Pension Fund Zorg en Welzijn (PFZW), a client of PGGM, has stopped investing in oil and gas companies that still do not have a convincing plan in line with the Paris climate agreement.
As an active owner, PGGM urges companies to implement decarbonization strategies appropriate to their businesses and aligned with the goals of the Paris Agreement. We also focus on encouraging climate solutions that accelerate society's transition and will benefit their long term performance.
As an investor working for pension funds with strong ties to the healthcare sector, PGGM wants to play its part in helping people live healthy, prosperous lives. We therefore invest in healthcare solutions but also engage with companies to address subjects such as prevention and good access to affordable healthcare.
PGGM seeks to contribute to a society in which economic development is not at the expense of human rights. In taking our responsibility to respect human rights, we adopt standards such as the UN Guiding Principles on Business and Human Rights (UNGPs). We ask companies to not only identify salient human rights risks in their business and supply chains but also ensure that a robust policy and implementation plan are in place to safeguard human rights.
On the basis of the following ‘‘active ownership’ activities, PGGM fulfils the rights and responsibilities associated with being a shareholder in listed companies:
Voting rights are one of the most important ways to influence the course of a business. We therefore vote on the basis of our own judgement at meetings of shareholders. For each company, PGGM publishes its voting record and an explanation.
As a pension investor we see it as our responsibility to engage with market parties and companies about their policies and activities. In this way, we attempt to reduce ESG-related risks and to stimulate companies to grow a positive footprint on society.
For our largest client PFZW in 2022, we started a two-year engagement program for the fossil fuel sector with the purpose of only remaining invested in companies that are meaningfully contributing to the goal of the Paris Agreement. This concluded at the end of 2023. We are now actively engaging companies in the Materials, Industrials, Utilities, and Food sectors. Read the PFZW Press Release: Only seven listed oil and gas companies retained in PFZW investment portfolio.
When necessary, we institute legal proceedings against companies on behalf of our clients as shareholder, to recover any investment losses and enforce good corporate conduct. Read more about current proceedings in our Integrated Annual Report.
It is time to push for more global progress on diversity and PGGM will exercise its voting rights accordingly, says Rogier Snijdewind of PGGM in his latest blog.
How PGGM engages with food companies to contrast climate change
PGGM will vote in favour of a climate-related shareholder resolution filed by Follow This at the AGM of BP plc, which calls for a Paris-aligned mid-term greenhouse gas (GHG) emissions target
PFZW press release: PFZW has divested listed equity and credit in 78 fossil energy companies. The divestment is part of a 2-year programme which aims to drive the fossil energy sector to bring its activities in line with the Paris Climate Agreement.
PFZW press release: The first phase of the fossil energy programme of PFZW announced in February 2022 has been completed.Shares in 114 companies in this sector have been sold, and discussions with a select group of companies about their climate ambitions have been intensified.
October 20th, 2022, The Netherlands – Earlier this year, we, a group of like-minded Dutch investors, published a statement outlining the objectives that oil and gas companies should pursue to be aligned with the goals of the Paris Agreement.
Joint statement of institutional investors with combined AuM of EUR 1.48 trillion