7.2.6 Divestment policy
Metric: University measures towards affordable and clean energy
Have a policy on divesting investments from carbon-intensive energy industries notably coal and oil.
Prince of Songkla University (PSU) has incorporated fossil-fuel divestment and responsible investment principles into its institutional sustainability framework. These measures support the University’s transition toward a low-carbon economy and complement its wider commitment to greenhouse gas reduction and clean energy.
Fossil-Fuel Divestment Commitment
Under the Prince of Songkla University Net Zero Emission Policy B.E. 2566 (2023), PSU includes divestment from organisations with substantial reliance on coal and oil among its measures for reducing other indirect greenhouse gas emissions.
This commitment is part of a broader university policy that promotes improved energy and resource efficiency, reduced dependence on fossil fuels, and increased use of clean and renewable energy.
Responsible and Sustainable Investment Considerations
PSU also integrates environmental, social and governance (ESG) considerations into its financial investment decision-making. Its sustainable investment framework is designed to support responsible and transparent investment practices and applies criteria to both direct and indirect investments.
Among these criteria, PSU seeks to avoid investment in companies engaged in fossil-fuel-related energy businesses unless such companies demonstrate a clear plan or active transition toward clean-energy operations. The framework therefore extends the University’s low-carbon commitment beyond its own operations to the consideration of environmental impacts associated with financial investment decisions.
Investment Governance and Review
PSU’s sustainable investment approach also includes governance and monitoring mechanisms. Annual financial investment reports under the sustainable investment framework are submitted to the University’s Asset Management Committee, and the policy is reviewed alongside the University’s investment plan or when deemed appropriate by the Committee.
These processes provide a basis for incorporating environmental considerations into investment governance and for strengthening alignment between PSU’s financial decisions and its sustainability commitments.
Supporting the Transition to a Low-Carbon Economy
By combining its formal Net Zero Emission Policy with responsible investment criteria, PSU establishes an institutional basis for reducing financial exposure to carbon-intensive energy activities and encouraging investment decisions that are more consistent with clean-energy transition pathways.
PSU continues to strengthen the implementation and monitoring of these principles as part of its broader carbon-management, responsible-investment and sustainability agenda.