UCF calls on companies to examine carbon asset risks

November 11, 2013

United Church Funds is among a coalition of 70 responsible investors calling on the world’s top 40 fossil fuels companies to assess their exposure to fossil fuels reserves and associated risks.

The letters sent to oil, gas, and electric companies came as a response to a Carbon Tracker report showing 200 of the largest publicly traded fossil fuel companies had spent $674 billion on sourcing and developing new carbon reserves in 2012. If utilized, these reserves would far exceed the recommended “carbon budget” to keep global warming under 2°C — resulting in potentially stranded assets.

Investors requested that each company provide a detailed response on its risk management plans, for example, by “reducing the carbon intensity of its assets, divesting its most carbon intensive assets, diversifying its business by investing in lower carbon energy sources or returning capital to shareholders.”

To read the full press release, visit the Ceres website.

As a part of UCF’s SRI campaign, we are committed to staying at the forefront of all monumental actions relating to climate change, as evidenced through our solidarity with the UCC’s General Synod fossil fuels resolution. To stay updated on our progress, visit bff.ucfunds.org or subscribe to our RSS feed at fossilfuels.ucfunds.org.

 

 
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