Market Forces activist Pablo Brait, however, believes that by being the owner of Carmichael’s key transport infrastructure, Adani Ports would be instrumental in exploiting the Galilee Basin, a huge underground coal deposit. âThe Adani Group is leveraging its complex structure to enable some parties, for example, to join the Science-based Targets Initiative and set carbon neutrality goals, while others build new power plants and coal mines. The BRC is a clear example. Adani Ports created it and then admitted that to âfulfill its carbon neutral commitmentsâ he transferred ownership to Adani Enterprises. The link between the ports of Adani and Carmichael by MSCI helped denounce this farce.
There is a growing clamor around the world that global coal production must drop 11% by 2030 to limit global warming to 1.5 Â° C. However, this is not the first time that Adani Ports has been removed from an ESG index. In April 2021, S&P removed the company from the Dow Jones Sustainability Index, due to its business ties with the Myanmar military. State Street, which provides investment management and related services to institutional investors, has also excluded Adani Ports and Adani Enterprises from certain MSCI ESG indices it tracks. Earlier this month, Bank of New York Mellon also severed ties with Adani in Australia over the project.