Peter Damgaard Jensen is the CEO of Pensionskassernes Administration A/S, a Danish investment manager with a portfolio that includes pension funds. He spoke at the World Bank Group about carbon pricing and engaging with fossil fuel companies to reduce climate risks.
“We are supporting the price on carbon because we think it is the most cost effective way of having influence on the way companies use carbon and have carbon emissions.
In PK (Pensionskassernes Administration A/S), we have just started a policy especially targeting companies that are very dependent on coal. We do that because we think coal is the first fossil, not fuel, but fossil product that will get out of the market because it is the product with the highest CO2 emissions.
So, we are targeting companies that more than 50 percent of their production either is coal mines or is utilities. If they are up to 100 percent, we are going to divest, especially coal mines because we think it will be very difficult for them to change. I mean, if you are a coal mine, you are a coal mine. But we are going into a dialog with companies that have less than 90 percent, between 50 to 90 percent in either as a coal mine or utility.
Press link for more: Peter Damgaard Jensen | worldbank.org
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