A shareholder activist group says some superannuation funds have been buying shares in Australia's oil and gas giants while claiming to be going net zero.
"Why has AustralianSuper changed its tune and bought millions of shares in climate pariah Woodside," Market Forces campaigner Brett Morgan said on Tuesday.
Australia's biggest super fund AustralianSuper has increased its stake in Woodside Energy in a common account for members - the "balanced" option - by more than 14 times, the analysis by Market Forces found.
"AustralianSuper's move flies in the face of its commitment to net zero by 2050 and the Paris climate goals," he said.
Market Forces said Colonial First State's (CFS) FirstChoice wholesale growth option has upped its Woodside stake by more than six times, according to public disclosures of holdings at June 30 versus December 31.
Hostplus' balanced option significantly increased its stake in Santos, with a 16.1 per cent jump in shares.
But 11 out of the 14 super funds analysed owned fewer shares in oil and gas producer Santos in their default investment options, according to the study.
In their default investment options, AustralianSuper has dumped 41.3 per cent of its Santos shares, while UniSuper has sold 26.8 per cent and Hesta has unloaded 20.5 per cent.
These three funds have together sold more than 14.1 million Santos shares from default accounts.
The analysis estimates UniSuper's balanced option has sold nearly three-quarters of its Woodside shares and HESTA's balanced growth option has sold more than one-fifth of its Woodside shares, including bonus shares received after Woodside's acquired BHP's petroleum arm.
"This massive fire-sale of Santos and Woodside shares by some of the biggest super funds in the country is great news and a tribute to members who are demanding an end to investment in companies expanding oil and gas," he said.
But members have been reporting concerns to Market Forces about UniSuper's self-imposed cap on fossil fuel investment, which could see the fund more than double its investments in oil and gas companies, he said.
AustralianSuper, UniSuper, Hostplus and CFS have committed to net zero portfolio emissions by 2050.
