Investor in British airports demands greener flight plan

BRITISH airports are coming under pressure from one of the industry’s biggest investors not to return to pre-pandemic flying patterns as the drive to cut carbon emissions gathers pace.

Ontario Teachers’ Pension Plan, which owns stakes in London City, Bristol and Birmingham airports, has pledged to “reduce demand for fossil fuels and build a sustainable economy”.

Insiders said the £130bn retirement fund, which also owns National Lottery operator Camelot and a property development on the former BBC site in White City, would seek to influence the airports’ strategy rather than sell its stakes.

A source said: “Divestment will only pass the problem on.”

Ahead of the UN’S Cop26 climate change gathering in Glasgow in six weeks’ time, the pension fund wants to reduce carbon emissions across its investment portfolio by 45pc by 2025, and 67pc by 2030. Jo Taylor, the chief executive, said: “As an active, global investor, we play a critical role in helping accelerate the transition to a netzero economy.”

Airport strategies could include incentivising airlines to run services on sustainable aviation fuel, more fuel-efficient aircraft, or investing in electric planes.

Billionaire investor Sir Christopher Hohn, dubbed the “green hedgie” over his donations to Extinction Rebellion, pressured Spanish airports operator Aena to put its climate change action plan to the shareholder vote a year ago.

The aviation industry is pushing ahead with reducing its carbon footprint after facing fierce criticism from the likes of climate change campaigner Greta Thunberg and the so-called flight-shaming movement.

France has banned domestic flights where the journey can be completed by rail in under two-and-half hours.