Essay by Eric Worrall
According to Renew Economy, Retirement funds are investing $5 into fossil fuel for every $1 invested in renewables. My question – why are they wasting $1 in $5?
Super funds back fossil “climate wreckers” over clean energy
Marion Rae
May 28, 2024For every dollar invested in clean energy companies, superannuation funds have five dollars invested in the expansion of fossil fuels, an index has found.
Australia’s top 30 super funds have more than $39 billion invested in the global expansion of gas, coal and oil, according to a report released on Tuesday by shareholder organisation Market Forces.
Retirement savings allocated across the Climate Wreckers Index – a group of 190 coal, oil and gas companies – have more than doubled in the two years to December 2023 in the largest or default investment options, based on the latest available disclosures.
Simultaneously, the amount allocated to listed clean energy companies has declined by half a billion dollars to a mere $7.7 billion despite the funds’ climate pledges.
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Read more: https://reneweconomy.com.au/super-funds-back-fossil-climate-wreckers-over-clean-energy/
It’s becoming painfully obvious by now that renewable energy is a bust. The skyrocketing energy demands of the AI age have likely smashed every green energy transition model which assumed energy efficiency measures would mitigate growth in demand.
Maybe I’m being a bit harsh with the retirement funds, they seem to be heading the right direction, gradually reducing their exposure to high risk green investments. Perhaps the slow drawdown is strategic, perhaps they are divesting green investments slowly to preserve member policy value, to avoid spooking the market with big selloffs. Or maybe they are selling simply because their green investments are failing to perform.
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