All Down to the Pensions?

Some UK MPs are warning that pension schemes need to 'cushion' the economic effects of the country's net zero carbon plan (https://www.theguardian.com/environment/2021/oct/20/mps-urge-pension-schemes-cushion-economic-effects-uk-net-zero-plan). The administrators of pension funds have a mandate to maximise returns for their scheme's members. The MPs are worried that some substantial funds may quickly divest from share-holdings in industries (like steel production) characterised by high fossil fuel use. They maintain that investment is needed to update equipment and develop new technologies to deal with the 'green' transition. Without the financial support, such industries may be 'wiped out', leaving sections of the UK as economic wasteland. This is essentially what happened in the Thatcher years, when regions dependent on coal mining were abandoned to their fate. It is argued that, the UK will not get to carbon zero by 2050, without public support in all regions. The administrators of the pension funds could, however, be placed in a really difficult bind. There are already pressures from the membership of some schemes, to sell their pension's shares in petrochemical companies etc.