The University of Dayton, a leading Catholic university and the largest private university in Ohio, is divesting its $670 million endowment from fossil fuels.
Bill McKibben, co-founder of the environmental action group 350.org, had praise for the decision: “Earlier this year, Pope Francis said ‘if we destroy Creation, Creation will destroy us. It’s very good news to see Catholic institutions starting to put his wisdom into effective practice, and stand up to the powers that are trying to profit at the expense of all who depend on the proper working of this good earth.”
University President Daniel J. Curran said the decision was consistent with Catholic social teachings, the school’s Marianist values and a campuswide policy promoting sustainability initiatives. “We cannot ignore the negative consequences of climate change, which disproportionately impact the world’s most vulnerable people,” Curran said earlier this month. “Our Marianist values of leadership and service to humanity call upon us to act on these principles and serve as a catalyst for civil discussion and positive change that benefits our planet.”
The university is the first major Catholic institution to join the divestment campaign and, at $670 million, the largest endowment yet to fully divest from the 200 fossil fuel companies that hold the largest coal, oil and gas reserves.
Stanford University recently divested its $18.7 billion endowment from coal companies, but is still considering divesting from oil and gas.
The University of Dayton’s divestment is planned to occur in phases. The university will initially eliminate fossil fuel holdings from its domestic equity accounts. The university then will develop plans to eliminate fossil fuel from international holdings, invest in green and sustainable technologies or holdings, and restrict future investments in private equity or hedge funds whose investments support fossil fuel or significant carbon-producing holdings.
Michael Galligan-Stierle, president of the Association of Catholic Colleges and Universities, said, “We applaud the University of Dayton for taking this step as perhaps the first U.S. Catholic university to divest from fossil fuels. This is a complex issue, but Catholic higher education was founded to examine culture and find ways to advance the common good. Here is one way to lead as a good steward of God’s creation.”
The announcement came in the same month that President Barack Obama endorsed the growing divestment movement in a speech at the University of California-Irvine. There, the president told students, “You need to invest in what helps, and divest from what harms.”
More than a dozen universities or colleges have committed to fossil fuel divestment. So have more than 20 cities, 27 private foundations and more than 30 churches, congregations, or dioceses.