Raise Your Voice for Climate Action – It Works
We’ve been talking a lot about using divestment to show your disapproval of the way some companies do business. But there’s another way to send a message that they need to change their ways. Many shareholders, rather than divesting, are using their influence to challenge corporations to take positive action. This Guardian article tells how a group of Shell investors filed a resolution requiring the oil giant to test its business model against global emissions targets. The resolution also included commitments to invest in clean energy. Shell is now backing that resolution, and BP just announced that they are backing a similar resolution asking them to disclose their climate risk and address the feasibility of continued fossil-fuel exploration.
Fossil-fuel companies aren’t the only ones feeling the pressure – defense contractor Northrop Grumman recently severed ties with the conservative lobby group ALEC, in response to a resolution filed by a group of nuns in Fond du Lac, Wisconsin. These success stories show how powerful climate action can be, and how many different forms it can take. For more inspiration and resources for taking the lead on climate solutions, join our MomentUs initiative.
Damian Carrington, contributor to the Guardian
Shell is set to confront the risk that climate change may pose to its future, after backing a resolution from activist shareholders. The move came on the same day it announced $15bn (£10bn) in cost cutting due to plummeting oil prices and said it wanted to resume drilling for oil in the Arctic.
The resolution, filed by 150 investors who control hundreds of billions of pounds, requires the oil major to test whether its business model is compatible with the pledge by the world’s nations to limit global warming to 2C.
The 2C target means only a quarter of existing, exploitable fossil fuel reserves are burnable, according to a series of recent analyses. That implies trillions of dollars of oil, gas and coal held by investors could become worthless and that continuing exploration for fossil fuels may be pointless.
Image credit: Daniel Lynch/Newscast