The University of California (UC), including other universities across the world, have divested from fossil fuels. UC, which has an $80 billion portfolio, has pledged to divest its assets involved in the fossil fuel.
UC will completely remove any of their stakes in any company which is involved in the extraction of fossil fuels. The University’s $83.4 billion funds have a considerable amount of stakes in companies like Exxon Mobil and 200 others but by this November, there won’t be any.
The investment committee of the University of California has cited that it is a matter of financial risk to keep hanging on to these assets and it has said that there moving out has no relation to the climate change problems.
This movement, across the world, has committed to divest almost $11 trillion from fossil fuel companies. Environmental activists all around have welcomed the move and considering the amount, this is a huge win for the world and for the future generations.
Urgency to move away from fossil fuels for the future
Ivy League schools like Harvard and others have denied divesting from the fossil fuel industry, as they don’t want any political element in their multi-billion portfolios. Activists, on the other hand, believe that it is the same political element which is keeping them from divesting from fossil fuels. They also claim that it is completely unethical to benefit from the companies that are important to the destruction of the planet.
Climate change has been a critical component of politics this year. 2020 presidential candidates have been mentioning it frequently in their speeches for the presidential elections, but will these efforts eventually lead us somewhere, that is yet to be seen. The following year is expected see new policies and stricter actions against the production of greenhouse gasses and global warming.
