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.

Proposals to “Electrify Quebec” will bring cleaner transportation; Montreal proposes standards for heating buildings

francois legaultOn May 26, at the party conference of the Coalition Avenir Quebec (CAQ), Premier Francois Legault announced intentions to “electrify Quebec”, reduce oil consumption by  40 per cent by 2030, and reduce the province’s greenhouse gas emissions by 37.5 per cent by 2030.   According to a report from iPolitics , Legault stated “The greatest contribution Quebec can make to save the planet is by helping our neighbours replace their coal-fired, gas fired generators with clean hydroelectricity,”  and he is working to increase hydro-electric exports to New York State.  Regarding electrification of transportation, he proposed to extend Montreal’s electrified light rail network already under construction to the off-island suburbs; to complete a proposed extension of the Montreal’s subway;  new tramways for Montreal and Quebec City; a commuter train link in Gatineau; and  greater use of electric buses.  He noted that two Quebec companies, Bombardier and Alstom, have the capacity to supply the rolling stock for new rail cars and electric buses. He also announced that Quebec’s electric vehicle subsidies will continue, benefitting rural Quebecers without access to transit options. Although plans are far from specific, Legault promised to finance his green plans from the proceeds from Quebec’s Green Fund, with the revenues from its cap and trade auctions.

In response to the recent proposal for an “energy corridor” from Alberta’s new Premier Jason Kenney to bring western crude oil across Canada, Legault stated “There is no social acceptability for an oil pipeline in Quebec.”

Montreal announces 2030 targets to phase out oil heating in buildings: The city of Montreal  is one of hundreds of Canadian municipalities which has declared a climate emergency   – and has been under flood emergency warnings throughout May.  On May 6, in a press release, Montreal Mayor Valerie Plante  announced that the city is developing a plan to  reach carbon neutrality for all municipal buildings by 2030, for all new buildings by 2030, as well as for all existing buildings, by 2050, and have earmarked $4 million by 2021 for the effort.  A CBC  report states  that environmentalists are disappointed at the slow pace and weak level of ambition , and one of the key city councillors resigned, calling for stronger “war measures” against climate change, including a tax on meat, no airport expansion, and planting a half-million trees.  The tree-planting proposal seems particularly urgent, given the heat wave deaths  in Montreal in 2018 – 42 officially attributed to heat by Quebec’s chief coroner,  but with that number still under investigation, and the possibility of  a public inquiry. “Life and Death under the Dome” (May 23) in the Toronto Star  quotes Montreal Public Health official estimates of 66  heat-related deaths that summer. It also explains what the city’s public health officials have done to analyse the causes and patterns – identifying vulnerable populations and areas – and  calling for a greening of the city on a massive scale, including trees,  roofs and architecture .

Update: On May 22, the Government of Canada and the Federation of Canadian Municipalities announced an investment of $2,777,960 in four green infrastructure projects in the Greater Montreal Area, including Laval.  Most of the investment will go to infrastructure and re-naturalization through tree planting, to mitigate the heat island effect and flooding in the city.

How local government policies can encourage energy efficiency jobs and training

Through the Local Government Lens: Developing the Energy Efficiency Workforce, is a report released on June 13 by the American  Council for an Energy- Efficient Economy (ACEEE).  It cites  data from the  2018 U.S. Energy & Employment Report, which reported  that there are 2.25 million efficiency jobs in the U.S. currently – 1.27 million of which are in the construction trades, followed by 450,000 in professional and business services.  The report dives more deeply into the demographics and characteristics of the energy efficiency workforce, and discusses the unique challenges of workforce development policies – the need to replace a retiring workforce, funding uncertainty for job creation and infrastructure, a need to encourage diversity, and a complex set of stakeholders,  given that there is no single educational or skills path for efficiency workers. The report includes unions and union-led training in its discussion of stakeholders and in its recommended strategies for workforce development policies.

Case studies with various approaches are presented from across the U.S., with the sole Canadian example of Vancouver, B.C.  For example: Boston, where training in energy building management is provided to city and utility workers at local community colleges;  New Orleans, where the city coordinates with U.S. Green Building Council, local community colleges, the New Orleans Office of Supplier Diversity, and the Urban League of Louisiana to provide efficiency-related training to low-income community members and minority- and women-owned businesses; and Los Angeles, which has established a Cleantech Incubator to attract new businesses and private-sector investment to the city. Other U.S. cities discussed are New York City, Orlando Florida, and  Columbus Ohio.

English_Bay,_Vancouver,_BCVancouver, B.C. launched several initiatives to teach skills required to build in accordance with its Zero Emissions Building Plan, approved in 2016.  The city plans to subsidize training  for builders and developers to learn more about passive house design standards, technical building requirements, economic and energy impacts, and energy modeling tools.  Vancouver will also contribute funds to the Zero Emissions Building Centre of Excellence, a nonprofit-run collaborative platform that will compile and disseminate zero-emission building educational resources to the local building industry.

A blog summarizes the report; it is available free from this link, registration is required.

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).

 

UNISON launches a campaign for pension fund divestment with a Guide for Local Unions

uk MONEYOn January 10, 2018,  the U.K. union UNISON launched a campaign to encourage members of local government pension schemes to push for changes in the investment of their funds – specifically, to “explore alternative investment opportunities, allowing schemes to sell their shares and bonds in fossil fuels and to go carbon-free.”  A key tool in this campaign: Local Government Pension Funds – Divest From Carbon Campaign: A UNISON Guide, which states:  “Across the UK there are nearly 50 divestment campaigns targeting local government pension funds ….. In September this year, it was revealed that a total of £16 billion is invested in the fossil fuel industry by Local Government Pension funds.”  The new Guide explains how the U.K. pension system works for local government employees, and provides case studies of existing divestment campaigns.  In addition, it provides “Campaign Resources”, including a model campaign letter, a glossary of pension and investment terms,  and it reproduces the Pensions and Climate Motion passed at the 2017 UNISON Delegates conference.  The Guide was written by UNISON, in collaboration with ShareAction – a registered U.K. charity that promotes responsible investment practices by pension providers and fund managers.

Greener Jobs AllianceInformation about the divestment campaign, as well as information about the National Auditor’s Report re the U.K. Green Investment Bank,  is included in the January-February issue of the newsletter of the  Greener Jobs Alliance , a U.K.  partnership of “trade unions, student organisations, campaigning groups and a policy think tank.” The Greener Jobs Alliance is part of the Campaign against Climate Change Trade Union Group, which is organizing an event on March 10 in London: Jobs & Climate: Planning for a Future that Doesn’t Cost the Earth