08/06/2015
Norway pulls its sovereign fund out of coal
Norway on 5 June ratified a decision to withdraw its sovereign fund from coal, a major victory for environmetnalists, ahead of a climate conference in Paris. The move may inspire imitators.The decision to withdraw, which follows a compromise reached on the Finance Commission on 27 May, will affect about 50 to 75 international businesses, representing total stakes of NOK35bn to NOK40bn, according to calculations by the finance ministry.But, according to environmentalists, the impact may be even larger, as some estimates find 122 companies representing NOK67.2bn. The names of the businesses from which the fund, which invests in over 9,000 companies, will withdraw by 1 January 2016 have not been officially announced.But, according to a study undertaken by three NGOs, the measure will affect 35 US groups, including Duke Energy, as well as 12 Chinese and eight Japanese companies, the German giants EON and RWE, the British SSE, the Indian Reliance Power, the Italian Enel, the Spanish Endesa, the Portuguese EDP, the South African Sasol, South Koran Korea Electric Power, the Swedish Vattenfall, and the Danish Dong.
