OTTAWA/TRADITIONAL, UNCEDED TERRITORY OF THE ALGONQUIN ANISHNAABEG PEOPLE — Canada’s key financial regulator, the Office of the Superintendent of Financial Institutions (OSFI) has updated its Guideline B-15: Climate Risk Management to align with IFRS S2 and released new climate risk returns.
Karine Peloffy, Ecojustice Sustainable Finance Project Lead, responded to the release of these guidelines, saying:
“It is reassuring to see the regulator moving quickly to keep pace with rapidly evolving global standards, but Canada remains a laggard when it comes to regulating its financial industry.
“We need the federal government to show leadership by passing laws — like the Climate-Aligned Finance Act — currently before the Senate, which require big banks, pension schemes and insurance companies to align their business with a livable climate. Canadian regulators need more tools to hold financial institutions to account and align our financial system with our climate commitments.
“These new requirements won’t tackle rampant greenwashing by Canada’s financial giants. Canada’s big banks and insurance companies still have the leeway to pick and choose according to which standard they will report their financed emissions. Without a consistent level playing field, they can continue to claim to be acting on climate while investing in the fossil fuels that are fueling climate collapse.
“After years of silence on sustainable finance from the responsible ministry, the Prime Minister needs to step in now to at least require financial institutions to prepare credible climate plans that are consistent with Canada’s climate goals and allow the public, investors, and regulators like OSFI to hold them to account.”
About:
Ecojustice uses the power of the law to defend nature, combat climate change, and fight for a healthy environment. Its strategic, public interest lawsuits and advocacy lead to precedent-setting court decisions and law and policy that deliver lasting solutions to Canada’s most urgent environmental problems. As Canada’s largest environmental law charity, Ecojustice operates offices in Vancouver, Calgary, Toronto, Ottawa, and Halifax.
