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From 2021 to May this year, 22 investors, including banks and pension funds, have divested from JBS or its subsidiaries, citing its links to biodiversity loss and governance issues, according to the Financial Exclusion Tracker project. JBS is widely regarded as an ESG pariah.
The reaction of major Canadian oil and gas companies to new federal anti-greenwashing rules has been telling. Nearly all of these major investors say that they are “engaging” with high-carbon investees in their portfolios in order to advance net-zero, setting this up as a binary choice against divestment.
Direct litigation risks include challenging investors’ mismanagement of climate and biodiversity-related risk, breaches of fiduciary duty, greenwashing, or financing environmental and human rights-related harms. The parties bringing litigation cases are “becoming increasingly sophisticated well resourced”, he added.
McMurdo anticipates more such rebellions this year, which he says reflects the pervasive greenwashing evident in net zero plans. LAPFF focused on changes to executive pay and discussed Persimmon’s commitment to ensure that all new homes are net-zero by 2030. Disputing divestment. That is why governance is so important.
In the year to October 2022, more than 85 million tons of carbon capture capacity were announced, leading to a 44% hike in the forecast for installed capacity by 2030. By the end of 2023, the cumulative CCUS capacity expected by 2030 could be almost 420 million tons, a 50% increase. The divestment movement will wane.
Direct litigation risks include challenging investors’ mismanagement of climate and biodiversity-related risk, breaches of fiduciary duty, greenwashing, or financing environmental and human rights-related harms. The parties bringing litigation cases are “becoming increasingly sophisticated well resourced”, he added.
Climate-focused investors welcomed the change from the coal-wielding Scott Morrison, calling for an “investment grade 2030 emissions target”, and accompanying policy changes, including a National Transition Authority. Even so, we were reminded how far the G20 nations are from meeting their COP26 commitment to keep 1.5°C
According to global institutional asset manager Ninety One, they are also on a trajectory to represent 90% of emissions growth by 2030. However, we don’t just buy the bonds of a large cement company with 2030 targets and then wait until 2031 to see the results,” said Christ.
In the statement it referred to metallurgical coal as “carbon steel materials”, drawing accusations of greenwashing. Divest or wind down? Anglo American sold its thermal coal portfolio in 2021, while BHP announced in 2022 that it would close its last such mine in 2030.
The effectiveness of asset owner and manager actions in tackling greenwashing by companies is seen as critical to the low-carbon transition. Reclaim Finance notes a “growing trend” within the investor community to condemn exclusion and divestment from heavy emitters as both “unrealistic and ineffective” tools to decarbonise the economy.
Were the sustainability measures and corporate social responsibility offices at VW simply engaged in greenwashing? But many expect that within the next few years demand for LIB disposal will rise sharply, and by 2030, 1.2 In retrospect, how should the VW CEO have reacted to the news from the EPA?
ESG investing has had to overcome numerous challenges, ranging from investor caution to multiple cases of greenwashing. It contrasted the negative performance against benchmarks resulting from divestment from fossil fuel firms with the positive relative returns achieved by funds not exposed to the sector in Q1 2020.
Perhaps more encouragingly, almost a fifth of shareholders voted in favour of resolutions calling on ExxonMobil and Shell to accurately disclose the role of asset transfers in their reported GHG emissions reductions, which would stop them claiming CO2 cuts from divestments.
trillion across the region by 2030. The headline targets and goals enshrined in the new GBF include protection for 30% of the Earth’s surface by 2030, which may have implications for both existing and planned sites and facilities. The GBF is influencing policy through its goals and 2030 targets.
Pledges and plans – This was a potentially significant week in the fight against greenwashing , with UN Climate Change unveiling its ‘ recognition and accountability framework ’ – essentially a tool for monitoring and verifying the net zero pledges of non-state actors – at its Bonn Climate Conference. “The
As is their wont, many companies used the occasion to proclaim updated commitments — the buzzword du la semaine was "net-zero" with Walmart declaring a zero-emissions target by 2040 along with a big clean fleet promise and a pledge to "protect, manage or restore" at least 50 million acres of land and 1 million square miles of ocean by 2030.
For sustainable tech to be possible, funders, including investors, philanthropists, and foundations, must develop a two-pronged approach of intentional investments in those leading justice-centered approaches to technological and economic transitions and informed divestments from extractive and fossil-fuel-dependent systems and enterprises.
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