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Green Lights Project

<p>3 year project to get pension funds to be climate-conscious investors

Many pension funds have limited staff and capability&nbsp;

So this process has to be easy without being simplistic.

Drawing on work of many other groups - Mercer, CERES, Carbon Tracker, Greenpeace, IIGCC Institutional Investors Group on Climate Change,&nbsp;

There is excellent work at some pension funds in these areas, although painfully slow and not drawing in the rest of the industry.&nbsp;

Their analysis is that civil society organizations have all come to the conclusion that engaging capital markets is critical

Launching project in October with a report to the pension funds&nbsp;

Training Green Lights Advocates to carry messages to their pension funds&nbsp;</p>

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Asks:

  1. &nbsp;Pension funds need to assess their exposure to climate risk. &nbsp;Recommending that pension funds undertake carbon footprinting, and then reduce their footprint and risk. Report against it. &nbsp;Very conscious in pitfalls with footprinting, but think it should be part of the story. &nbsp;Understand "where you're at and how to make progress" is key
  2. &nbsp;What to do with carbon-heavy portfolios. &nbsp;&nbsp;Fossil fuel and non-fossil fuel holdings. &nbsp;Thing there's a good case to divest from pure-play coal holdings. &nbsp;But then also recommending proactive stewardship on capex of their oil and gas holdings. &nbsp;Stewarding those companies away from major new capital allocations. &nbsp;
  3. Non fossil fuel holdings - focusing on energy efficiency &nbsp;
  4. Investing in clean-tech and other things. &nbsp;Work towards a target in "climate solutions." &nbsp;
  5. &nbsp;Public policy - leading pension funds have been active in this area. &nbsp;&nbsp;Will recommend more funds join IIGCC. &nbsp;&nbsp;National Association on Pension Funds however has done very

&nbsp;little in this area. &nbsp;</p>

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What are the key tools that help pension funds get into this. &nbsp;

Asset Owner Disclosure Project &nbsp;&nbsp;&nbsp;350.org</p>

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UK s</p>