Environmental activists are calling for Munich Re and Lloyd’s to follow other global re/insurers by no longer insuring the East African Crude Oil Pipeline (EACOP).
The campaign #StopEACOP has been urging for a number of the worlds largest re/insurance companies to pull back from the scheme.
On the campaign’s website it states that French oil giant Total, and the China National Offshore Oil Corporation are on the cusp of building a massive crude oil pipeline through the heart of Africa, which will displace communities, endanger wildlife, and ultimately tip the world closer to full-blown climate catastrophe.
Their website also said that over 260 organisations are urgently trying to convince banks around the world to rule out supporting the controversial project.
In the past Munich Re have showed that they are willing to pull out of controversial schemes, in October 2021, the company along with Swiss Re ruled out support for a controversial fund proposed for the Australian coal industry because of concerns about global warming and climate risk.
Recently, global re/insurer Hannover Re rejected EACOP, joining Swiss Re, Axa, Zurich and SCOR in publicly committing that they will not underwrite the pipeline.
In a statement, the re/insurer said that they refrain from providing reinsurance coverage for EACOP due to noncompliance with their ESG expectations.
Omar Elmawi, Coordinator of #StopEACOP campaign said: “The statement by Hannover Re adds to the troubles the pipeline and its associated oil fields are facing. Momentum against the project is building with each day. The list of financiers and insurers rejecting EACOP is rapidly increasing.
“This is a testament to the resilience and determination from all quarters to defend humanity, livelihoods and the environment. We thank these insurance companies for choosing humanity over corporate greed and call on Munich Re and Lloyd’s of London to do the same.”
Coleen Scott, the Legal and Policy Associate at Inclusive Development International, described the controversial project as being “too toxic for any bank or insurer to touch.”
Regine Richter, energy and finance campaigner with the German environment and human rights organisation Urgewald said: “Of the world’s four biggest reinsurers, three have excluded reinsuring EACOP. It’s now high time for Munich Re to follow suit. Nearly 50 years of warning against climate change needs to translate into concrete action. Not reinsuring new oil and gas projects is a crucial starting point.”