- Goal increases previous $40 billion target almost fourfold
- Environmental issues `have become core to our business'
Goldman Sachs Group Inc. set a goal of arranging financing or investments in $150 billion worth of clean-energy projects by 2025, part of a promise to “harness market-based solutions” to address climate change.
The new target almost quadruples the $40 billion goal Goldman Sachs set in 2012. The New York-based investment bank also said it expects to spend $2 billion to make its operations more environmentally friendly and will seek to get all of its own electricity from renewable sources by 2020, according to a statement Monday.
“Environmental issues have become increasingly relevant to our clients and our investors, and have become core to our business,” Kyung-Ah Park, head of Goldman Sachs Environmental Markets, said in the statement. “We are leveraging the talents of our people and the breadth of our businesses to facilitate the transition to a low-carbon future and promote sustainable economic growth.”
The goal was part of Goldman’s guidelines for evaluating environmental impact in its financing decisions. The company said it would be “selective" and “apply enhanced due diligence" on transactions supporting coal-mining, and didn’t rule out such investments.