Dear Vice-Chancellor Peter Hoj and University of Queensland Senate,

As staff and academics of the University of Queensland we, the undersigned, call on the University to:

1. Immediately freeze new investment in fossil-fuel companies, and
2. Divest within five years from direct ownership of and from any commingled funds that include fossil-fuel public equities and corporate bonds, and
3. Achieve maximum transparency with regards to the university's share portfolio by listing all investments on a publicly accessible website.

We recognise climate change as an economic, health, environmental and social justice issue with immediate action required to avoid the worst impacts. Our sense of urgency in signing this letter cannot be overstated. The Intergovernmental Panel on Climate Change (IPCC), the International Energy Agency (IEA), the World Bank and other reputable authorities all warn of a four degrees Celsius (4oC) rise in average global temperatures by 2100 if greenhouse gas emissions continue to increase at their current rate*.
 
As members of the academic and staff community of The University of Queensland, we believe that it is our ethical and financial responsibility to show leadership in combating the global threat of climate change in order to ensure a liveable future for ourselves, all species, and generations to come.

The UNFCCC has stated that the continued rise is due in large part to continued investment in fossil fuels, and investors who ignore climate risks may be in breach of fiduciary duties**.  Stanford University***, Australian Branches of the Uniting Church****, as well as a large number of individuals*****, have already chosen to divest from fossil fuels.

Recent patterns of weather extremes and natural disasters experienced locally and across the world are indications of what could be a new and more volatile climate regime if we do not act now. Despite our small population, Australia is a major contributor to climate change. It is the largest per capita emitter of greenhouse gases globally and among the world’s 20 top aggregate emitters based on its domestic emissions alone. Australia is also the world’s second largest exporter of coal and, if the emissions embodied in its coal exports are taken into account, Australia is the world’s sixth largest direct and indirect emitter of carbon dioxide. By divesting from fossil fuel production and export, The University of Queensland will be sending a strong message to the wider Australian and international community at a time when fossil fuel reliance must come to an end.

In addition to the moral imperative for fossil fuel divestment, there are strong financial reasons for such a move. Financial analysts and international organisations such as the World Bank recognise that fossil fuel assets now bear material and growing financial risks. With an essential and current global shift towards renewable energies through climate policies and market forces reliance and profitability of fossil fuels as an energy source will diminish rapidly in the future. Fossil fuel resources and associated technologies face a recognised risk of becoming stranded assets. Moving away from fossil fuels is not only an ethical choice but also a smart business move.

We would like to acknowledge the University’s current sustainability commitments as a signatory to both the Talloires Declaration and Universitas 21 “Statement for Sustainability” as well as leading research into clean energy technologies and the development of the Global Change Institute. Honouring these commitments and taking the next steps towards adaptation and improvement of UQ’s sustainable performance is necessary for UQ demonstrate its leadership in this field. We request that The University of Queensland shows courage, applies prudent risk management and acts as a progressive leader on the Australian and global stage in the area of climate change abatement.

Sincerely,


*IPCC, 2013: Summary for Policymakers. Contribution of Working Group I to the Fifth Assessment Report of the Intergovernmental Panel on Climate Change
**United Nations Climate Change Secretariat, 15 January 2014, Press release, Safeguarding future Retirements Funds – Time for Investors to Move out of High-Carbon Assets Says UN’s Top Climate Official. http://unfccc.int/press/press_releases_advisories/items/8009.php
 ***http://news.stanford.edu/news/2014/may/divest-coal-trustees-050714.html
  ****http://www.abc.net.au/news/2013-04-18/mining-and-csg-on-church-black-list/4636466
  *****http://www.theage.com.au/victoria/customers-switch-banks-in-day-of-divestment-20140503-zr3wj.html