To comply with President Obama’s Climate Action Plan, U.S. agencies are withdrawing support for coal-fired plants in foreign countries. But will Congress thwart this progress?
THE U.S. GOVERNMENT has provided essential financing for major infrastructure in foreign countries for decades, including coal-fired power plants and other fossil energy projects. Most of these investments have flowed through one of two federal agencies: the Overseas Private Investment Corporation (OPIC), which invests to boost development in poor countries, or the Export-Import Bank (Ex-Im), which provides financing for projects that will create demand for U.S. exports. The aggregate emissions from projects funded by these agencies have been significant: according to an analysis by Greenpeace, they produced 8 percent of the world’s total greenhouse gas emissions in the period from 1990 to 2003.