Fossil fuels divestment not so easy, says critic

Gov. Andrew Cuomo and Comptroller Thomas DiNapoli on Tuesday said they were starting a long-term fossil fuels divestment program for the state’s massive pension fund.

DiNapoli later offered a clarification saying there are no immediate plans to sell off oil stocks.

Either way, an oil industry-backed think tank has fired back, saying the move could cost public pensioners.

Divestment Facts’s Matt Dempsey issued the following statement, along with an academic study showing that oil stocks, despite a recent slump, have been good long-term investments, for pension funds and others:

“Divestment stands to cost New York pensioners millions while having no tangible impact on the environment or targeted companies. New York should focus on creating value for the men and women who rely on the state pension fund for a secure retirement, not costly political gestures.”

Here is a study showing oil stocks performance over a 50 year period:

Divestment and Public Pension Funds FINAL by rkarlin on Scribd

And their fact sheet:

Fischel Pension Divestment Fact Sheet FINAL by rkarlin on Scribd

Rick Karlin