Editor's Note: With this post we welcome Britt Gordon-McKeon to our burgeoning writing team. Britt will, amongst other things, be writing about the connections between social and environmental issues and consumer/personal finance decisions. Welcome Britt!
ShoreBank Pacific is not an ordinary bank. While most banks make their lending decisions based solely on financial profitability, ShoreBank Pacific lends only to businesses and non-profits which are committed to improving their environmental footprint by using energy efficiently, working to reduce waste and pollution, and conserving natural resources. The bank has a scientist on staff and evaluates loan clients annually using a scoring system based on The Natural Step principles of sustainability, helping clients identify areas for progress and offering technical assistance.
ShoreBank Pacific's loans in the Pacific Northwest support local organic, sustainable farmers; building and rehabbing homes and retail spaces that are energy efficient and environmentally friendly; bicycle manufacturing and car sharing options; organic landscaping; and a range of non-profit organizations, among other customers.
ShoreBank Pacific is helping New Seasons Market, a locally-owned grocery store stocking products from small, local, sustainable farmers and producers, expand to new locations and connect with more farmers. It financed HP Car Wash, which uses biodegradable cleaners and has a water recovery system that reduces water usage by 85%. It helped build a mixed-use library/apartment building for another client, Fairview Village, a "neo-traditional" planned community designed for biking and walking instead of driving. (Not all of its loans are so impressive, however. SBP looks for commitment to progress on environmental issues, but in many cases the steps forward are small and the loans are made for purposes other than accomplishing environmental goals.)
Although ShoreBank Pacific is located in the Pacific Northwest, its EcoDeposits banking program is open to people all over the country, and its savings, online checking, and money market accounts and CDs offer rates that exceed national averages.
In the U.S., while there are many banks and credit unions focusing on community development -- many considering environmental issues to some degree in their lending -- few have a focus like SBP's. One similar institution, New Resource Bank, just opened in November 2006 in San Francisco; it features online checking, savings, money market accounts and CDs, and offers a signature solar power financing option for homeowners. There is a small credit union in New Mexico called Permaculture Credit Union providing members with savings accounts and credit cards. Self-Help Credit Union offers specially-targeted environmental CDs.
The options seem to be a little broader in other countries, with options like Triodos Bank , operating in the Netherlands, the UK, Belgium, Spain, and Germany; and Australia's Mecu Bank.
Are you aware of any other environmentally-conscious banks like these? Do you use one? Do you think eco-banks are a worthy concept or a distraction from the need for government financing for sustainable projects?
