposed to such a large and immediate risk” after insurers had refused to underwrite any of its work associated with the coal project. BMD wrote the company was aware the “worldwide insurance market is removing its support for coal-related projects and that coverage for projects associated with coal moving forward will see limited available coverage.”

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