This story was originally published by Mother Jones and is reproduced here as part of the Climate Desk collaboration.
Environmentalists are celebrating after the University of California announced Wednesday that it had dumped $200 million worth of holdings in coal and tar sands from its massive investment fund.
Jagdeep Singh Bachher, the UC system’s chief investment officer, says the decision to sell off investments in some of the world’s dirtiest energy sources was based largely on economic considerations. Bachher cited huge declines in the coal industry and falling global oil prices, according to Reuters. Bachher added that “slowing global demand, an increasingly unfavorable regulatory environment, and a high threat of substitution pose insurmountable challenges to coal mining companies,” and that he worried about “sustainability issues” that are making oil-sands investments risky, according to the Los Angeles Times.
Despite the announcement, there has been no official change in UC’s investment strategies, a university spokesperson told Reuters. That means the UC has no plans to get rid of their investments in othe... Read more