A new report by the “Global Fossil Fuel Divestment and Clean Energy Investment Movement” compiled by Araba Advisors has found that close to 1000 institutional investors with $6.24 trillion in assets have committed to divest from fossil fuels. This is up from $52 billion in 2014, representing a 120-fold increase in just four years. Notably developments this year include divestment from the city of New York and the state of Ireland.
Since it was first launched by students as a moral call to climate action in 2011, the largely millenial led fossil fuel divestment movement has grown tremendously in impact and scope. Divestment commitments have come from a wide range of institutions ranging from medical associations, to religious institutions, to museums, who are dropping fossil fuel company sponsorships.
Are we witnessing the beginning of a massive pushback against fossil fuels? Does the divestment movement suggest that fossil fuel companies are beginning to lose their societal licence to operate? Is the next step of the fossil fuel divestment movement to encourage investment in regenerative businesses?