Rich nations' pact to end export credits will hurt coal

Washington

MEMBERS of the Organization for Economic Cooperation and Development struck a historic agreement on Tuesday to scale back public financing for coal-fired power plants, dealing another blow to the industry ahead of a global summit on climate change in Paris.

Under the agreement, detailed by the White House, the world's richest economies will restrict subsidies that helped companies export technology to build coal-fired power plants, among the largest sources of emissions blamed for rising global temperatures. The policy would cut off financing for 85 per cent of coal projects going forward, said a senior administration official.