NYC To Make $4 Billion Worth Of Green Investments By 2021

NEW YORK — Even the green is going green. New York City's pension funds plan to invest $4 billion over the next three years in renewable energy, energy efficiency and other "climate change solutions" in an effort to put the city's money where its mouth is on environmental issues, officials announced Thursday.

That amount will account for 2 percent of the city's $195 billion pension portfolio, a first for an American city, Mayor Bill de Blasio said. The funds will aim to double their existing $2 billion investment in such green interests, but each pension fund's board will still review the specific investments, the mayor's office said.

"We're not just investing in solar, we're not just investing in hydro, we're not just investing in wind power and building retrofits," de Blasio, a Democrat, said at a news confernece. "We're investing in momentum for change."

The green investments will build on the city's plans to divest $5 billion in pension money from more than 190 fossil fuel companies within five years. De Blasio announced that effort in January alongside a lawsuit against five big oil companies — which was a federal judge reportedly dismissed in July.

City officials argue the funds are fulfilling their fiduciary responsibility to address the risks posed by climate change. Other cities could have a big environmental impact if they made commitments similar to New York's, de Blasio said — half the homes in the U.S. could be converted to solar power if the nation's top 50 pension funds invested 2 percent of their portfolios in climate solutions.

The announcement came a week after a massive march urging officials to fight climate change drew more than 3,000 people to the streets of Lower Manhattan. De Blasio and London Mayor Sadiq Khan also announced on Monday an international network aiming to expand fossil fuel divestment among cities.

Environmental advocates praised the city's move.

"As hurricanes sweep through the east coast and wildfires engulf the west coast, we will work for investments in community-led climate solutions that protect and support those most vulnerable to climate impacts," May Boeve, the executive director of 350.org, said in a statement.

(Lead image: Photo from Shutterstock)