Letter to Your Union Executives Asking them to Make their fund the first Industry Fund to go fossil free

 

Dear [Union Rep],

 

We write to you in your role as [Union] representative on the [Industry Fund] board. We are [Union] members and support the work of the group, Community Sector Climate Action,  based in Central Victoria (see www.fossilfreesuper.org).

 

There is a big “first” waiting to happen – ie. the first trade union backed industry fund to go fossil free ie. adopt a comprehensive, fund-wide fossil fuel exclusion policy – will this be [Industry Fund] Super?

 

We recognise that

  • the science is clear – we are in a climate emergency and fossil fuels are the biggest contributor to climate change
  • the clients we serve on a daily basis who experience disadvantage, are on the front lines of climate impacts including women and children, First Nations peoples, rural and regional people and the poor.
  • the fossil fuel industry uses its money and power to hinder action on climate ie. to influence our politics and thus undermine democracy by instituting a “rule of vested interests” through lobbying, donations, sponsorships and deliberate funding of the climate denialist movement.  It’s wrong to be effectively funding the prevention of climate action.
  • the policy stated by many super funds of “engagement” with the fossil fuel industry has failed to prevent its expansion, with super funds failing to speak out publicly.  For example Woodside’s Scarborough project will result in the emissions equivalent of 15 coal power stations running for 30 years. Hesta doesn’t even account for scope 3 emissions in its climate targets and has simply ignored our questions on this point at the 2021 members meeting. Hesta also effectively stopped from airing an ABC Central Victoria radio interview in November 2021 by obfuscating with the journalists when we made this point. Trade union backed super funds should not be colluding with this industry.
  • It’s a contradiction for the trade union movement to publicly support School Strike 4 Climate while continuing to fund this industry through its’  super.
  • We call for divestment ie. a serious withdrawal of support for this industry due to its’ failure to responsibly phase itself out, and thus we can contribute to  the removal of its social license to operate so irresponsibly.

 

Recently NGS Super was heralded as the first industry fund to exclude pure play oil and gas producers including Woodside and Santos. We note that Vision Super, lead by the ASU,  had already dropped these companies from its active holdings (as opposed to its’ passive investments) and, until now, was leading the way with its partial oil and gas exclusion policy. However, NGS has now overtaken Vision Super on climate action and an enormous opportunity awaits the first  industry fund to adopt a  fully comprehensive fossil fuel  exclusion policy and align their member’s money with their social justice values. 

 

Hesta, Aware and other industry funds lag well behind with active and passive investments in companies opening new fossil fuel projects, such as Woodside, Santos and Origin. This is in direct contradiction to the Paris Agreement, with the International Energy Agency announcing after Glasgow that there should be no more new fossil fuel projects. Will [Industry Fund] Super  improve on this by fully excluding all companies developing the fossil fuel industry, and become climate leaders?

 

We ask;

Will you as the  [Union] representative, take a fossil fuel exclusion policy to the board of [Industry Fund] Super?

Fossil fuels are the new tobacco but with far wider and deadlier social justice impacts. We are now in the first quarter of the climate emergency decade, literally gambling with our children’s future if we fail to take action that is  as strong as possible and as soon as possible.

 

We hope [Industry Fund] see the great leadership opportunity available here, to protect not only their members and their children and their children, but all who face disadvantage. Super funds routinely talk about taking action “in the best interests of members”. Driving dangerous climate change through investing in companies actively undermining the Paris Agreement is not in their best interests.

 

Whether it’s the people of Lismore, the fire victims of Mallacoota, those in Sydney or Brisbane or the poor of Dili, Timor Leste and Pakistan  facing repeated flood events, just to name a few, all leaders have a responsibility to act. Watching our brothers and sisters suffer, get sick or die due to climate impacts will become increasingly distressing.  ASU workers are already on the front lines.

 

We look forward to hearing from you and would like to arrange a meeting with you to discuss these issues.

 

regards,

 

 

[your name, role, Union member no]