G20 pledges to end finance for overseas coal plants

G20 pledges to end finance for overseas coal plants

G20 leaders have sealed a deal to end international financing of coal power in a boost ahead of the opening of the COP26 climate summit.

Leaders at a G20 summit in Rome agreed to end financing for coal-fired power plants overseas by the end of this year, according to the final text of their communiqué. But they stopped short of agreeing an end to domestic coal power in their own countries.

The agreement, which follows heated debate and opposition from coal-dependent countries including Turkey and Russia, will curb the construction of new coal plants, particularly in the developing world.

Global agreement to restrict financing for the fossil fuel has been one of the main targets for the G20 ahead of the COP26 meeting in Glasgow, which starts today. Its British hosts have said they want to “consign coal to history”. 

The G20 countries committed themselves to take steps to limit global warming to 1.5C ideally and adopt new climate targets this decade, according to a copy of the leaders’ communiqué seen by the Financial Times. The final document is expected to be published later on Sunday.

However, G20 leaders failed to agree on phasing out domestic coal plants and their communiqué also lacks a date