UCT Policy on Divesting from Carbon-Intensive Energy Industries

The University of Cape Town (UCT) has a formally adopted and publicly available policy committing the institution to divest from carbon-intensive energy industries, including coal, oil and gas. The UCT Council approved the policy in 2022, following recommendations from the University Panel on Responsible Investment. In the official Council media release, issued 18 March 2022, UCT states: “The University of Cape Town (UCT) Council has taken an in-principle decision to divest from fossil fuels.” The policy explicitly commits UCT to “divest from current international fossil fuel exposures over the next three to five years” and to “avoid any new investments in fossil fuel companies,” while instructing its investment managers to shift capital into low-carbon and renewable-energy sectors. (UCT Council Media Release, 18 March 2022.)

The publicly available documentation provides further detail on the scope and intent of this policy. The UCT Council release records that the decision was grounded in the recommendations of the University Panel on Responsible Investment and was based on both ethical and climate-risk considerations. It states that UCT is committed to “reducing its exposure to carbon-intensive assets” and that divestment will be integrated into “a longer-term climate-resilient investment strategy.” These commitments are recorded in the official UCT statement, as well as in the publicly accessible supporting document “Divest and Lead: UCT Council Decision on Fossil Fuel Divestment” (2022), which summarises the Council’s decision and its implementation path.

This policy is public, formally approved, and falls squarely within the review period (2020–2024), having been adopted in 2022.