Thursday December 09, 2021

Finland joins E3F coalition to end export finance of fossil fuels

Published : 25 Nov 2021, 08:48

  DF Report

A combine picture of renewable energy. File Photo Photokrafix/ Lapland Material Bank.

Finland on Wednesday joined the Export Finance for Future coalition (E3F), said the Ministry of Economic Affairs and Employment in a press release.

The E3F is part of the strategy work to combat global warming. It allocates funding to sustainable projects and defines the most suitable measures for phasing out export finance in projects that are not in line with sustainable development.

The strategy is based on the coalition’s statement of principles, which the original signatories, Denmark, France, Germany, Spain, Sweden, the Netherlands and United Kingdom, signed in spring 2021. Finland, Belgium and Italy joined the coalition at a conference held on Wednesday.

The declaration recognises the importance of trade and export finance in promoting climate neutrality and sustainable projects and ensures that finance policies of member countries are aligned with the Paris Agreement on climate change.

The aim is to support the national and international transformation of the export economy and to promote the development of common international standards. By signing the declaration, the countries commit to concrete measures to discontinue export finance in projects that do not support climate objectives.

“Finland’s ambitious target is to be carbon neutral by 2035. In Glasgow, we signed the COP26 declaration on international public support for the clean energy transition. We are now very pleased to join the E3F coalition and the declaration of its second summit,” said Jukka Ihanus, State Secretary to Minister of Economic Affairs Mika Lintilä, who represented Finland at the E3F meeting.

The coalition’s meeting focused on the results of the Glasgow Climate Change Conference, in particular, the declaration on international support for the clean energy transition. The signatories pledge to end public support for trade and export finance of fossil fuels by the end of 2022, with certain exceptions.