BT Pension Scheme Targets Net-Zero Emissions by 2035

By Maitane Sardon

BT Pension Scheme said Thursday that it will aim to achieve net-zero carbon emissions across its investment portfolio by 2035, as part of its goal to limit the financial risks climate change poses.

The scheme is one of Britain's biggest corporate pension funds with 55 billion pounds ($71 billion) in assets and it invests on behalf of 300,000 current employees of British telecoms giant BT Group PLC.

The scheme said it will make big changes to the investments it holds over the next few years including adding more bonds and income assets, which it says create opportunities to invest in companies with a lower carbon footprint.

It also said it will select asset managers that can deliver investment returns and achieve its new climate objectives. It will ask the managers to report their progress against a net-zero scorecard and to engage with companies on sustainability issues.

It will require the companies it invests in to disclose their carbon emissions and have a plan for emissions reduction. The scheme could sell its stake in the companies if it believes they aren't making enough efforts to curb their emissions.

The scheme said its new climate policy aligns with the Paris climate accord and reflects its members' attitude toward responsible investments. It conducted a survey in February and found that 65% of its members expect the scheme to use its funds to make a positive impact on the environment and society.

Write to Maitane Sardon at [e-mail]

(END) Dow Jones Newswires

October 08, 2020 10:15 ET (14:15 GMT)

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