Ten Congressional leaders, spearheaded by U.S. Representative Mary Miller (R-Ill.), have penned a letter expressing apprehensions about the Net-Zero Banking Alliance (NZBA), an initiative of six major banks, as reported by American Stewards of Liberty (ASL). The NZBA's objective is to synchronize their lending and investment portfolios with net-zero greenhouse gas emissions by mid-century or earlier, in compliance with United Nations' (U.N.) policies advocating such standards, especially within the agricultural sector.
According to the Congressional leaders, these six banks - Bank of America, Citigroup, Goldman Sachs, JPMorgan Chase, Morgan Stanley, and Wells Fargo - "collectively represent 41% of global banking assets." They continued to express concerns about potential impacts on food security and agricultural production that could result from these policies.
In their letter, the congressional leaders emphasized the importance of trusting American farmers to manage their land sustainably. They raised questions aimed at understanding the operational mechanisms of the NZBA. Specifically, they sought clarification on how the NZBA commitment might influence borrower selection criteria, whether any borrowers have been declined due to compliance concerns, mechanisms for collecting data on greenhouse gas emissions from borrowers, and whether the banks engaged with the U.S. agriculture industry before forming the alliance.
The letter highlights the crucial role of American farmers, ranchers, and foresters in boosting agricultural productivity and efficiency over time. However, it also expresses reservations about potential disruptions caused by external mandates. The legislators called for transparency from the banks and seek clarification on the NZBA's implications for both the agricultural sector and broader economic landscape.
ASL reports that a coalition of 12 state agriculture commissioners also criticized these six banks over their net-zero alliance on January 29. They warned that participation in this global eco-alliance could affect food availability, contribute to price hikes, restrict credit access for farmers, and result in widespread negative economic consequences. Georgia Agriculture Commissioner Tyler Harper stated, "The UN’s Net-Zero Banking Alliance would be the equivalent of a run on the bank for our nation’s agriculture industry and pose a serious threat to our national security – and it must be stopped."
ASL is a non-profit organization that works to defend property rights and local control by educating state and local officials, as well as property owners, about federal actions that could threaten property rights.
