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Divesting from fossil fuels isn’t just good for the planet. billion in returns over the last 10 years by not divesting from fossil fuels. And in 2018, Ireland became the first country to divest its national investment fund completely from fossil fuel companies. It can be good for financial returns, too.
But 40% of the reductions came from divesting, or selling off, dirty assets, which from the atmosphere’s perspective is akin to rearranging deck chairs on the Titanic. Most of these reductions were made from 2015 to 2021 when Enel shut down some 40 of its 50 coal power plants fast and furiously (from 31% of generation capacity to 6%).
Engagement and divestment both have a role to play The engagement versus divestment debate has been ongoing in the investor community. Studies have shown that divesting really works, both to cause the stock prices of climate-damaging stocks to fall and to create additional financial value.
Nordea’s divestment, along with pressure from other institutions, such as Norwegian pension fund KPL, led to a pledge from JBS to use blockchain to monitor its entire supply chain by 2025, including the problematic "indirect suppliers" that have been linked to illegal deforestation.
Divest now for tomorrow For insurance companies that are big institutional investors, that has also meant divesting their holdings in oil, gas and coal projects. In 2015, France’s AXA became the first insurance company to start divesting from coal. In the U.S.,
The study analyzed litigation, transactional and lobbying work conducted from 2015 to 2019. health insurers are all invested in the fossil fuel industry" and will call on insurers to divest from these companies, calling them "the greatest threat to human health.". supported $1.316 trillion in transactions for the fossil fuel industry.
By 2015, Henri de Castries, then-CEO of French insurance firm Axa, said it wouldn’t be possible to insure a world that is 4°C warmer. That year, Axa became the first major insurer to divest from coal. It was 1973 when German insurance firm Munich Re began sounding the alarm on climate change.
ImpactAlpha, June 22 – The Vatican’s call last week urging Catholic congregations to divest from fossil fuels came in a 225-page manual meant to provide practical steps for implementing Pope Francis’ 2015 encyclical on climate change. Journeying Towards Care For Our Common Home’ calls for the world’s 1.2
In 2015, the group also submitted its first application to the Financial Reporting Council’s (FRC) UK Stewardship Code. “An The pioneering VAS campaign was launched five years after the passing of the UK Modern Slavery Act 2015, in which section 54 (s54) encouraged every company to produce modern slavery statements.
This overtook the Marinara dam disaster as Brazil’s most catastrophic environmental event, which killed 19 people and destroyed the village of Bento Rodrigues in 2015. Disputing divestment. We cannot just divest from fossil fuels; we need a fair and just transition to the net zero economy.”.
Financial organisations thus have a major role to play in the decarbonisation of the global economy, yet it is estimated that since the Paris Agreement in 2015, the 60 largest banks have instead invested $5.5 They can also divest from high-emitting industries such as thermal coal production. trillion USD in fossil fuels.
Pension fund makes case for divestment, against backdrop of increasingly positive climate policy across major markets. The global energy mix is composed of roughly 17% renewables, representing an increase of just two percentage points from 2015 levels.
Almost overnight, Vladimir Putin pulled off something investors have been struggling to achieve since 2015: decarbonising the business models of oil and gas majors. By divesting its 20% stake in Rosneft, BP also disposed of around a third of its oil supplies.
This could stem from campaigns which lobby for divestment from polluting companies or projects. “In our view, the risk to investors from ESG or climate litigation remains primarily indirect,” Mark Banks, Dispute Resolution Senior Associate at Baker McKenzie told ESG Investor.
However, despite a positive trend for climate policy acceleration as detailed in the Inevitable Policy Response (IPR) tracking reports since 2021’s COP26 in Glasgow, the lag between ambition and progress since the 2015 Paris Accord will be laid bare, no matter how it is dressed up.
This could stem from campaigns which lobby for divestment from polluting companies or projects. “In our view, the risk to investors from ESG or climate litigation remains primarily indirect,” Mark Banks, Dispute Resolution Senior Associate at Baker McKenzie told ESG Investor.
In June, the Church of England Pensions Board (CoEPB) and Church Commissioners announced that they will divest from oil and gas firms for failing to align with climate goals. However, individual, specific, and isolated divestments do not make a significant difference due to the abundance of liquidity in the market. billion (US$13.2
In 2015, Jacobson began work on WWS maps for individual countries, with Ukraine being the first. Congress between 2015 and 2019. The fossil fuel divestment movement led by Bill McKibben’s 350.org By February 2014, Jacobson, with the help of students and colleagues, finished a draft of the roadmaps for all 50 U.S.
We invite you to submit your own cases (and teaching notes) by March 31, 2023: You can view the submission requirements here , and any questions can be sent to info@wdi-publishing.com Volkswagen’s Clean Diesel Dilemma (Published 3.1.2016) On September 18, 2015, the U.S.
The last act of the IPCC’s Sixth Assessment Cycle, which started in 2015, the summary will outline our progress, or otherwise, in fulfilling the obligations of the Paris Agreement. In Canada and Europe, the emphasis is on transition.
A 2015 Nielsen report found that 73% of the Millennial generation was willing to pay more for sustainable goods. In addition to divesting from unethical stocks, you can make investments in companies that make a positive change in a practice called impact investing. Environment,
Additionally, divestment campaigns and the fear of stranded assets have become each new year more pressing. coal companies have filed for Chapter 11 bankruptcy since 2015 and analysts expect more as the economy dives. In the US, electricity generation from coal went from 50% in 2007 to 15% now.
Potential users of our data will ask us for 10 years’ history, but the SDGs were only created in 2015,” he observed. “To But they also need impact investments to satisfy traditional investment analysis and criteria. But these are the hoops that people have had to go through traditionally to get approval.”. Impact through stewardship.
Dimson, Karakas & Li (2015) , Barko, Cremers & Renneboog (2021) , and Bauer, Terwall & Tissen (2022) all found positive market reactions to ESG engagements in their samples. If divesting from harmful industries, communicate this publicly. Vote shares and engage with investees and screen holdings on transparent ESG criteria.
One of the first countries to enact laws was the UK, via the Modern Slavery Act 2015. Divestment was the least selected due diligence action by both business and general respondents. Since the UNGPs were issued, various jurisdictions have begun to roll out legislation targeting modern slavery.
n December 2015, the world took a vital step in tackling climate change by adopting the Paris Agreement. Stephanie Maier , Founding Global Steering Committee Member at Climate Action 100+, says the initiative’s second phase will priorit ise “ actual emissions reductions, not just targets ”.
While at Tufts University, from which he received a bachelor’s in international relations and economics, Dowd was involved with the school’s fossil fuels divestment campaign and interned in the Obama White House. Her United Nations path started in 2015 when she supported the Sustainable Development Goals at the Executive Office of the U.N.
California required SCE and other investorowned utilities to divest the majority of their generation assets beginning in the late 1990s in order to promote competitive energy pricing. Among other things, SCE divested from and terminated all contracts with coal-burning resources and, since 2015, has had no coal in its specified portfolio.
million b/d in 2015. The divestment movement will wane. With the giant energy consumer seeming set on easing its Covid-19 restrictions, the potential for growth is enormous, pressuring an already tight and turbulent market. Chinese demand grew to 15.4 million barrels per day (b/d) in 2021 from some 11.3
According to a recent BloombergNEF analysis , the 2011-2015 low-carbon to fossil energy supply investment ratio was US$0.5 Rooke says these are “encouraging signs” and asserts that GFANZ’s focus is on engaging with carbon-intensive firms rather than divestment. “We low-carbon versus US$1 for fossil fuels.
University activists are increasingly citing the oil and gas industry’s targeting of kids in the classroom as another reason to divest from fossil fuels. The divestment solution. Divestment is an increasingly popular approach to combating the fossil fuel industry’s influence. The case for divestment is persuasive.
The fossil fuels divestment movement continues to grow and as indicated in a recent report by DivestInvest, 1,500 investment institutions, responsible for $39.2 trillion in assets, have committed to divest. Student divestment movements have succeeded in removing fossil fuels from a number of universities in 2021.
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