Fife Council has been urged to pull millions of pounds worth of pension fund investment from fossil fuels.
Environmental organisation Friends of the Earth (FoE) Scotland claimed pension money was fuelling environmental destruction and should be redirected to projects such as housing and clean energy.
The body claimed Fife Council has £95 million invested in fossil fuels, a figure disputed by the local authority, and said international action on climate change will leave these investments worthless and damage any funds exposed to them.
Research by FoE Scotland shows 5.2% of the Fife pension fund is invested in fossil fuels, and Ric Lauder, campaign manager, said: “Communities around the world are calling for an end to the environmental destruction that comes with coal mining, fracking and deep sea drilling. Our pension money shouldn’t be fuelling this damage.”
Councillor Willie Campbell, chairman of Fife Council’s superannuation and pensions sub-committee, said: “We don’t recognise the £95 million figure that FoE has quoted and would welcome the opportunity to speak to them to discuss this.
“However, the superannuations and pensions sub-committee works to a set of investment principles.
“These are in place to ensure investment managers consider the social, environmental and ethical policies of companies in which they invest.
“Investment managers are expected to enter into dialogue with companies to pursue socially responsible business practices.”
Mr Campbell added that council investments are “reviewed on an ongoing basis”.