Coal terminal near Great Barrier Reef: our position

Deutsche Bank has a long track record of supporting environmental sustainability and takes the future of the Great Barrier Reef very seriously. A current campaign by several NGOs asserts that Deutsche Bank is the most likely Bank to back expansion at Abbot Point due to an alleged financing of a prior expansion.

Fact is that our only involvement with Abbot Point was as one of three banks that last year helped the leaseholders to refinance their lease on the 30-year-old terminal owned and previously operated by the Queensland government.

Deutsche Bank’s Environmental and Social Reputational Risk Framework (ES Framework) requires environmental and social due diligence as an integral part of the approval process for doing business. This process needs to be followed also, and especially, for transactions in the extractive industry and infrastructure. It employs sector-specific guidelines that also help identify appropriate mitigation actions where possible.

A recently approved bank policy regulates the procedures for transactions in connection with activities in or near World Heritage Sites. According to this policy, Deutsche Bank does not support activities unless there is consensus between the government and UNESCO that the planned activities do not place the outstanding universal value of the site at risk.

We observe that currently there is no consensus between UNESCO and the Australian government regarding the expansion of Abbot point. Since our guidance requires such a consensus as a minimum, we would not consider a financing request at this point in time.

Our escalation process for social and environmental risks

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Focus topic coal and coal-fired power

Deutsche Bank supports a well-balanced overall energy mix that takes economics as well as ecology into account and is, at the same time, future-oriented.

Alternative investments

We provide projects and companies in Europe and developing countries with debt and equity capital for their investments in renewable energy and food security businesses.

Principles for Responsible Banking

A complex business model such as that of Deutsche Bank is dependent on stable and responsible governance and compliance principles, robust management processes and effective risk control.

Reputational risks: Improving processes and strengthening oversight

In addition to classic risks inherent to banking, we also keep an eye on risks that can undermine trust in the industry or in Deutsche Bank. Our program for managing reputational risks defines processes that help identify and mitigate relevant risks at an early stage.

Minimizing risks to the environment and society

Our framework for dealing with risks to the environment and society systematically integrates ecological and social factors into the approval processes for all transactions. It plays a paramount role for business transactions in sensitive sectors that are scrutinized with regard to any potentially negative impact on the environment or society.