Specific Instance filed to the Australian National Contact Point under the OECD Guidelines for Multinational Enterprises by FoE Australia and Others v ANZ Bank Group Limited

Summary:

On January 30, 2020, Friends of the Earth and three individuals submitted a "specific instance" complaint to the Australian National Contact Point for the OECD Guidelines for Multinational Enterprises regarding the activities of ANZ bank. The complaint alleged that ANZ had failed to adhere to the OECD Guidelines on three ground: (i) lack of climate-related disclosure and due diligence, (ii) inadequate environmental policies and management, particularly as regards aligning its investments with the goals of the Paris Agreement, and (iii) disregard for consumer interests. The complaint contained specific requests for ANZ regarding divestment from coal and other fossil fuels.

On November 24, 2020 the NCP published an Initial Assessment admitting the complaint. The NCP confirmed that "Issues of climate change, fossil fuels (and associated GHG) are sufficiently material to responsible business conduct understood by the OECD Guidelines. The information in the Complaint is plausible and relevant to the application of the OECD Guidelines." However, the assessment excluded requests for divestment from fossil fuels arguing that this was not required by the Guidelines.

At Issue: Whether ANZ Bank breached the OECD Guidelines for Multinational Enterprises by failing to disclose emissions arising from its investments, failing to align its portfolio with the goals of the Paris Agreement, and failing to publish climate scenario analysis relating to all ANZ investments.