"Rest super fund commits to net-zero emission investments after Brisbane man sues", 3 November 2020

A 25-year-old man from Brisbane has successfully sued one of Australia's biggest super funds over its handling of climate change, forcing it to commit to net-zero emissions for its investments by 2050.

In 2018, Mark McVeigh sued Rest, his superannuation fund, in the Federal Court after it failed to provide him with information on how it was managing the risks of climate change.

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[...] Rest agreed its trustees have a duty to manage the financial risks of climate change.

Because the case was settled out of court, the outcome doesn't carry the same weight as a legal precedent decided in court. But Mr McVeigh's lawyer, David Barnden, head of Equity Generation Lawyers, said the case still sets an important precedent globally.

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In the statement, Rest said that "climate change is a material, direct and current financial risk to the superannuation fund".

Rest went further and agreed to manage its investments so they would be responsible for net-zero greenhouse gas emissions by 2050.

It also agreed to immediately begin testing its investment strategies against various climate change scenarios, publicly disclose all its holdings and advocate for companies it invests in to comply with the goals of the Paris Agreement, which aims to stop global warming at 1.5C.

The case was the first time an Australian superannuation fund had been sued for not doing enough on climate change.

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In its statement, Rest said: "Rest agrees with Mr McVeigh to continue to develop its management processes for dealing with the financial risks of climate change on behalf of its members."

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