5 Dutch Pensions Call On Government to Lead Energy Transition

Pension funds can play a major role in the energy transition, the five funds say, but require regulatory support. 



Five Dutch pension funds published
a letter to Netherlands lawmakers, seeking government collaboration to set the country up for successful energy transition investing, as the right-wing PVV party, which received a plurality of votes in November 2023 elections, seeks to form a government coalition.  

The five pensions responsible for the letter, among the largest in the Netherlands, include Stichting Pensioenfonds ABP (manages 502 billion euros, or about $543 billion), Pensioenfonds Zorg en Welzijn (266 billion euros), Pensioenfonds Metaal & Techniek (74.79 billion euros), PME Pensioenfonds (50 billion euros) and BPG Bouwpartner Groep (11.1 billion euros), with all figures according to the most recent data. Combined, these funds manage over 900 billion Euros.  

In the letter, released on Wednesday, the pension funds argued that a public-private partnership is needed to further accelerate energy transition in the country.  

“We want to join forces with the government and offer our joint (financing) strength and expertise to make an important contribution to the energy transition in the Netherlands,” a translation of the letter stated. “To really give energy to the transition, cooperation between pension funds, municipalities, network companies and other government agencies, under the strict direction of a national investment institution, is necessary.”  

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Earlier this month, ABP, the largest of the funds, announced plans to make $30 billion in impact investments by 2030, with $10 billion of that investment, including allocations to biodiversity and climate-related investments, to be realized in the Netherlands.  

“We are convinced that collaboration between the private sector, pension funds and the government will accelerate the energy transition in the Netherlands. A stable investment climate is essential to enable pension funds to make sustainable investments that are profitable for the participant and contribute to a sustainable future for society as a whole,” the letter states.  

 

Related Stories:  

Netherlands Ranks 1st Among 47 Global Pension Systems 

ABP Plans $30B in Impact Investments by 2030 

Netherlands Leads Europe in Green Bonds, While Dutch Pensions Cut Asia Investments in 2022 

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