Australia's Biggest Super Funds Back 2030 Emissions Target
Australia's superannuation industry is stepping up to the plate in the fight against climate change. The country's largest funds, including Australian Ethical, HESTA, UniSuper, Mercy Super, Local Government Super, Cbus, Christian Super, Spirit Super, Aware Super, and Hostplus, have aligned with the government's ambitious target to reduce emissions by 43% by 2030. This significant move was confirmed by John Pearce, chief investment officer at UniSuper, one of the ten funds recognised for their responsible investment practices by the Responsible Investment Association of Australasia (RIAA) in 2023.
The ten funds, which control a staggering 80% of the industry's assets, have demonstrated a commitment to responsible investment and asset allocation, which is crucial for Australia's energy transition. This collective effort is a response to the 43% emissions reduction goal set out in the Climate Change Bill, introduced by Prime Minister Anthony Albanese in August 2022. With over A$3.5 trillion in assets under management, the superannuation industry's involvement is a significant boost to Australia's climate change mitigation strategy.
The classification of these ten super funds as 'responsible' by the RIAA in 2023 reflects the industry's growing commitment to sustainability. Their alignment with the government's emissions reduction target demonstrates a collective will to tackle climate change, with their significant assets playing a pivotal role in Australia's energy transition.
