Meanwhile, almost 94% of the Anglo-Dutch firm’s shareholders also voted against a proposal tabled by an environmental activist group demanding the oil major sets and publishes annual targets to reduce carbon emissions.
The vote is a setback for climate activists who are increasing pressure on global oil companies, including USA firms Exxon Mobil XOM.N and Chevron CVX.N , to become more ambitious in helping combat climate change.
In other news, the Anglo-Dutch oil major managed to avoid a shareholder revolt over the pay package of its chief executive, but saw investors reject a proposal related to carbon emission targets at the company’s annual general meeting (AGM) yesterday. Roughly 5 percent of voters abstained.
City A.M. quoted Shell’s chief executive Ben van Beurden as noting that the resolution was “an unreasonable task”.
Shell said binding emissions reduction targets would mean “tying its hands” and weakening the company because it would be forced to reduce production and sales.
A total of 93.2 per cent of Shell shareholders approved the directors’ remuneration report while 92.3 per cent voted in favour of its future remuneration policy.
According to Reuters, Van Beurden’s speech at Tuesday’s AGM began with a 30 minute presentation on Shell’s initiatives to help lower carbon emissions.
Last week, investors in Shell’s rival BP approved an $11.6m (£9m) pay package for chief executive Bob Dudley after the oil major cut his pay in response to a shareholder revolt past year.
But this time out, investment group Pensions & Investment Research Consultants (Pirc), which represents around 1% of shareholders, had urged investors to reject both the directors’ pay previous year and Shell’s future remuneration policy. All comments are subject to editorial review.
[Copyright By Elias Hubbard]