Gates Foundation Trust’s Fossil Fuel Investments Surge to $254 Million

The Gates Foundation Trust has significantly increased its investments in fossil fuel companies, with recent filings revealing a total of $254 million (£188.5 million) allocated to firms such as Chevron, Shell, and BP. This marks a 21% increase in fossil fuel holdings since 2016, reaching levels not seen since 2019. The annual filing for 2024 has raised eyebrows, particularly in light of past commitments to reduce such investments.

In 2013, the trust had nearly $1.4 billion (£1 billion) invested in fossil fuels. Following a global campaign initiated in 2015 by climate activists, students, and charities, there were widespread calls for foundations to divest from fossil fuels. This movement gained momentum following a campaign by the Guardian that urged organizations like the Gates Foundation Trust to reconsider their financial support for fossil fuel companies.

In his 2021 book, *How to Avoid a Climate Disaster*, Bill Gates acknowledged the pressure from activists and the media. He stated, “I understood why the Guardian had singled out our foundation and me. I also admired the activists’ passion.” Despite this, Gates expressed skepticism about the effectiveness of divestment alone in combating climate change, asserting that such actions would not sufficiently address the needs of impoverished communities reliant on fossil fuels.

Over the years, the trust has made strides in reducing its fossil fuel holdings. By 2015, it had significantly decreased its investments, selling off most of its $187 million (£138.7 million) in BP stocks and $824 million (£611.6 million) in ExxonMobil shares. By the end of that year, the trust’s fossil fuel investments had dropped to $260 million (£192.9 million).

However, this downward trend has since reversed. The trust’s investment in Glencore increased to $14.1 million (£10.4 million) in 2024, up from $5.7 million (£4.2 million) in 2015. Similarly, its holdings in BP rose to $24.2 million (£17.9 million) from $8.7 million (£6.4 million) during the same period. Investments in Occidental Petroleum also expanded, increasing to $7.9 million (£5.8 million) from just $23,529 (£17,464). Some of this growth is attributed to rising stock prices rather than new investments.

Gates has publicly stated his desire to divest from fossil fuel stocks, expressing concerns about profiting from companies that delay the development of zero-carbon alternatives. In 2019, he claimed to have divested all of his direct holdings in oil and gas companies, aligning with the trust’s management decisions. By the end of 2020, the trust’s fossil fuel investments had further declined to $133 million (£98.7 million).

Despite these reductions, recent investments suggest a renewed interest in fossil fuels. Notably, the trust’s stake in Inpex surged to $139 million (£103.1 million) in 2024, a sevenfold increase from $20 million (£14.8 million) in 2020. Additionally, the trust invested heavily in BP and Equinor, both of which faced shareholder challenges over allegations of greenwashing.

Alarmingly, companies in which the Gates Trust invested in 2023 were reported to be responsible for more emissions than Russia, Japan, and Germany combined that year. This statistic raises critical questions about the implications of the trust’s fossil fuel investments and the authenticity of its past divestment claims.

The narrative surrounding the Gates Foundation Trust’s fossil fuel investments underscores the complexities of balancing financial interests with ethical considerations in the fight against climate change. As the conversation evolves, the actions of the trust will continue to be scrutinized in light of its substantial financial power and influence.

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