By: Ben Champ
The world’s biggest investors are joining forces to unite against Donald Trump in the fight against climate change.
The US President has repeatedly denounced climate change as a hoax peddled by China and has pledged to relax environmental regulations, spur investment in fracking and sack half of the staff at the US Environmental Protection Agency.
But as G20 foreign ministers meet on Thursday to prepare for a climate change summit in Hamburg in July, managers of funds with assets totalling more than $2.8 trillion – more than the entire annual GDP of the UK – called for leading economies to phase out fossil fuel subsidies within the next three years to avert a catastrophe.
The world must accelerate green investment and set a clear timeline “for the full and equitable phase-out by all G20 members of all fossil fuel subsidies by 2020,” the 16 signatories wrote.
“Global investors and insurers are sending a clear message that burning public money through fossil fuel subsidies is not just bad for the planet, but bad economic policy too,” said Shelagh Whitley, head of the climate and energy research programme at the Overseas Development Institute, a think tank.
Many members of the group, which includes Aegon Asset Management, Aviva Investors, Legal and General and Trillium, hold significant investments in fossil fuel companies but said a clear policy signal that clean energy will be backed would give them the confidence to shift their billions into renewables.