Greens welcome Super Fund ethical divestment decision

The Green Party welcomes the New Zealand Superannuation Fund's decision to divest, on ethical grounds, from Freeport-McMoRan Copper & Gold, Green Party Co-leader Dr Russel Norman said.

The New Zealand Superannuation Fund (Super Fund) today announced that they were divesting from Freeport-McMoRan Copper & Gold, KBR, Tokyo Electric Power Company, and the Zijin Mining Group. The investment amounts to just under $2 million of the $19 billion Fund.

"I congratulate the Super Fund for choosing to divest from companies committing human rights violations, bribery, and responsible for massive environmental destruction," said Dr Norman.

"Divestment from mining companies like Freeport-McMoRan is the only ethical option for the Super Fund after years of well-documented human rights and environmental abuses at their Grasberg mine in West Papua.

"When engagement fails, divestment is necessary and just.

"We hope the Super Fund's lead here will be followed by other Government-run investment funds, like the $20 billion ACC fund.

The Green Party questioned the Super Fund's investment in Freeport-McMoRan as far back as 2008.

"The Norwegian Pension Fund divested from Freeport-McMoRan in 2006 and Rio Tinto in 2008 due to problems at the Grasberg mine," Dr Norman added.

"Rio Tinto is a joint investor in the Grasberg mine so they too must be next in line for divestment by the Super Fund.

"Rio Tinto amounts to a much more significant investment for the Super Fund - amounting to $15.6 million in June 30, 2011.

"We look forward to continued constructive engagement with the Government's investment funds, ensuring they are being run in a professional and ethical manner."

The Super Fund's latest divestment announcement:
http://www.nzsuperfund.co.nz/news.asp?pageID=2145831983&RefId=2141742302

Green Party earliest call for divestment from Rio Tinto and Freeport-McMoRan:
http://www.greens.org.nz/press-releases/nz-super-fund-invests-100m-nukes-etc