1. Why does Deutsche Bank still support transactions in the coal and mining industry?
Deutsche Bank supports a well-balanced global energy system that is forward-looking and that takes account of economic conditions as well as environmental and health and safety considerations.
At present, it is still not possible to meet the substantial global energy demand solely through renewable energy sources. For this reason, we will continue to finance a diversified range of energy. Given the increasing energy demand, in some regions of the world coal cannot be avoided. If we are involved in transactions in this sector, we make sure that the most appropriate technology will be used and the highest efficiency levels are met.
At the same time, we provide financing also for the development and utilization of renewable energies. In this field, Deutsche Bank is among the most important investors and providers of financing worldwide.
2. How can Deutsche Bank justify doing business with mining companies given the negative environmental and social impacts?
Deutsche Bank’s Environmental and Social Reputational Risk Framework requires environmental and social due diligence as an integral part of the approval process for doing business in sectors such as the extractive industry and utilities. The decision to pursue or to withdraw from a particular business opportunity is based on the due diligence results, and can be escalated to divisional or group-wide Reputational Risk Committees.