(Bloomberg) —
New York City’s retirement funds pledged to reach net-zero greenhouse gas emissions across its investment portfolios by 2040, becoming one of the first cities to do so.
The plans call for doubling investments in renewable energy, energy efficiency and other climate-related solutions to more than $8 billion by 2025, according to a statement Wednesday from New York City Comptroller Scott Stringer. By 2035, the allocation will exceed $37 billion.
Three of the five public pensions that the comptroller oversees are part of the climate pledge — New York City Employees’ Retirement System, New York City Teachers’ Retirement System and New York City Board of Education Retirement System. The announcement from the largest U.S. city follows a similar pledge made last year by the state of New York.
New York City will first focus on Scope 1 and Scope 2 emissions, which are those produced directly by a company and those associated with the purchase of power, and eventually will include Scope 3, which are emissions produced by a company’s supply chain and customers, according to the statement.
The New York City’s pensions have announced plans to divest about $4 billion worth of fossil fuel-related investments. New York City’s five pensions collectively oversaw more than $270 billion as of July for current and former city employees and retirees. (Adds plans in third paragraph and managed assets in last.)
–With assistance from Martin Z. Braun.
© 2021 Bloomberg L.P.
