Coal investments have been one of its largest profit contributors for a decade.
China’s State Development & Investment Corporation (SDIC) has finalised its complete exit of the coal industry and will remove coal-related investments that have been one of its leading profit contributors.
SDIC has US$1.46b of assets under management. It has focused on reform and innovation, facilitating and guiding the development of new industries across China.
Previously, Wang Huisheng, chairman of SDIC told the Chinese press that the institution had accelerated its five-year plan to exit coal to align with national energy structure adjustment measures.
According to the Institute for Energy Economics and Financial Analysis (IEEFA), over 100 global institutions and counting are currently exiting thermal coal finance and insurance. SDIC joined four global financial institutions that brought in new restrictions on thermal coal financing, insurance and/or investments this week.
“The momentum is increasing, and governments and corporations must get ahead of the transition challenge to reduce cost exposures coupled with climate change,” it commented.
Do you know more about this story? Contact us anonymously through this link.