The use of coal to generate electricity is coming to an end, and one of the many reasons coal’s time is up is thanks to divestment. Divestment of fossil fuels has been argued on university campuses for years and started largely as a moral argument that we shouldn’t profit off the reckless destruction of the panel. Since then the movement has evolved to the world of large investment companies because it also makes economic sense.
As global consciousness of the threat of climate change increases there is more and more reason to not invest in the fossil fuel industry. What’s more is that the low price of oil and the successes of renewable energy sources has made the case for divestment stronger.
The divestment movement shares a name and even a bit of the same emotional urgency as the campaign decades ago to get business to pull out of South Africa to press for change in the country’s apartheid system.
“I think that divestment can play the role of accelerating the development that we really need — we really need as fast as possible to get the carbon out of the energy system and divestment is one tool of doing it,” Reverend Henrik Grape of the Church of Sweden said on the sidelines of a conference in the European Parliament. The Church of Sweden decided in 2008 to get rid of its fossil fuel assets.
The movement today can count heavyweight investors like Norway’s sovereign wealth fund, insurance giants Axa and Allianz, major European universities, cities and churches among its supporters. All have made some form of commitment to pull cash from coal assets and, in some cases, other fossil fuels too.
Thanks to Delaney!