Mike Crockart takes pension fund to task on tar sands

22 March 2010

Mike Crockart, Liberal Democrat prospective parliamentary candidate for Edinburgh West, has urged constituents to act to stop their pension funds fuelling climate chaos.

Mike has joined an unprecedented mass mobilisation of pension scheme members in favour of shareholder resolutions about tar sands – widely acknowledged as the world’s dirtiest fuels – tabled for BP and Shell’s AGMs in the coming weeks.

The resolutions, co-ordinated by responsible investment charity FairPensions, ask the companies to report to shareholders on the investment risks associated with their tar sands projects.

Over 3,000 people have already contacted their pension funds to lobby for the resolutions via FairPensions’ website at http://www.countingthecost.org.uk, making it the largest-ever mobilisation of its kind.

Mike said:

“I’ve used the website to contact my pension fund asking them to vote in favour of these resolutions, and urge others to do the same.

“Financial institutions and fund managers have shown they can’t always be trusted to invest our money responsibly. It’s time we took control of our pensions and started demanding a say in the investment decisions that affect us.

“Our pensions, which are supposed to safeguard our wellbeing in later life, are being invested in a hugely destructive activity. Coming clean on the risks involved is the least these companies can do.”

Duncan Exley, Director of Campaigns at FairPensions, said:
"This AGM season could herald a new era of public accountability for companies and their investors.
"It's becoming increasingly clear that tar sands are a risky investment, both environmentally and financially. What people may not realise is that their pension provider almost certainly holds shares in the companies responsible on their behalf.
"Anyone with pension savings has a right to lobby their fund manager on how to vote on these vitally important resolutions."
ENDS
Notes to editors

Converting tar sands into usable fuel produces on average 3 times the greenhouse gas emissions of conventional oil extraction.
Even using the oil industry’s favoured measure (from oil well to car exhaust), oil from this source emits between 15% and 40% more greenhouse gases than the average of conventional sources.
Canada is already on course to miss its Kyoto protocol targets and the expansion of tar sands will make all but impossible any efforts to cut emissions on 1990 levels.
Tar sands are now prompting legal challenges from local indigenous communities such as the Beaver Lake Cree Nation, who claim that pollution, deforestation and wildlife disturbance from tar sands developments breach the constitutional rights protecting their traditional livelihoods.
The resolutions have been co-filed by a diverse group of fund managers, pension funds, foundations and faith groups in the largest coalition of its kind seen in the UK.
They are supported by organisations including WWF, Greenpeace, UNISON and the Co-operative.
The resolutions ask the companies to commission and review reports setting out their assumptions in deciding to proceed with tar sands projects regarding future carbon prices, oil price volatility, demand for oil, anticipated regulation of greenhouse gas emissions and legal and reputational risks arising from local environmental damage and impairment of traditional livelihoods. The findings of the report and review should be reported to investors in 2011.
BP plc and Royal Dutch Shell plc have confirmed that the resolutions are valid, and will be discussed at their AGMs on 15 April 2010 (TBC) and18th May 2010 respectively.
FairPensions’ online action can be accessed at http://www.countingthecost.org.uk, and makes it quick and easy to find your pension fund and email them about the resolutions. To date, 3,469 people have taken action.
FairPensions campaigns for UK pension funds and fund managers to adopt responsible investment practices, managing environmental, social and governance (ESG) issues which have the potential to be financially relevant. It is supported by a number of leading charities and trade unions, including ActionAid, Amnesty, BECTU, CAFOD, Community, CWU, ECCR, EIRiS, Greenpeace, NUJ, Occupational Pensioners’ Alliance, Oxfam, PCS, Traidcraft, Unison, Unite and WWF, as well as thousands of individuals.
See www.fairpensions.org.uk for more information.