The Real Deal New York

NYC pension funds are investing $4B into this initiative

The move to invest in green tech follows a sweeping City Council proposal from last month
September 13, 2018 10:30AM

Mayor Bill de Blasio and the Manhattan skyline (Credit: Getty Images)

New York City is more than doubling its environmentally-friendly investments.

The city will invest $4 billion of its pension funds into climate-change solutions including renewable energy and clean water over the next three years, the Wall Street Journal reported. Mayor Bill de Blasio and Comptroller Scott Stringer oversee the more than $195 billion fund.

“We believe the market will respond, leading to greater access and lower cost for green technologies that will help us build a cleaner, safer and fairer city,” de Blasio said in a statement.

Stringer said the move will also benefit retiring workers, the report said. The green investments will offer stronger returns, he said.

The announcement comes on the heels of a proposal made last month by the City Council, which would mandate buildings to reduce carbon emissions by 20 percent between 2020 and 2030. Last month, a group of the city’s biggest developers — including SL Green Realty, Vornado Realty and Related Companies — also announced they would work toward that same goal.

Those plans would apply to more than 50,000 New York buildings of 25,000 square feet or more.

Buildings produce 75 percent of the city’s annual greenhouse gas emissions, according to city data.

Earlier this year, de Blasio and Gov. Andrew Cuomo said they would divest billions from fossil fuel companies. De Blasio also said New York City will adhere to the principles of the Paris Agreement, a global pact to reduce greenhouse gas emissions. [WSJ] — Meenal Vamburkar