Financial giants targeted by new U.S. divestment campaign; Youth challenge the Davos elites to stop investing in the fossil fuel economy immediately

stop the money pipeline targetsLaunched at Jane Fonda’s final #FireDrillFriday event in Washington D.C. on January 10, the Stop the Money Pipeline , according to a Sierra Club press release , will consolidate a number of existing divestment campaigns and target the worst climate offenders in each part of the financial sector. The first campaign round consists of three major targets: amongst banks:  JP Morgan Chase;  amongst  insurance companies: Liberty Mutual;  and amongst asset managers, BlackRock. Groups involved in Stop the Money Pipeline are: 350.org,  Rainforest Action Network (RAN), Sierra Club, Greenpeace USA, Sunrise Project, Future Coalition, Divest Ed, Divest-Invest, Native Movement, Giniw Collective, Transition U.S., Oil Change International, 350 Seattle, EarthRights International, Union of Concerned Scientists, Majority Action, The YEARS Project, and Amazon Watch.

The Stop the Money Pipeline website  has archived some of the arguments for their campaign – including Bill McKibben’s September Commentary in the New YorkerMoney Is the Oxygen on Which the Fire of Global Warming Burns”, and “Why Big Banks Are Accused Of Funding The Climate Crisis” in  HuffPost  in October 2019.  The campaign launch has been described in “Climate Movement Takes Aim at Wall Street, Because ‘Money Is Only Language Fossil Fuel Industry Speaks‘” in Common Dreams (Jan. 9);   , and  in  “Want to do something about climate change? Follow the money” in the New York Times  on Jan. 11. In that Opinion piece, Bill McKibben and Lennox Yearwood Jr.  describe their arrest at a sit- in at the Chase Bank which was part of the campaign launch. Democracy Now also covered the events in  “Stop the Money Pipeline”: 150 Arrested at Protests Exposing Wall Street’s Link to Climate Crisis  on January 13 .

Are campaigns having any effect?

Perhaps it is just coincidence, but on January 9,  BlackRock announced it is signing on to  Climate Action 100+, a global investor network formed in 2015 and which includes California Public Employees’ Retirement System (CalPERS), HSBC Global Asset Management, and Manulife Asset Management.   BlackRock also announced a new investment strategy, summarized in  “BlackRock Will Put Climate Change at Center of Investment Strategy”   in the New York Times (Jan. 14) . The NYT article emphasizes the company’s influence as the world’s largest investment fund with over $7 trillion under management, and states that “this move … could reshape how corporate America does business and put pressure on other large money managers to follow suit.”  The new strategy is outlined in two Annual Letters from BlackRock’s CEO Larry Fink:  Sustainability as BlackRock’s New Standard for Investing , the letter to corporate clients states, “Our investment conviction is that sustainability-integrated portfolios can provide better risk-adjusted returns to investors”.  The second letter, titled A Fundamental Reshaping of Finance, acknowledges that  protests have had an impact on their position: Climate change has become a defining factor in companies’ long-term prospects. Last September, when millions of people took to the streets to demand action on climate change, many of them emphasized the significant and lasting impact that it will have on economic growth and prosperity – a risk that markets to date have been slower to reflect.”   He continues: “…. awareness is rapidly changing, and I believe we are on the edge of a fundamental reshaping of finance.… climate change is almost invariably the top issue that clients around the world raise with BlackRock. ….   In the near future – and sooner than most anticipate – there will be a significant reallocation of capital.”  However, this urgency seems somewhat at odds with another statement in the Letter to CEO’s: “…. While the low-carbon transition is well underway, the technological and economic realities mean that the transition will take decades. Global economic development, particularly in emerging markets, will continue to rely on hydrocarbons for a number of years. As a result, the portfolios we manage will continue to hold exposures to the hydrocarbon economy as the transition advances.”

Other divestment developments:

Urgency is a key theme in a new public call by Greta Thunberg and other youth leaders.  “At Davos we will tell world leaders to abandon the fossil fuel economy” – an Opinion piece carried by The Guardian on January 10,  directed to the world’s economic elite scheduled to gather at the World Economic Forum in Davos at the end of January. The core message is urgent:  “We call upon the world’s leaders to stop investing in the fossil fuel economy that is at the very heart of this planetary crisis. Instead, they should invest their money in existing sustainable technologies, research and in restoring nature.. …Anything less than immediately ceasing these investments in the fossil fuel industry would be a betrayal of life itself. Today’s business as usual is turning into a crime against humanity. We demand that leaders play their part in putting an end to this madness. Our future is at stake, let that be their investment. An article in Common Dreams on January 10 highlights the youth campaign and notes that it aligns with Stop the Money Pipeline .

C40 Cities released a new toolkit on January 7:  Divesting from Fossil Fuels, Investing in Our Future: A Toolkit for Cities.   The toolkit is directed at city officials, outlining steps required to divest their pension funds from fossil fuels. It includes eight successful case studies –  from Auckland, Berlin, Copenhagen, London, MelbourneNew York City, Oslo, and Stockholm – all of whom have divestment experience and none of whose city pension funds were negatively impacted by divestment.  C40 Cities is a network of 94 municipalities with a population of over 700 million people, active in promoting climate change action at the municipal level.

Global Climate Action Summit in San Francisco includes labour meetings

The Global Climate Action Summit  in San Francisco will gather 4,500 delegates from around the world on September 12 – 14.  According to the Summit website, “At GCAS governors and mayors, business, investor and civil society leaders will make bold new announcements that will act as a launch-pad to Take Ambition on climate action to the Next Level while calling on national governments to do the same. ” Discussion and statements will be organized around  five themes: Healthy Energy Systems, Inclusive Economic Growth, Sustainable Communities, Land and Ocean Stewardship and Transformative Climate Investments.

The University of California Berkeley Labor Center is holding an official “affiliate event” at the Summit,  called Labor in the Climate Transition:  Charting the Roadmap for 2019 and Beyond .  The sold-out event will showcase the best practices in worker-friendly climate policy for 2019  and highlight “the importance of labor unions for building sustainable broad-based coalitions that can support strong climate policies at the state, national and international level.” Co-sponsors of the event are the California Labor Federation, California Building and Construction Trades Council, Service Employees International Union, IBEW 1245, the International Trades Union Council, and BlueGreen Alliance.

Rise for climateThe global  Rise for Climate action ,  led by 350.org, was timed for September 8, to capitalize on the publicity and high profile attendees of the San Francisco Summit.  According to The Guardian’s report , San Francisco alone attracted 30,000 demonstrators, led by Indigenous leaders.    The San Francisco Chronicle also reported that demonstrations will continue throughout the week, in “Angry activists plan to crash Jerry Brown’s SF climate summit”  (Sept. 9), and there is an online petition at the “Brown’s Last Chance”  protest website , calling for the elimination of fossil fuels in the state.

Among  the reports/announcements released so far at the Global Climate Summit:  Climate Opportunity: More Jobs; Better Health; Liveable Cities , which estimates that “by 2030, a boost in urban climate action can prevent approximately 1.3 million premature deaths per year, net generate 13.7 million jobs in cities, and save 40 billion hours of commuters’ time plus billions of dollars in reduced household expenses each year.” The report was published by C40 Cities, The Global Covenant of Mayors for Climate & Energy and the New Climate Institute; a press release summarizing the report is here (Sept. 9).

102 Cities globally are sourcing 70% of their energy from renewables

Recent meetings have prompted the release of several new research reports about cities, described as the “front-line of climate action” at the 10th anniversary meetings of the EU’s Covenant of Mayors in February . The biggest meeting, and first-ever Cities and Climate Change Science Conference , was co-sponsored by the Intergovernmental Panel on Climate Change, and was held in Edmonton, Alberta in March 5 – 7. The conference commissioned five reports , and included several others, including “Six Research Priorities for Cities and Climate Change” , which appeared in Nature in February.   Detailed daily coverage of the conference was provided by the International Institute for Sustainable Development  (IISD); the closing press release is here .

In advance of the IPCC Cities conference,  CDP released The World’s Renewable Energy Cities report , with new data that shows  that 102 cities around the world are now sourcing at least 70 percent of their electricity from renewables  (more than double the 40 cities from their list in 2015).  The 102 cities  include Auckland (New Zealand); Nairobi (Kenya); Oslo (Norway); Seattle (USA) and from Canada: Montreal, Prince George ( B.C.), Winnipeg, and  Vancouver.  The full report identifies data by type  of renewable energy: hydropower, wind, solar photovoltaics, biomass and geothermal.  Related, broader reports are: Renewable Energy in Cities: State of the Movement  (Jan. 2018), which offers a global overview of local policy developments and documents  from 2017, and Renewable Energy in Cities  (October 2016) by the International Renewable Energy Agency (IRENA).

All of  these reports are more encouraging than another recent study in the news:  “Future heat waves, droughts and floods in 571 European cities”, which appeared  in Environmental Research Letters in February 2018.   These are warnings we’ve read before, but this study offers unique detail: it names cities that could be expected to experience the worst flooding in the worst-case scenario – Cork and Waterford in Ireland, Santiago de Compostela in Spain – and those that could expect the worst droughts: Malaga and Almeria in Spain. Stockholm and Rome could expect the greatest increase in numbers of heatwave days, while Prague and Vienna could see the greatest increases in maximum temperatures.

Some recent news about Canadian cities:

downtown CalgaryAs the IPCC Cities conference met in Edmonton, the nearby City of Calgary convened its own  Symposium  as part of the process to develop its Resilience Plan, to be presented to Council in Spring 2018.  The website provides overview information and links to documentation, including nine research briefs in a series, Building a Climate-Resilient City: Climate Change Adaptation in Calgary and Edmonton  from the Prairie Climate Resilience Centre, a project of the University of Winnipeg and the International Institute for Sustainable Development (IISD).

English_Bay,_Vancouver,_BCVancouver:  The Renewable Cities program at Simon Fraser University in Vancouver recently released two reports from a collaborative project called “Mapping Enabling Policies for Vancouver’s 100% Renewable Energy Strategy”. The Policy Atlas is a brief, graphic guide ; The Dialogue Report summarizes the views and discussion of 19 participants at a workshop held on November 30, 2017 – and attempts to clarify the roles of the federal, provincial, and local governments around issues such as a zero emission vehicles, energy efficiency in housing, land use planning, and electricfication and distributed energy, among others.

Toronto largeToronto: In February, Toronto City Council approved $2.5 million for its Transform TO climate plan  – which is  a fraction of the $6.7 million in the budget recommended by city staff.  The Transform TO  goals include 80 per cent GHG reduction by 2050 (based on 1990 baseline); the website provides documentation and updates.

Finally, the mainstream Globe and Mail newspaper promises a new series of articles focusing on Canadian cities and climate change.  The first installment: “Halifax’s battle of the rising sea: Will the city be ready for future floods and storms?” (March 5).

 

Cities continue to fight climate change

The North American Climate Summit   held in Chicago from December 4 to 6, 2017  brought together the mayors of 50 cities from Canada, Mexico, France, and Tanzania, to reaffirm their commitment to the Paris Agreement and greenhouse gas emissions reduction.  The mayors signed the  Chicago Climate Charter , which is not legally binding but commits the municipalities to at least match the emissions reductions goals of their home countries, and sets out reporting mechanisms. The  Summit was also the setting for  the 5th annual 2017 C40 Cities Bloomberg Philanthropies Awards, which recognized exemplary city  programs from around the world (none of the winners was Canadian). The Summit was co-sponsored by the Global Covenant of Mayors for Climate and Energy.

U.S. cities in particular are keen to demonstrate their climate change-fighting resolve – many through the “We are Still In” coalition which formed after President Trump’s withdrawal from the Paris Agreement and which was very active at the COP23 meetings in Bonn.  Additionally, the Sierra Club has published  the Cities are Ready for 100 2017 Case Study Report , highlighting the U.S. cities which are committing to a 100% Renewable Energy target.   Disappointingly, on December 4, Bloomberg News reported that the Trump administration has terminated the Community Resilience Panel for Buildings and Infrastructure Systems, an interagency group created under President Obama to help municipalities protect their residents against extreme weather and natural disasters.

English_Bay,_Vancouver,_BCIn November, the City of Vancouver updated its Renewable City Strategy,  setting an interim 55% renewable energy target for 2030, which covers electricity, heating and cooling, and transport. For a discussion of Vancouver’s progress, see “Can Vancouver achieve 100% renewable energy?” in The Vancouver Sun (Nov. 5).

Transform TO will reduce Toronto’s emissions by 80 per cent below 1990 levels by 2050 – Recommendations passed on July 4th

Toronto large

Old and new Toronto City Hall from Flickr

John Cartwright, President of the Toronto & York Region Labour Council, wrote  an Opinion piece “How Toronto could lead the climate change charge in Canadian cities” , which appeared in the National Observer on June 15.  The focus of Cartwright’s article is the  Transform TO   plan currently being debated  in Toronto City Council after two years of public engagement, expert input and in-depth analysis . Cartwright is  member of the cross-sectoral Modelling Advisory Group that informed the Transform TO project.  The  target is to reduce carbon emissions by 80 per cent below 1990 levels by 2050.  Given that half of the Toronto’s carbon emissions come from buildings, 41 per cent from transportation and 11 per cent from waste,  key Transform TO recommendations are:  100% of new buildings to be designed and built to be near zero GHG emissions by 2030; 100% of transportation options- including public transit and personal vehicles – to use low or zero-carbon energy sources, and active transportation to account  for 75% of trips under 5 km city-wide by 2050; and 95% of waste to be diverted by 2050  in all sectors – residential, institutional, commercial and industrial.

Details of the plan are presented in Staff Report #1, approved by City Council in December 2016, and Staff Report #2  , approved by the Environment and Parks committee in May, and slated for a Council vote in early July. Technical reports  are here .

UPDATE:  See this CBC report summarizing the Council vote on July 4th, where the recommendations were passed, but with financial concerns.

An overview is available in 2050 Pathway to a Low-Carbon Toronto Report 2: Highlights of the City of Toronto Staff Report .  Report #2  highlights that Transform TO will provide significant community  benefits, such as improved public health, lower operating costs for buildings, and local job creation and training opportunities for communities that have traditionally faced barriers to employment – with an estimate that the planned building retrofits alone would create 80,000 person years of employment.

Toronto, Montreal and Vancouver are members of  C40 ,  a network whose goal is to act on climate change and reduce emissions.   In cooperation with Sustania and Realdania  , C40 compiled case studies from 100 cities (including Toronto and Vancouver) , meant to showcase innovative programs. Their most recent blog, “Mayors lead the global response to Trump’s pull out of the Paris Agreement” is a blunt rebuke to Trump and a determination to continue to work at local solutions.   Similarly, Montreal Mayor Denis Coderre repeated  that the mayors of the world would honour the Paris Agreement, as he welcomed more than 140 mayors and 1,000 international and local delegates gathered to the annual Metropolis World Congress from  June 19 to 22.