A LOCAL government pension fund managed by Torfaen Council has invested over £149million into the fracking industry, despite a temporary ban on fracking in Wales.

The Greater Gwent Pension Fund , whose members include staff from Torfaen, Blaenau Gwent, and Caerphilly County Borough Councils, Monmouthshire County Council and Newport City Council, has invested the most in fracking of all the Welsh local government pension funds.

There is a temporary ban on fracking in Wales, and the Welsh Government are currently consulting on their proposed position, which is to deny any new licenses for fracking in Wales when the power over these licences is devolved in October.

But the ‘Divest Fracking; how UK councils are banking on dirty gas’, report reveals that Welsh councils still oversee pension funds that are investing heavily in companies with huge global fracking operations.

Companies in which the Greater Gwent Pension Fund invests are fracking in Argentina, USA, Canada, Australia, China and Oman. The companies involved include BP and Royal Dutch Shell.

New data, released by Platform, Friends of the Earth and 350.org, reveals that Welsh councils invest a total of £600, 421, 640 in fracking companies.

Of these councils, Greater Gwent (Torfaen) and Dyfed are the Welsh local government pension funds with the highest investment in fracking companies. Greater Gwent and Dyfed invest £149,930,309 and £130,721,187 respectively in fracking companies.

In March 2018, Monmouthshire council unanimously voted to pass a motion calling on the Greater Gwent Pension Fund to divest from fossil fuel companies.

Cllr Martyn Groucutt, from Monmouthshire County Council said: “It’s very disappointing that Welsh council pension funds are investing huge amounts in fossil fuel industries, including money that will go to developing fracking.

“While our communities in Wales might not be directly affected by fracking, we firmly believe that we need to set a clear marker that clarifies that we should be investing in renewable energy. We should never be supporting forms of energy that threaten the world with the potential for catastrophe through global warming."

Friends of the Earth Cymru spokesperson Bleddyn Lake said: “At exactly the same time as the Welsh Government is proposing to effectively kill off any prospects of fracking in Wales, the news that Welsh Local Authority Pension Funds are investing money in companies who continue to frack in other countries around the world is shocking.

“Increasing extreme weather events around the globe show that climate change is really taking hold so we must all do all we can to reduce our climate emissions. Welsh councils won’t be faced with fracking applications in their areas when the effective ban on fracking comes into Wales, so they shouldn’t be profiting from fracking in other people’s back yards. We need to see a clear commitment from them to remove all investments, direct or indirect, from fossil fuel companies.”

Torfaen Council have been contacted for comment.