According to Yahoo News, the Rockefeller Foundation, established in 1913 by Standard Oil tycoon John D. Rockefeller, announced its goal to make its $6 billion endowment net zero emissions by 2050. This makes it the largest private foundation in the US with such a target. Rockefeller follows other US institutions, including Harvard University, which pledged in 2020 to get its $50 billion-plus endowment to net zero on the same timeline.
The foundation committed to divest from fossil fuels three years ago. This next step is pushing for greater decarbonization through both direct investments and influence, according to President Rajiv Shah. Since Shah took the helm in 2018, Rockefeller has made climate change and the energy transition a core mission and has focused on boosting renewable energy deployment in emerging economies. In 2021, for example, it partnered with the furniture giant Ikea on a $1 billion initiative to fund solar and wind projects in developing nations.
The foundation will make its still-evolving process for reaching net zero transparent, so that others can follow along as it learns, said Chun Lai, chief investment officer. There are three paths for Rockefeller to leverage its money into broader action, Lai said. The first is through money managers, as the foundation works with hundreds of independent managers. Second, the foundation will make direct investments in companies that offer climate change solutions. And third, it will set benchmarks to measure progress toward its goals and share these with other investors, in hopes that it can persuade them to join in its quest.