Impact

In March 2019, Shell laid out the concrete details behind a plan, announced in conjunction with institutional investors participating in Climate Action 100+, to reduce the Net Carbon Footprint (NCF) of its energy products. The highlights include a first three-year emissions reduction target covering all emissions, from extraction to end use of products; immediately tying remuneration of the top 150 executives to delivery of the target; and committing to set a further three-year NCF target in 2020.

Shell is not alone - in February, BP management recommended shareholders support a resolution aligning the company's strategy to the Paris Climate Accord, while a major global mining company, Swiss-based Glencore, agreed to cap its coal production at current levels and align with the Paris Climate Accord as part of the transition to a low-carbon economy. These announcements show that the kind of economic transformation we need is possible and already underway, even for companies in high-emitting sectors.

How Progress Was Made

These decisions were the result of effective pressure by the Climate Action 100+ coalition. Since its launch in December 2017, this global investor-led coalition of over 320 investors - with over $33 trillion in assets under management between them - have been directly engaging companies to reduce greenhouse gas emissions and improve both governance and transparency on climate impacts.

IEN Members Taking Action

What’s Next?

Learn more about current investor actions and join the coalition at climateaction100.org.

Take a look at other approaches to shareholder engagement in IEN's Intentionally Designed Endowment Roadmap.