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U of G to continue exploring whether or not to divest from fossil fuel investments after student protest

Fossil Free Guelph believe the university should not be investing in fossil fuels
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Members of Fossil Free Guelph demonstrate on their way to the University of Guelph's board of governors meeting held Tuesday. Photo courtesy Fossil Free Guelph Facebook page

Discussions will continue between University of Guelph’s board of governors a group of students seeking to have the university divest itself of investments in the fossil fuel industry.

The board of governors was set to vote on a motion recommending the university continue its practice of including companies in the fossil fuel industry in its investment portfolios on Tuesday afternoon. 

An ad-hoc committee was struck within the finance committee by the board to look into the feasibility of a request made in April by Fossil Free Guelph to have the university divest its interests in the sector.

Fossil Free Guelph, a group made up of mostly students, asked the university to freeze investments in companies within the fossil fuel industry and to totally divest their current interests in them within five years.

The group identified 55 companies within that industry that the university is currently invested in, said Julie Maxwell, a member of Fossil Free Guelph.

“Investing in oil is perpetuating climate change, which is causing social injury. As a university we shouldn’t be investing in things causing social injury because it’s ethically wrong,” said Maxwell.

She further noted that in recent years, Exxon Mobile has been alleged to have been funding climate change denial groups to the tune of millions of dollars.

“We think the most powerful thing about divestment is that it’s a symbolic action. It shows that we, as an institution, are not okay in investing in an industry that has committed so many wrongs in the past,” said Maxwell.

After a protest at University Centre involving about 100 students, the group marched to the board of governors meeting, where they filled most of the seats in the gallery.

Chuck Cunningham, U of G’s assistant vice-president of Communications & Public Affairs, said the university currently has about $33 million invested in the energy sector, $19 million of which is invested in Canadian companies.

Cunningham said the ad-hoc committee recommended the board of governors not divest in its interests in the energy sector.

”(The ad-hoc committee) felt we can engineer greater change by being shareholders and working with other universities, which we had planned to do, to influence the sector that we couldn’t influence if we weren’t a shareholder,” said Cunningham.

The ad-hoc committee and Fossil Free Guelph had a respectful dialogue, said Cunningham, with each side making good points.

He rejects another media report of the meeting that referred to the discussion as ‘heated’.

“I thought it was a very positive discussion on both sides and I would suggest that members of the board and Fossil Free Guelph should be commended for the respectful dialogue that took place,” said Cunningham.

Maxwell described the exchange as ‘intense’.

He said he was very proud of the presentation given by the students. “They have given this a lot of thought and given us a lot to think about,” said Cunningham.

In the end, a vote on the motion did not occur. University president Franco Vaccarino instead created a new motion to continue the dialogue and to include Fossil Free Guelph in those discussions. 

“Rather than make a fast decision, (Vaccarino suggested) we make a slower decision that allows us additional time for further research,” said Cunningham.

Maxwell said the new motion was the best case scenario. If the board had voted yes or no to the original motion, the university would have continued its investments as usual.

“It was a big win that so many people came out and so many people were paying attention,” Maxwell.

Fossil Free Guelph is not suggesting the investments be reinvested into any specific companies or sectors.

“We just say socially and environmentally responsible companies,” said Maxwell. “We think the university should take action to make more guidelines surrounding their investments to ensure they are socially and environmentally responsible. Probably somebody should be hired to do that job, because none of us are investing professionals.”


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Kenneth Armstrong

About the Author: Kenneth Armstrong

Kenneth Armstrong is a news reporter and photojournalist who regularly covers municipal government, business and politics and photographs events, sports and features.
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