Ceredigion councillors have supported a motion that calls on the Dyfed Pension Fund to disinvest from holdings with fossil fuel companies within two years. The Dyfed Pension Fund is the fund used by Ceredigion County Council staff and councillors together with other public bodies in the area.

The motion notes that many local government pension funds, including Dyfed, have holdings in fossil fuels companies which are currently contributing to climate change.

Having already committed to being a net carbon neutral local authority by 2030, the motion notes the recent advice from the Governor of the Bank of England about the financial risk to companies that fail to move towards zero carbon emissions.

The motion was proposed by Councillor Alun Williams, the council’s Sustainability Champion. It was seconded by Councillor Elizabeth Evans.

Councillor Williams said: “Ceredigion Council has already taken big steps to reduce its carbon emissions and is putting together a comprehensive plan for becoming a net carbon neutral local authority in the future. It’s therefore unfortunate that the investment policies of the Dyfed Pension Fund are not currently in alignment with this. As one of the public organisations taking part in the fund, it’s important that we send a message to fund managers that they must recognise the world climate crisis in their decisions in future and disinvest in holdings with the fossil fuel companies that are contributing the most to the crisis. I’m especially pleased to see that, with the passing of this motion, we are now working together with our neighbours Carmarthenshire County Council who are part of the same fund and have taken a similarly forward-thinking decision.”

The motion also notes that other Welsh councils have passed motions calling for disinvestment, and that the call is supported by the UNISON Trade Union.