The CEOs of Canada’s five biggest banks stuck to the message that they’re committed to help in the energy transition as they were questioned by a parliamentary committee Thursday about their impacts on climate change. The leaders of Royal Bank of Canada, TD Bank Group, BMO Financial Group, Scotiabank and CIBC pushed back against MPs who said they were making the problem worse by funding the oil and gas industry to the tune of more than a hundred billion a year, and challenged them to cut back. “Just stop is just not an option for us,” said RBC chief executive Dave McKay, appearing by video conference along with the other CEOs before the House of Commons standing committee on environment and sustainable development.
“It’s important that we do this in an orderly fashion, or we risk the entire journey. We have to protect jobs along the way,” he said. The banks all talked about their commitments to working with clients through the transition, rather than pull back on funding, along with their net zero and sustainable finance targets.
Pushed to at least stop funding fossil fuel expansion, executives maintained that it’s not that straightforward. “This is a complex transition. We are not getting off fossil-based fuels immediately,” said McKay, who, as head of Canada’s largest bank and largest oil and gas funder, was asked the most questions.
Executives said they have to keep funding fossil fuels, as well as cleaner energy sources. “We have to do both,” sai.