Marsh McLennan has been identified as the insurance broker for the East African Crude Oil Pipeline (EACOP).
The Bureau of Investigative Journalism named Marsh this morning.
The insurer declined to confirm or deny the identity of its clients to the Bureau.
“Marsh McLennan has a long-standing policy of not confirming the identity of clients,” a representative told Energy Voice.
The company is “committed to helping businesses develop low-carbon business models and manage risks associated with the transition from fossil fuels to renewable energy”.
“As we do our part to accelerate this transition, we recognise that a secure energy supply is crucial for the global economy and society as a whole – this is particularly true in the context of today’s geopolitical environment. We believe all communities are best served by working with operators of clean energy assets to accelerate progress to a lower carbon world and with traditional energy clients to enable them to manage the risks associated with current projects and make the transition as quickly and responsibly as possible.”
Activists opposed to the EACOP project have brought pressure to bear on those it believes to be interested.
The Bureau also reported on growing opposition from within Marsh to the EACOP plan – and other fossil fuel work.
Around 100 employees sent a letter to Marsh management in 2021 warning of involvement in the East Africa plan. Such a project, they said, would have “disastrous consequences”.
Other financiers are facing similar pressure. Reuters reported this week that Deutsche Bank would not finance the pipeline,
A bank representative told Energy Voice that it would not comment on client relationships.
He did, though, say DB supported the “transition to a low-carbon economy and reviews potential financing opportunities on a case by case basis in accordance with our commitments to ESG and De-carbonization objectives”.
DB has a policy framework that prevents it from financing projects that would involve clearing primary forests, conservation areas and peatlands. The bank is due to hold its AGM today.
Meanwhile, Munich Re also demurred last month while AXA ruled out supporting the project last year.
Italy’s export credit agency, SACE, has said this week it would not finance the EACOP link.
Total and CNOOC Uganda have taken a final investment decision (FID) on the Lake Albert development, including EACOP. Financing has not yet been completed, though.
The link would run from Kabaale in Uganda to the Tanzanian port of Tanga, and feature six pumping stations.
Updated at 4:47 pm with comment from Marsh and SACE opting out.