Over the week, the World Bank announced that loans will no longer be available for the implementation and execution of Fossil fuel based projects around the world.
This announcement was welcomed by climate change supporters who were present at Present at the Climate change held in Paris to curb against
fossil fuel-based energy, the World Bank President
made this announcement at the One Planet
summit called by French President Emmanuel
Macron. The bank, which provides loans to
developing countries to foster economic growth,
announced on December 12 that it will no longer
offer financial support for oil and gas exploration
after 2019.
During the summit, the bank released a statement
saying it “will no longer finance upstream oil and
gas,” citing a need to change in a “rapidly changing
world.” In 2015, the bank previously vowed to have
28% of its portfolio dedicated to climate action by
2020. The bank’s latest statement on fossil fuel
financing suggests that it is on course to achieve that goal.
This is yet another tragedy to the fossil fuel energy
industry, and a seemingly significant win for
environmental advocates. The economics surrounding the energy sector are increasingly making it more attractive and useful for entities to switch to renewable energy.
Across the world, it has become cheaper to build new renewable energy installations than to operate and maintain existing coal power plants.

The World Bank’s plan does lay out a caveat for
“exceptional circumstances,” saying that they will
consider “…financing upstream gas in the poorest
countries where there is a clear benefit in terms of
energy access for the poor and the project fits within
the countries’ Paris Agreement commitments.”
The Paris agreement is a major factor in the decision.
The One Earth summit was planned on the two-year
anniversary of the historic agreement, which was
looking uncertain after the President of the United
States, one of the major financial and influential
member nations, decided to withdraw . Even so, the
agreement looks to be thriving, even in the US, which
may reach the goals laid out in Paris against all odds.