Agenda item

Note:

Under the Council’s constitution, 30 minutes are available for the consideration of motions. In practice, this realistically means that there is usually only time for one, or possibly two motions to be considered. With the agreement of the Lord Mayor, motion 1 below will be considered at this meeting, and motion 2 is likely to be considered, subject to time. Details of other motions submitted, (which, due to time constraints, are very unlikely to be considered at this meeting) are also set out for information.

 

 

MOTIONS RECEIVED FOR FULL COUNCIL – 19 MARCH 2019 (deferred to 16^th JULY 2019)

 

GOLDEN MOTION - Bus Franchising for Bristol

Motion to be moved by: Cllr Hopkins, Knowle Ward, Liberal Democrats

Date of submission: 7^th March 2019

 

Council notes:

1.      The distrust and disappointment among residents of Bristol with their bus services.

2.      That large numbers of Bristol residents find themselves unable to access work opportunities due to the lacklustre service or find fares taking up a disproportionate amount of their income.

3.      That Bristol City Council has no direct control over the routes, timetables or vehicles that bus operators use in the city, but must use its influence to help address these problems.

4.      That in recent years congestion has worsened, increasing air pollution within the city leading to estimates of hundreds of deaths every year.

5.      That First Bus currently operates an effective monopoly in Bristol which has led to disdain for the people who pay their fares.

6.      That due to ill-advised past slashing of the railway network we are overwhelmingly reliant on our bus services as the main means of public transport.

7.      That London currently operates a successful bus franchising scheme, with Cambridge and Greater Manchester and others currently developing schemes for the future.

8.      That in the Bus Services Act 2017, bus franchising powers were devolved to the mayors of combined authorities.

 

Council believes:

1.      That to address all of the above problems there needs to be a fundamental change with buses in Bristol to a system that recognises public transport as a vital service.

2.      That a franchising model would allow greater competition within our public transport, making new operators available for local services.

 

 Council resolves:

1.      To request the Mayor to use his position on the West of England Combined Authority Committee to push for the establishment of a bus franchising system in Bristol, to gain control on behalf of the citizens of Bristol of routes, timetables, fares and emissions.

2.      That under a franchising system, all buses operating within the city should run on ultra-low-emission or zero-emission fuels within five years.

 

 

SILVER MOTION

Avon Pension Fund – Divestment and Diversification

Motion to be moved by: Cllr Martin Fodor, Redland Ward, Green Group

Date of Submission: 7^th March 2019

 

This council notes:

1.     In 2015 the Full Council resolved that the Avon Pension Fund (APF) should consider divestment from fossil fuels and diversification into clean technologies like renewable energy, energy efficiency and energy storage;

2.     Council agreed that the Mayor should contact Avon Pension Fund and ask for a report on the issue;

3.     There is widespread concern from scientists that declared worldwide fossil fuel reserves, if exploited, constitute a threat to the stability of the global climate;

4.     There is growing recognition that fossil fuel reserves are therefore a class of asset held by investors which have growing risks of being ‘stranded’ ie left with reducing value due to the fact not all claimed reserves now have the value being imputed to them, due to the need for them to remain in the ground;   

5.     An ever growing number of public and private sector funds, endowments and investment portfolios are choosing to divest from fossil fuels worldwide, including several local government pension funds. MPs have now called for their own funds to be divested.

6.     The recent clarifications of the fiduciary duty of fund managers confirms that they should take into account a range of environmental, social and governance (ESG) issues and have a clear statement of investment policies;

7.     The Avon Pension Fund now uses investment provided by the Brunel Pensions Partnership, which is a leading local government pension partnership offering low carbon investment opportunities.

8.     Staff union Bristol Unison recently reaffirmed their clear support for divestment of the funds from fossil fuels, in  a motion seconded by the Branch Secretary.

 

This council believes

9.     The long term future of the APF is as a fund that is divested from fossil fuels and one that ensures a wide range of investments in renewable energy, energy efficiency technologies, energy storage and smart energy technologies, and other types of investments that will benefit the city and its future residents;

10.     Council recognises that a carbon neutral city will create substantial, valuable new jobs in the future sustainable economy.

11.  That the investment strategy and policies of the APF should be brought into line with this vision of the future inclusive  prosperity and sustainability of the city;

12.  The APF should be leading this process of divestment and diversification, not waiting until the likelihood of stranded assets become more of a risk to the wealth of the fund;

13.  The process of divestment and diversification is also important and should be managed in a way that ensures just transition to new employment, supporting skills development for new sectors and a range of opportunities - with backing from WECA.

 

This council therefore resolves to call on the Mayor

14.  To meet with the head of the Avon Pension Fund to discuss the divestment of funds over the next 5 years and the review of the fund’s ESG policies  

15.  To promote the diversification of the fund into clean technologies that support renewable energy, energy efficiency and energy storage among other investments that are in line with such policies and the city’s goals for 2030;

16.  To liaise with fund members in the city and council unions to explain how this secures future prosperity and pensions income while ensuring a just transition for workers in sectors that will change, and helps achieve a carbon neutral city by 2030.

 

 

3. Motion Supporting Local Shops

Motion to be moved by: Cllr Graham Morris, Conservative, Stockwood Ward

Date of submission: 3^rd July 2019

 

“Council has growing concern over the future vibrancy of many of Bristol’s high streets.

 

Nationally, one study found that we are losing 16 shops per day through closure with an estimated 50,000 jobs lost between January and June in this year alone. Some of the latest casualties include such well-known retail chains as Toys-R-Us, Maplin and most recently Debenhams.

 

This is due to a ‘perfect storm’ of many interlaced factors including (i) spiralling rents; (ii) rising business rates; (iii) increased labour costs; (iv) declining foot-fall; and (v) the choice, convenience and competition provided by the internet.

 

With local authorities more dependent than ever before on retention of business rates to balance their budgets, Council believes it is essential that more is done to support struggling small businesses in secondary or satellite retail areas around the city.

 

The Chancellor’s cut in business rates by one third for two years for small businesses and the creation of a Future High Streets Fund and new High Streets Taskforce is a welcome step in the right direction. 

 

A planned 2% tech-tax targeted at online retail giants should also help to level the playing field between digital shopping outlets and traditional bricks & mortar stores.  The £10m ‘Love our High Streets’ pilot projects by the West of England Combined Authority (WECA) are also welcome.

 

However, even more needs to be done locally.  To this end, Council calls on the Mayor to allocate resources from his capital budget to actually invest in these precincts to make them attractive places to visit.  As one designer has put it, these destinations need to become ‘galleries of experience’ to draw people to them.

 

Consequently, consideration needs to be given to changing the city’s parking strategy/priorities, more free short-term parking provided at these locations, and improved CCTV coverage to increase public safety.

 

Council requests that a report be prepared for Scrutiny which outlines the existing options available for providing temporary business rate relief on particularly hard-pressed retailers. In addition, that this report forms the basis of a submission to the ‘High Streets Fund’ once the full details of the new scheme become available. 

 

Finally, following the outcome of such a review, the Mayor is asked to lobby Ministers to consider a root-and-branch reform of the Business Rates system (which is based on rateable values and ignores important factors such as profit and turnover), to bring it up to date with current economic conditions and in order to save UK retailing.”

 

 

4. Motion on the funding crisis in local schools

Motion to be moved by: Cllr Anthony Negus

Date of Submission: 4^th July 2019

 

This Council notes with concern:

 

That in spite of the introduction of the Conservative Government’s much-heralded National Funding Formula, Bristol’s schools  remain seriously under-funded so risking a good educational start in life for all our children;

 

That there are reports from heads and others that many of our primary schools face going into the red unless urgent additional funding is  allocated; and,

 

That special funds such as those from the Pupil Premium and SEND are being used to keep some schools functioning

 

That the funding crisis is already having a detrimental impact on our children’s education – with heads reporting that they have already cut teachers and teaching assistants in order to make ends meet.

   

Council therefore resolves:

 

To prepare a report consolidating the financial positions submitted by head teachers and governing bodies setting out the funding crisis in local schools; and,

 

To have this report put on the agenda and debated publicly in Full Council or within the appropriate scrutiny commission and,

 

To instruct the Executive Member for Education & Skills to submit this approved report to the Secretary of State for Education and to lobby for urgent additional funding to redress the crisis and to report back to Council on her progress.

 

 

5. Motion to improve decision-making and increase public engagement by developing forms of Deliberative Democracy

Motion to be moved by: Cllr Paula O’Rourke

Date of Submission: 4^th July 2019

 

This Council notes:

 

§  That the Administration has a genuine desire to engage with citizens, as demonstrated by continued support of the Citizens’ Panel and efforts made to promote engagement in consultations on important decisions for the City;

§  That present actions do not go far enough to truly engage all Bristolians. We are not reaching, or actively engaging, the majority of citizens in deprived parts of the City and we respond to the loud voices of the few who fill in consultations or who use Full Council to express their views;

§  That the forms of engagement used presently take citizens’ views but do not allow for input into decision making which does not encourage engagement. Often, people are not given enough information to be fully informed, which undermines the consultation process;

§  That the value of consultations has been undermined by past failures like the Library Consultation in 2017, where citizens were presented with three very limited options and they could not support any one of them;

§  That the majority of the citizenry are not engaged in decision making and feel disenfranchised;

§  That Deliberative Democracy is an umbrella term, of which Citizens’ Assembly is the best known. Citizens’ Assemblies have been used effectively in many countries to solve complex political or social issues and are truly representative, as selection is stratified (like jury service) and people who attend are paid a stipend which validates the action. Citizens’ Jury is a scaled down version of an assembly. Another form of deliberative democracy, used quite extensively in the UK between 2002-2010, is Participatory Budgeting which was shown to improve accountability and allow for the redistribution of funds. Deliberative Polling is an effective way to develop an informed citizenry, as this process takes a stratified group, captures their understanding of a topic, then fully informs them of the issues and once again surveys their opinions. The benefit is that the administration gets the views of citizens who have an holistic understanding of complex problems;

§  That although there is a cost in running deliberative actions, the value of high-quality decisions, based on informed, reasoned debate makes it good value for money and delivers a stronger mandate to the Administration.

 

 

This Council believes:

§  We trust our citizens to make decisions;

§  Deliberative democracy complements consultation and makes it more meaningful. The difference is that a stratified selection is made and this is truly representative of the people;

§  Deliberative processes are not intended for everyday politics and are best used for complex issues which are divisive or where there might be political gridlock;

§  Having been the first council in the country to sign up to be carbon neutral in 2030, we should now be the first council to embrace deliberative democracy;

§  That types of deliberative democracy should be piloted in Bristol, with at least two projects within the next year. Examples could be: devolving some funds to the Area Committees through a Participatory Budget or a Citizens’ Assembly on elements of the paper on Getting to Carbon Neutrality by 2030.

 

This Council proposes:

 

§  That a cross-party group is set up to establish the terms of reference for Bristol’s adoption of  Deliberative Democracy, which would come back to this Council for ratification within three months.

§  That once the terms of reference are agreed, a sum of money (to be decided) will be set aside to fund the actions;

§  That, once the terms are ratified, there will be a trial of at least two projects within the financial year 2020-2021 and I suggest the following:

 

Ø  Citizens’ Assembly on how Bristol should respond to the Climate Emergency

Ø  A participatory budget, using the Area Committees as a delivery method

 

 

 

 

Motions

 

Motion 1 - Bus Franchising for Bristol

 

Councillor Hopkins moved the following motion:

 

Council notes:

1. The distrust and disappointment among residents of Bristol with their bus services.

2. That large numbers of Bristol residents find themselves unable to access work opportunities due to the lacklustre service or find fares taking up a disproportionate amount of their income.

3. That Bristol City Council has no direct control over the routes, timetables or vehicles that bus operators use in the city, but must use its influence to help address these problems.

4. That in recent years congestion has worsened, increasing air pollution within the city leading to estimates of hundreds of deaths every year.

5. That First Bus currently operates an effective monopoly in Bristol which has led to disdain for the people who pay their fares.

6. That due to ill-advised past slashing of the railway network we are overwhelmingly reliant on our bus services as the main means of public transport.

7. That London currently operates a successful bus franchising scheme, with Cambridge and Greater Manchester and others currently developing schemes for the future.

8. That in the Bus Services Act 2017, bus franchising powers were devolved to the mayors of combined authorities.

 

Council believes:

1. That to address all of the above problems there needs to be a fundamental change with buses in Bristol to a system that recognises public transport as a vital service.

2. That a franchising model would allow greater competition within our public transport, making new operators available for local services.

 

Council resolves:

1. To request the Mayor to use his position on the West of England Combined Authority Committee to push for the establishment of a bus franchising system in Bristol, to gain control on behalf of the citizens of Bristol of routes, timetables, fares and emissions.

2. That under a franchising system, all buses operating within the city should run on ultra-low-emission or zero-emission fuels within five years.

 

Councillor Dudd then moved the following amendment:

 

Council notes:

1.      The distrust and disappointment among residents of Bristol with their bus services.

2.      That large numbers of Bristol residents find themselves unable to access work opportunities due to the lacklustre service or find fares taking up a disproportionate amount of their income.

3.      That Bristol City Council has no direct control over the routes, timetables or vehicles that bus operators use in the city, but must continue to use its influence to help address these problems.

4.      That in recent years congestion has worsened, increasing air pollution within the city leading to estimates of hundreds of deaths every year, and the Labour administration has taken action across the board to tackle this, with the Mayor recently meeting with the Minister.

5.      That First Bus currently operates an effective monopoly in Bristol which has led to disdain for the people who pay their fares but, under a franchising model an established economy-of-scale operator still remains the outright favourite.

6.      That due to ill-advised past slashing of the railway network we are overwhelmingly reliant on our bus services as the main means of public transport, though the current administration are pushing forward plans to re-open old and open new stations across the city and region.

7.      That London currently operates a successful bus franchising scheme, though with substantially more powers and resources than Bristol, with Cambridge and Greater Manchester and others currently developing schemes for the future.

8.      That in the Bus Services Act 2017 bus franchising powers were devolved to the mayors of combined authorities; at the time Bristol’s three Labour MPs all pushed for all councils to have these powers, just like Labour-run Nottingham which has award-winning bus services.

9.      The House of Commons’ Transport Select Committee visited Bristol in November 2018 to examine the city’s 40% rise in bus passenger journeys since 2009/10 – and compared to a 40% fall in English metropolitan areas outside of London in the last 25 years.

10.    When Councillor Hopkins and the Lib Dems were in charge of transport, the staggered bus contracts were ended in one go and, through a retendering process, all contracts/routes went back to First and all at a higher cost to the taxpayer.

 

Council believes:

1.      That to address all of the above problems there needs to be a fundamental change with buses in Bristol to a system that recognises public transport as a vital service.

2.      That a franchising model would allow greater competition within our public transport, making new operators available for local services, though franchising also brings significant financial and operational risks.

3.      Municipalisation should also be explored, as Councils should have the option to directly run services for their citizens.

 

 Council resolves:

1.      To request the Mayor to use his position on the West of England Combined Authority Committee to continue to push for the public transport system – buses, trains, and mass/rapid transit – which the people of Bristol need and deserve – and seek for franchising to be properly considered.

2.      To endorse progress which has seen Bristol already secure around 100 biogas buses, repeatedly winning funding to retrofit scores more, and – through the landmark Bus Deal being negotiated by Labour –  take steps to ensure a 100% bio-fuel bus fleet, alongside £20 million of Labour investment in cleaner vehicles for the Council, waste company, and Lord Mayor; alongside investment in bus prioritisation infrastructure, i.e. more bus lanes, junction improvements, traffic/signal light priority etc, to improve the frequency and reliability of services.

 

The amendment was seconded by Councillor Threlfall.

 

Following debate after being put to the vote, the amendment was CARRIED (31 voting for, 16 abstained, 12 against)

 

 

Following further debate of the substantive motion (as amended) the motion was CARRIED (38 voting for, 21 abstained, 0 against)

 

RESOLVED:

 

Council notes:

1.      The distrust and disappointment among residents of Bristol with their bus services.

2.      That large numbers of Bristol residents find themselves unable to access work opportunities due to the lacklustre service or find fares taking up a disproportionate amount of their income.

3.      That Bristol City Council has no direct control over the routes, timetables or vehicles that bus operators use in the city, but must continue to use its influence to help address these problems.

4.      That in recent years congestion has worsened, increasing air pollution within the city leading to estimates of hundreds of deaths every year, and the Labour administration has taken action across the board to tackle this, with the Mayor recently meeting with the Minister.

5.      That First Bus currently operates an effective monopoly in Bristol which has led to disdain for the people who pay their fares but, under a franchising model an established economy-of-scale operator still remains the outright favourite.

6.      That due to ill-advised past slashing of the railway network we are overwhelmingly reliant on our bus services as the main means of public transport, though the current administration are pushing forward plans to re-open old and open new stations across the city and region.

7.      That London currently operates a successful bus franchising scheme, though with substantially more powers and resources than Bristol, with Cambridge and Greater Manchester and others currently developing schemes for the future.

8.      That in the Bus Services Act 2017 bus franchising powers were devolved to the mayors of combined authorities; at the time Bristol’s three Labour MPs all pushed for all councils to have these powers, just like Labour-run Nottingham which has award-winning bus services.

9.      The House of Commons’ Transport Select Committee visited Bristol in November 2018 to examine the city’s 40% rise in bus passenger journeys since 2009/10 – and compared to a 40% fall in English metropolitan areas outside of London in the last 25 years.

10.    When Councillor Hopkins and the Lib Dems were in charge of transport, the staggered bus contracts were ended in one go and, through a retendering process, all contracts/routes went back to First and all at a higher cost to the taxpayer.

 

Council believes:

1.      That to address all of the above problems there needs to be a fundamental change with buses in Bristol to a system that recognises public transport as a vital service.

2.      That a franchising model would allow greater competition within our public transport, making new operators available for local services, though franchising also brings significant financial and operational risks.

3.      Municipalisation should also be explored, as Councils should have the option to directly run services for their citizens.

 

 Council resolves:

1.      To request the Mayor to use his position on the West of England Combined Authority Committee to continue to push for the public transport system – buses, trains, and mass/rapid transit – which the people of Bristol need and deserve – and seek for franchising to be properly considered.

2.      To endorse progress which has seen Bristol already secure around 100 biogas buses, repeatedly winning funding to retrofit scores more, and – through the landmark Bus Deal being negotiated by Labour –  take steps to ensure a 100% bio-fuel bus fleet, alongside £20 million of Labour investment in cleaner vehicles for the Council, waste company, and Lord Mayor; alongside investment in bus prioritisation infrastructure, i.e. more bus lanes, junction improvements, traffic/signal light priority etc, to improve the frequency and reliability of services.

 

Motion 2 – Divestment and Diversification

 

Councillor Fodor moved the following motion

 

This Council notes:

1. In 2015 the Full Council resolved that the Avon Pension Fund (APF) should consider divestment from fossil fuels and diversification into clean technologies like renewable energy, energy efficiency and energy storage;

2. Council agreed that the Mayor should contact Avon Pension Fund and ask for a report on the issue;

3. There is widespread concern from scientists that declared worldwide fossil fuel reserves, if exploited, constitute a threat to the stability of the global climate;

4. There is growing recognition that fossil fuel reserves are therefore a class of asset held by investors which have growing risks of being ‘stranded’ ie left with reducing value due to the fact not all claimed reserves now have the value being imputed to them, due to the need for them to remain in the ground;

5. An ever growing number of public and private sector funds, endowments and investment portfolios are choosing to divest from fossil fuels worldwide, including several local government pension funds. MPs have now called for their own funds to be divested.

6. The recent clarifications of the fiduciary duty of fund managers confirms that they should take into account a range of environmental, social and governance (ESG) issues and have a clear statement of investment policies;

7. The Avon Pension Fund now uses investment provided by the Brunel Pensions Partnership, which is a leading local government pension partnership offering low carbon investment opportunities. 8. Staff union Bristol Unison recently reaffirmed their clear support for divestment of the funds from fossil fuels, in a motion seconded by the Branch Secretary.

 

This Council believes

9. The long term future of the APF is as a fund that is divested from fossil fuels and one that ensures a wide range of investments in renewable energy, energy efficiency technologies, energy storage and smart energy technologies, and other types of investments that will benefit the city and its future residents;

10. Council recognises that a carbon neutral city will create substantial, valuable new jobs in the future sustainable economy. 11. That the investment strategy and policies of the APF should be brought into line with this vision of the future inclusive prosperity and sustainability of the city;

12. The APF should be leading this process of divestment and diversification, not waiting until the likelihood of stranded assets become more of a risk to the wealth of the fund;

13. The process of divestment and diversification is also important and should be managed in a way that ensures just transition to new employment, supporting skills development for new sectors and a range of opportunities - with backing from WECA.

 

This Council therefore resolves to call on the Mayor

14. To meet with the head of the Avon Pension Fund to discuss the divestment of funds over the next 5 years and the review of the fund’s ESG policies

15. To promote the diversification of the fund into clean technologies that support renewable energy, energy efficiency and energy storage among other investments that are in line with such policies and the city’s goals for 2030;

16. To liaise with fund members in the city and Council unions to explain how this secures future prosperity and pensions income while ensuring a just transition for workers in sectors that will change, and helps achieve a carbon neutral city by 2030.

 

 

Councillor Pearce then moved the following amendment.

 

This Council notes:

1.   In 2015, Full Council resolved that the Avon Pension Fund (APF) should consider divestment from fossil fuels and diversification into clean technologies like renewable energy, energy efficiency and energy storage; Council agreed that the Mayor should contact Avon Pension Fund and ask for a report on the issue;

2.   There is widespread concern from scientists that declared worldwide fossil fuel reserves, if exploited, constitute a threat to the stability of the global climate; There is growing recognition that fossil fuel reserves are therefore a class of asset held by investors which have growing risks of being ‘stranded’ i.e. left with reducing value due to the fact not all claimed reserves now have the value being imputed to them, due to the need for them to remain in the ground;   

3.   An ever growing number of public and private sector funds, endowments and investment portfolios are choosing to divest from fossil fuels worldwide, including several local government pension funds. MPs have now called for their own funds to be divested.

4.   The recent clarifications of the fiduciary duty of fund managers confirms that they should take into account a range of environmental, social and governance (ESG) issues and have a clear statement of investment policies;

5.   The Avon Pension Fund now uses investment provided by the Brunel Pensions Partnership, which is a leading local government pension partnership offering low carbon investment opportunities.

6.   Staff union Bristol Unison recently reaffirmed their clear support for divestment of the funds from fossil fuels, in a motion seconded by the Branch Secretary.

7.   The Council’s own ethical investment policy – separate from the APF – which is delivering a considerable return while avoiding organisations engaged in/investments which would worsen de-forestation, fossil fuel extraction, and poor environmental practices.

8.   Since 2016, the APF has enhanced its environmental, social, and corporate governance (ESG) to recognise and assesses climate change risks, undertake annual carbon footprinting studies, and review low carbon indices and the sustainability of assets; in 2017, the APF increased its allocation towards renewable energy infrastructure; in 2019, Councillor Pearce (who sits on the APF committee for the Council) is already arranging a briefing on APF’s ESG, divestment, and exposure for members.

 

This Council believes

9.   The long term future of the APF is as a fund that is divested from fossil fuels and one that ensures a wide range of investments in renewable energy, energy efficiency technologies, energy storage and smart energy technologies, and other types of investments that will benefit the city and its future residents;

10. Council recognises that a carbon neutral city will create substantial, valuable new jobs in the future sustainable economy.

11. That the investment strategy and policies of the APF should be brought into line with this vision of the future inclusive prosperity and sustainability of the city;

12. The APF  is leading this process of divestment and diversification, not waiting until the likelihood of stranded assets become more of a risk to the wealth of the fund; though there is complexity, particularly given fossil fuel companies are increasingly buying up and investing in renewable energy;

13. The process of divestment and diversification is also important and should be managed in a way that ensures just transition to new employment, supporting skills development for new sectors and a range of opportunities - with backing from WECA.

14. Pensions belong to employees, not politicians, and the trustees/APF have a fiduciary duty to APF members. Playing politics with pensions without fully consulting staff is anti-worker and risks failing to understand the crucial need for social and environmental justice to go hand-in-hand.

 

This Council therefore resolves to

14. Ask the Mayor and Councillor Pearce to meet with the head of the Avon Pension Fund to discuss the divestment of funds over the next 5 years and the review of the fund’s ESG policies;  

15. Request party whips encourage all members to attend the APF briefing which Councillor Pearce is organising.

16. To support the Mayor’s promotion of investment in clean technologies that support renewable energy, energy efficiency and energy storage among other investments that are in line with such policies, the City Leap agenda, and the city’s goals for 2030;

17. To liaise with fund members in the city and Council unions if making any changes to their pensions while ensuring a just transition for workers in sectors that will change, and helps achieve a carbon neutral city by 2030.

18.Since the Climate Emergency – declared by 435 Councils throughout the country via the Local Government Association on 2 July, following Marvin Rees’ motion – extends well beyond Bristol’s borders, the administration should continue to encourage the Brunel Pension Partnership (valued at around £30 billion, of which the APF is part) and the Local Authority Pension Fund Forum (with combined assets worth over £200 billion) to effect change in the behaviour of its investee businesses through a process of active engagement with those businesses via the LAPFF, rather than “walking away” and surrendering all influence with companies’ managements.

 

The amendment was seconded by Councillor Dudd.

 

Following debate, upon being put to the vote, the amendment was CARRIED (43 voting for, 2 abstained, 13 against)

 

Following further debate of the substantive motion (as amended) the motion was CARRIED  (38 voting for, 21 abstained, 0 against)

 

RESOLVED:

 

This Council notes:

1.   In 2015, Full Council resolved that the Avon Pension Fund (APF) should consider divestment from fossil fuels and diversification into clean technologies like renewable energy, energy efficiency and energy storage; Council agreed that the Mayor should contact Avon Pension Fund and ask for a report on the issue;

2.   There is widespread concern from scientists that declared worldwide fossil fuel reserves, if exploited, constitute a threat to the stability of the global climate; There is growing recognition that fossil fuel reserves are therefore a class of asset held by investors which have growing risks of being ‘stranded’ i.e. left with reducing value due to the fact not all claimed reserves now have the value being imputed to them, due to the need for them to remain in the ground;   

3.   An ever growing number of public and private sector funds, endowments and investment portfolios are choosing to divest from fossil fuels worldwide, including several local government pension funds. MPs have now called for their own funds to be divested.

4.   The recent clarifications of the fiduciary duty of fund managers confirms that they should take into account a range of environmental, social and governance (ESG) issues and have a clear statement of investment policies;

5.   The Avon Pension Fund now uses investment provided by the Brunel Pensions Partnership, which is a leading local government pension partnership offering low carbon investment opportunities.

6.   Staff union Bristol Unison recently reaffirmed their clear support for divestment of the funds from fossil fuels, in a motion seconded by the Branch Secretary.

7.   The Council’s own ethical investment policy – separate from the APF – which is delivering a considerable return while avoiding organisations engaged in/investments which would worsen de-forestation, fossil fuel extraction, and poor environmental practices.

8.   Since 2016, the APF has enhanced its environmental, social, and corporate governance (ESG) to recognise and assesses climate change risks, undertake annual carbon footprinting studies, and review low carbon indices and the sustainability of assets; in 2017, the APF increased its allocation towards renewable energy infrastructure; in 2019, Councillor Pearce (who sits on the APF committee for the Council) is already arranging a briefing on APF’s ESG, divestment, and exposure for members.

 

This Council believes

9.   The long term future of the APF is as a fund that is divested from fossil fuels and one that ensures a wide range of investments in renewable energy, energy efficiency technologies, energy storage and smart energy technologies, and other types of investments that will benefit the city and its future residents;

10. Council recognises that a carbon neutral city will create substantial, valuable new jobs in the future sustainable economy.

11. That the investment strategy and policies of the APF should be brought into line with this vision of the future inclusive prosperity and sustainability of the city;

12. The APF  is leading this process of divestment and diversification, not waiting until the likelihood of stranded assets become more of a risk to the wealth of the fund; though there is complexity, particularly given fossil fuel companies are increasingly buying up and investing in renewable energy;

13. The process of divestment and diversification is also important and should be managed in a way that ensures just transition to new employment, supporting skills development for new sectors and a range of opportunities - with backing from WECA.

14. Pensions belong to employees, not politicians, and the trustees/APF have a fiduciary duty to APF members. Playing politics with pensions without fully consulting staff is anti-worker and risks failing to understand the crucial need for social and environmental justice to go hand-in-hand.

 

This Council therefore resolves to

14. Ask the Mayor and Councillor Pearce to meet with the head of the Avon Pension Fund to discuss the divestment of funds over the next 5 years and the review of the fund’s ESG policies;  

15. Request party whips encourage all members to attend the APF briefing which Councillor Pearce is organising.

16. To support the Mayor’s promotion of investment in clean technologies that support renewable energy, energy efficiency and energy storage among other investments that are in line with such policies, the City Leap agenda, and the city’s goals for 2030;

17. To liaise with fund members in the city and Council unions if making any changes to their pensions while ensuring a just transition for workers in sectors that will change, and helps achieve a carbon neutral city by 2030.

18.Since the Climate Emergency – declared by 435 Councils throughout the country via the Local Government Association on 2 July, following Marvin Rees’ motion – extends well beyond Bristol’s borders, the administration should continue to encourage the Brunel Pension Partnership (valued at around £30 billion, of which the APF is part) and the Local Authority Pension Fund Forum (with combined assets worth over £200 billion) to effect change in the behaviour of its investee businesses through a process of active engagement with those businesses via the LAPFF, rather than “walking away” and surrendering all influence with companies’ managements.