Bailed-out banks 'should invest in energy-saving business opportunities'
UK companies interested in tapping into energy-saving business opportunities emerging from the renewable energy sector should be supported by banks that were recently bailed out by the government.
This is the suggestion of the former head of BP Lord Browne of Madingley, who has said in an interview with the Times newspaper that the banks should be forced to invest in renewable energy schemes.
According to Lord Browne, the biggest impediment in the shift towards a low-carbon economy is the absence of credit for energy conservation initiatives.
"This could be alleviated by directing state-controlled banks to lend more to projects in the supply chain and by working with the European Investment Bank to speed up implementation of its programme of green lending," he told the paper.
Chris Hewett, an associate of environmental solutions campaigner Green Alliance, has echoed Lord Browne's call with a suggestion that a "green infrastructure bank" should be set up to help the businesses.
He stated that such a state-owned bank could "underwrite some longer-term risks" unlike a private investor.
