Councilmember James Solomon and Divest NJ Advance Resolution Calling for a Ban on all Fossil Fuel Investments in New Jersey and Jersey City’s Pension Funds

A resolution would be presented before the Jersey City City Council for vote on April 28th calling on the state legislature and New Jersey and Jersey City’s Pension Boards to pass regulations barring future investments in fossil fuels and divesting from current ones

Council Member James Solomon, partnering with Divest NJ, will introduce a resolution before the Jersey City City Council that calls for the New Jersey State Legislature, the New Jersey State Investment Council, and the Pension Committee for the Employees’ Retirement System of Jersey City to divest from current fossil fuel investments and ban future investments in corporations who profit off climate pollution.

Councilman Solomon wrote: “As a state and a city that knows climate change’s ravages first hand, New Jersey and Jersey City should be leaders on fossil fuel divestment.  The time for half measures on climate is over. The state should sell their current investments in fossil fuels. Rules should be established to prevent any future investment in corporations that poison the earth.”

Divest NJ CoChair Tina Weishaus added: “Fossil fuel investments threaten the profitability of the New Jersey State Pension Fund and increasingly threaten the very existence of humanity.  The best institutional investors today state that climate risk is investment risk. We need the State Pension Fund to be preparing to move into a low carbon global economy and say good-bye to fossil fuel investments for the health of our pension and the health of our planet.”

The resolution was endorsed by Jersey City’s Environmental Commission (JCEC). They wrote: “The JCEC also strongly supports the recommendations made to the State Investment Council and the Division of Investment, which oversees PERS. As stated in the resolution, the Municipal Council urges the aforementioned entities to commit to a Climate Action Plan that includes the divestment of all fossil fuel investment as soon as possible. The continued burning of fossil fuels will affect air pollution, food production, and the emergence and spread of human infectious diseases.”

Encouragingly, an initial analysis of investments in Jersey City’s current pension fund reveals investments in fossil fuels only through “index funds” that invest in all stocks within a given market. However, both New Jersey and Jersey City’s funds require a full asset allocation analysis to understand the funds true exposure to fossil fuels. Moreover, neither fund has rules in place to prevent future investments in fossil fuels. Those rules could be established by state legislation or action by the New Jersey State Investment Council.

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James Solomon represents downtown Jersey City as the Ward E Councilperson. He’s focused on building a just city, with affordable housing and improved mass transit, bicycling, and pedestrian infrastructure. He is also an adjunct professor of political science at Saint Peter’s University, New Jersey City University, and Hudson County Community College.