The Gates Foundation Trust’s annual filing for 2024 has revealed a significant investment of $254 million (£188.5 million) in fossil fuel companies, including notable names like Chevron, Shell, and BP. This marks a 21% increase in fossil fuel investments since 2016, reaching the highest level observed since 2019.
Back in 2013, the trust’s investments in fossil fuels approached nearly $1.4 billion (£1 billion). A global movement led by climate activists, students, and charities emerged in 2015, urging foundations to divest from fossil fuels, creating pressure on high-profile donors such as Bill Gates.
In March 2015, the Guardian initiated a campaign aimed at encouraging the Wellcome Trust and the Gates Foundation to rethink their investments in companies that continue to pursue fossil fuel extraction. Gates himself acknowledged this activism in his 2021 book, “How to Avoid a Climate Disaster,” admitting that while he understood the activists’ motivations, he remained skeptical that merely divesting would effectively combat climate change or support vulnerable communities.
While the trust initially made strides in reducing its fossil fuel holdings—offloading extensive stakes in BP and ExxonMobil and lowering investments to about $260 million (£192.9 million) by 2015—recent findings indicate a reversal of sorts. The value of holdings in various fossil fuel companies has risen markedly even as Gates publicly claimed divestment in 2019. For instance, the trust’s stake in Glencore has surged from $5.7 million (£4.2 million) in 2015 to $14.1 million (£10.4 million) in 2024, while its BP holdings increased from $8.7 million (£6.4 million) to $24.2 million (£17.9 million).
Gates has expressed a personal reluctance to hold fossil fuel stocks, stating his divestment from oil and gas companies occurred in 2019. By the end of that year, the foundation had reduced its fossil fuel investments to $133 million (£98.7 million). However, that decline did not persist, as investments began to climb again, notably including a new $139 million (£103.1 million) position in Inpex in 2024, a significant increase from $20 million (£14.8 million) in 2020.
Moreover, the trust’s investments in BP and Equinor, which faced backlash regarding allegations of greenwashing, highlight a complex relationship with the fossil fuel industry. Alarmingly, the companies supported by the Gates Trust were collectively responsible for more emissions than the combined totals of Russia, Japan, and Germany for the year 2023. This raises serious questions about the effectiveness of the foundation’s investment strategies and its commitment to claiming divestment.
As the discussion around climate change and investment responsibility continues to grow, the Gates Foundation’s approach will be closely monitored by activists and the public alike, perhaps prompting a reevaluation of ethical investment strategies moving forward.