Well, a concerted campaign for divestment of South African company shares may have contributed to the end of the Apartheid regime there. Now some are trying to push a similar strategy for divestment in fossil fuel companies.
As a political choice I think it’s certainly legitimate, if not likely to prove as effective as it was in South Africa. If you don’t want to own Exxon, sell your shares. Someone will be happy to buy them at the right price.
What’s coming up on the horizon is more hard ball, however. A report from The Center for International Environmental Law basically accuses the credit rating agencies (Standard & Poors, Moody’s and others) of ignoring the impact of attempts to curb climate change on the value of fossil fuel companies. They think that fossil fuel companies are riskier than they appear.
They appear to want to drive down the share prices…
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