Positively Impact Climate Change With Your Bank Account
By AMANDA THEISEN, Sunrise Banks
The warnings about the effects of climate change have become more frequent – and more dire – over the past several years. We’ve seen those impacts play out across the globe, such as more frequent wildfires, flooding, extreme heat, melting glaciers, and shrinking coastlines. You’ve likely heard more extreme predictions if countries don’t take drastic measures to lower their carbon emissions.
Achieving global net zero emissions by the year 2050, as outlined in the Paris Climate Agreement, may seem out of reach to some. Despite that, many people and companies in Minnesota are making necessary changes to lower their own carbon footprint. Using other forms of transportation other than cars, installing solar panels, buying energy efficient appliances and reducing plastic waste are just some of the actions you and your neighbors may have already taken.
THE ROLE BANKS PLAY
A growing area of interest when it comes to lowering carbon emissions is the financial industry. According to Project Drawdown, https://drawdown.org/, big banks in the U.S. lend as much as 20-30 percent of their portfolio to carbon-intensive sectors, such as big oil. Most people don’t realize their own bank accounts are funding these industries and that it may be a significant source of carbon emissions.
In addition, Project Drawdown says moving your accounts to a climate responsible bank could cut your personal banking emissions by as much as 76%. It can also give businesses and organizations a way to kickstart their own sustainability efforts.
Imagine if everyone who had a checking, savings or CD account made this switch. That could have a significant impact on climate change – in the right direction.
NET ZERO BANKING 101
Net zero banking is a practice where banks align both their lending and investment activities with the goal of achieving net zero greenhouse gas emissions. By being strategic with customer finances and supporting projects that reduce or avoid carbon emissions, banks can positively mitigate the effects of climate change.
Today, more banks offer specialized financing for net zero projects like energy efficient upgrades, renewable energy, electric or hybrid vehicles, and green buildings that meet standards like LEED Certification, https://www.usgbc.org/leed.
Recently, Sunrise Banks introduced Net Zero Deposits as part of its Net Zero Banking program. This option lets customers designate their personal or business savings, checking or CD accounts to finance these types of projects.
“Net Zero Deposits are truly unique because they give customers the ability to channel the dollars they deposit with us towards projects that can have a direct, positive impact on climate change,” says David Reiling, President and CEO of Sunrise Banks.
“Net Zero Deposits are designed to build climate-resilient communities and support the transition to a net zero economy,” says Laura Wildenborg, Vice President of Strategic Lending at Sunrise Banks. “Our goal is to be transparent about the types of projects we fund so we can reach our goal of net zero emissions by the year 2050.”
You can learn more about Net Zero Banking at sunrisebanks.com/net-zero-deposits.
Amanda Theisen is the communications manager for Sunrise Banks.
