SEC throws out investor proposal pushing Exxon Mobil to reduce greenhouse gas emissions

The Securities and Exchange Commission has allowed Exxon Mobil to block a shareholder proposal requiring the oil giant to set targets to substantially reduce its greenhouse gas emissions.

The proposal called for the company to disclose greenhouse gas targets aligned with the 2015 Paris climate agreement effort to keep average global temperature increases to well below 2 degrees Celsius, a goal some experts contend is unattainable.

The shareholder community has increasingly pressured publicly traded firms to assess climate change risk as the U.S. government shies away from climate change regulation. President Donald Trump announced in June 2017 that the United States will withdraw from the Paris deal, though it cannot formally do so until November 2020.Exxon had contended the resolution was misleading and would interfere with management responsibilities.

The SEC said in its decision letter Tuesday that the requirement would “micromanage” the company and “impose specific methods for implementing complex policies in place of the ongoing judgments of management as overseen by its board of directors.”

One group of investors who supported the resolution represented $9.5 trillion in assets under management.

Source: SEC throws out investor vote pushing Exxon Mobil to reduce greenhouse gas emissions

One Comment Add yours

  1. Micromanaging my ass. Thankfully, shareholders at will have the opportunity to vote at Ross Stores in May. Jantz Management LLC, a Boston-based responsible quantitative investment firm, is asking for your affirmative vote on Ross Stores resolution #4.

    Resolved: The shareholders request that the Board of Directors of Ross Stores (the “Company”) prepare a climate change report to shareholders by November 1, 2019 that describes how the Company is aligning its long-term business strategy with the projected long-term constraints posed by climate change, and describing medium- and long-term goals for GHG reduction. The report should be prepared at reasonable expense and may exclude confidential information.

    Liked by 1 person

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