Michael Bloomberg Calls for Leadership from Utility Sector in Global Decarbonization Efforts
Bloomberg announced plans for a new Decarbonization Tracker to measure global progress against climate goals for utilities
NEW YORK, NY – Today at the BloombergNEF (BNEF) Summit, Michael R. Bloomberg, founder of Bloomberg LP and Bloomberg Philanthropies, announced plans for a new Decarbonization Tracker for utilities. It will track the progress made by utility companies transitioning away from fossil fuels, as part of the larger global effort to reduce carbon emissions to levels in line with those established by the Paris Agreement.
Bloomberg was joined on stage by executives from Xcel Energy and ENGIE, two utility companies that have both made commitments to decarbonization.
“Utilities have a critical role to play in reducing the emissions that drive climate change – and stopping the destructive effects it is already causing,” said Bloomberg, who also serves as UN Special Envoy for Climate Action. “We’ve long known that replacing coal with clean energy is good for our health, but increasingly, it’s good for our pocketbooks, too. The trouble is: we don’t have access to data that would reveal how utilities are doing in reducing greenhouse gas emissions. Thanks to the leadership of companies like Xcel Energy and ENGIE, the Decarbonization Tracker will help change that.”
The Decarbonization Tracker will provide clear metrics that demonstrate each company’s progress in converting to clean and renewable energy sources – serving as a useful tool for the utility sector, as well as investors seeking to adhere to recommendations made by the Financial Stability Board Task Force on Climate-related Financial Disclosures (TCFD). With a deeper understanding of the financial implications of the reliance on unsustainable energy sources like coal, they will then be able to better align their business plans and investment strategies with long-term climate goals.
Bloomberg’s announcement today supports his continued leadership on global climate-finance efforts, which is strengthened through his role as chair of the TCFD, as well as the UN-backed Climate Finance Leadership Initiative, which seeks to scale up private sector investments in climate solutions.
Ben Fowke, Chairman, President and CEO of major U.S. utility Xcel Energy, which last year announced its plan to provide 100 percent carbon-free electricity by 2050 said, “As a national leader in renewable energy we’re committed to providing our customers with more low-cost, clean energy while working toward our 100 percent carbon-free vision. Our carbon reduction goals are bold – the most ambitious in the industry – and we’re proud to advance this clean energy transition.”
Grzegorz Gorski, Managing Director of Power Generation at major international utility ENGIE, which is in the process of selling or closing its remaining coal plants said, “ENGIE strategy is to be the leader of the zero-carbon transition. With exits and closures of our coal fired power plants, over the last 4 years, we reduced share of this technology in our fleet from 13 to 6%. We massively invest in renewables, aiming at adding 9GW of new capacity in the next 3 years. We are also helping our clients to become zero-carbon, reducing their consumption through energy efficiency, signing green corporate PPAs with them and installing decentralized renewable generation on their premises.”
The Decarbonization Tracker for utilities will be developed in consultation with key stakeholders, and is slated to be released in full at the UN Secretary-General’s Climate Summit in September 2019.
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About Bloomberg Philanthropies
Bloomberg Philanthropies works in 480 cities in more than 120 countries around the world to ensure better, longer lives for the greatest number of people. The organization focuses on five key areas for creating lasting change: Arts, Education, Environment, Government Innovation, and Public Health. Bloomberg Philanthropies encompasses all of Michael R. Bloomberg’s charitable activities, including his foundation and his personal giving. In 2018, Bloomberg Philanthropies distributed $767 million. For more information, please visit bloomberg.org or follow us on Facebook, Instagram, YouTube and Twitter.