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Media Release

Top super fund re-invests in coal expansion

25 June 2024

MEDIA RELEASE

Tuesday 25 June: New Market Forces analysis reveals a top 30 super fund has walked back its fossil fuel exclusion policy, re-exposing its members’ retirement savings to one of Australia’s biggest thermal coal miners, Whitehaven.

The new research finds Vision Super has changed its environmental, social and governance policy, removing its revenue-based coal, oil and gas investment restrictions and replacing them with a ‘carbon budget framework.’

The analysis confirms Vision Super’s default investment option has since picked up investment exposure to Whitehaven, a coal miner with major plans to expand production that could lock in harmful emissions for decades to come.

Brett Morgan, Superannuation Funds Campaigner, Market Forces, said:
“Vision Super must explain to its members why their retirement savings are once again invested in Whitehaven Coal, one of Australia’s worst climate wreckers.”

“By scrapping its coal exclusion policy, Vision Super is out of step with member expectations as many super funds are dumping all investments in thermal coal.”

“It’s alarming that Vision Super has withdrawn its thermal coal exclusion policy after previously demonstrating climate leadership.”*

Market Forces’ analysis also reveals five large super funds that already rule out investment in thermal coal companies might be able to re-invest in Whitehaven based on their existing policies.

Whitehaven recently purchased two of BHP’s metallurgical coal mines, claiming this would transform the company into a metallurgical coal producer. In the financial year 2023, Whitehaven generated more than 90 percent of its revenue from thermal coal but says this purchase would see that drop to 30 percent.

Several super funds have policies that exclude investments in companies generating more than a certain percentage of their revenue from the sale of thermal coal.

Commonwealth Superannuation Corporation, the fund for Australian Government employees, has set its revenue threshold at 70 percent and could re-invest its members’ retirement savings in

Whitehaven if the company started generating significantly less revenue from thermal coal.

“Commonwealth Super Corp must tighten up its abysmal coal exclusion policy and commit to steering clear of Whitehaven, a company hellbent on digging up more polluting coal at all costs,” said Mr. Morgan.

“Whitehaven will try every dirty trick in the book to keep expanding coal production and deserves no financial support from any super fund serious about ensuring a stable climate and retirement for members.”

“Members are crying out for all super funds to dump all coal for good.”

For media inquiries and interviews, contact:
Antony Balmain, +61-423-253-477, [email protected]

Note to the editor
Vision Super was the first major super fund to implement a partial exclusion on oil and gas producers including Woodside and Santos back in 2021, applied to its active holdings. Like the fund’s coal exclusion policy, this partial oil and gas exclusion has been removed from Vision Super’s environmental, social and governance policy.