Fashion
EU, OECD partners pledge more transparency on export finance in energy
The EU’s commitment is part of its continued efforts to advance transparency, accountability and informed policymaking in support of the global energy transition.
The EU, Australia, Norway, Switzerland and the UK have committed to transparency on the export credits they provide in the energy sector.
This is part of EU’s efforts to advance transparency, accountability and informed policymaking backing energy transition.
They have requested the Export Finance for Future to report on all their transactions within the scope of the Arrangement on Export Credits.
“We intend to be transparent on the officially supported export credits we provide to transactions in the energy sector. This sector is vital for all economies and public export credits play an important role worldwide, by creating access to reliable, affordable and sustainable energy,” the EU agreed together with Australia, Norway, Switzerland and the United Kingdom.
“We have therefore requested the Export Finance for Future (E3F) coalition to report on all our related transactions within the scope of the Arrangement on Export Credits, with a breakdown by type of energy,” they said.
The E3F report lays out all relevant transactions notified to the OECD secretariat between 2015 and 2024 and shows a clear phase down of fossil fuel support, with in parallel a huge scale-up of renewable energy financing. Transactions are broken down by year, recipient country and energy sector. The intention is to report annually from now on, an official release from the EU said.
The EU participates in the OECD-hosted Arrangement on Officially Supported Export Credits, which seeks to foster a level playing field for this type of government-provided financial instrument. Climate-related provisions within the arrangement have been expanding since 2015, creating financial incentives for climate-friendly export credits and banning the financing of coal-fired power plants.
Launched in 2021, the E3F is a coalition of export credit agencies is committed to aligning their export finance policies with climate objectives by increasing support for sustainable projects, phasing out public finance for unabated fossil fuels, and publishing an annual transparency report on their export-finance transactions.
In 2024, the EU proposed to create a ‘coalition of the willing’ transparency exercise for the voluntary disclosure of energy-related transactions.
Fibre2Fashion News Desk (DS)