PNC Financial Services Group is committing $20 billion over the next five years in support of environmentally sustainable projects, including financing for renewable energy, green buildings and clean transportation.
The Pittsburgh-based bank said that the environmental funding is meant to complement an $88 billion community benefits pledge
"PNC recognizes that environmental issues, including climate change, are impacting our business, our clients and the communities in which we operate," Chief Corporate Responsibility Officer Richard Bynum said Wednesday in a press release.
"We acknowledge that the transition to a low-carbon economy presents both risks and opportunities, and we are committed to balancing financial priorities, responsible risk management and environmental considerations in ways that benefit our varied stakeholders,” Bynum said.
The $554 billion-asset company joins a handful of other large and regional banks making or expanding their commitments to environmental finance. Earlier this year, Bank of America
PNC established a sustainable finance practice in 2020. That business, headed by Kristi Eberhardt, has largely been dedicated to transition finance, or the practice of
The projects financed as part of Wednesday’s pledge will have to fit certain parameters. Green buildings, for example, must meet certain third-party standards or certifications, such as LEED or ENERGY STAR, and sustainability-linked bonds must follow the
The company also recently published its first Task Force for Climate-Related Financial Disclosures report, an accounting of the company’s strategy for addressing climate risk within its portfolio and its own operations.
In
Climate risk disclosures are not yet required of any U.S. bank, although the Securities and Exchange Commission is considering a measure to require that public companies disclose those risks.
PNC joins a small but growing number of banks, including the four largest Wall Street banks and
