As recently stated by many articles, such as the one published by the Guardian (https://www.theguardian.com/business/2021/may/26/exxonmobil-and-chevron-braced-for-showdown-over-climate), many oils giant are currently facing “shareholder rebellions from climate activists and disgruntled institutional investors over their failure to set a strategy for a low-carbon future. Exxon failed to defend its board against a coup launched by dissident hedge fund activists at Engine No. 1 which successfully replaced two Exxon board members with its own candidates to help drive the oil company towards a greener strategy. Meanwhile, a majority of Chevron Chareholders rebelled against the company’s board by voting 61% in favour of an activist proposal from – Dutch campaign group Follow This – to force the group to cut its carbon emissions.”
ExxonMobil and Chevron are not the only ones who have been impacted by this desire for stronger commitments. Last week, Royal Dutch Shell submitted its strategy to reduce its CO2 emissions to the vote of its shareholders. And today, Total will have to convince investors that it is doing enough for the climate.
For all these companies, strong, proactive and effective commitments to protect and regenerate the planet are clearly becoming as important as the value of the products and services they are developing. Let’s also note that shareholders (and consumers) are not the only ones to act against these poor policies. Last April, New York City filed (again) a lawsuit against ExxonMobil, Royal Dutch Shell and BP, accusing them of “misleading” consumers by “exaggerating their investments in clean energy.”
More than ever, every enterprise, even the stronger and older ones, has to change to be a force for good. To discover how KINDNESSforBusiness could help you through this process, do not hesitate to get in touch!
