Allianz to stop insuring coal plants, phase out investments

BERLIN – Allianz says it will stop insuring coal-fired power plants and coal mines as part of its contribution to combating climate change.

Europe’s biggest insurer says it’s also set itself a goal of phasing out investments in coal companies and increasing its use of renewable energy by 2040.

Munich-based Allianz said Friday it wants to make the 2015 Paris climate accord’s goal of keeping global warming below 2 degrees Celsius a target in all of its business activities.

The company, which manages investments totalling some 2 trillion euros ($2.4 trillion), pledged three years ago to stop investing in companies whose coal activities make up over 30 per cent of their revenue.

The burning of coal for electricity and heat is a major source of carbon emissions that contribute to the greenhouse effect.