Oil major announced a “fundamentally reset strategy,” yet does not include it on the AGM agenda
PRESS RELEASE, March 6
BP will not ask shareholders to vote on its “fundamentally reset strategy”, the notice of meeting published today shows.
“BP denies shareholders a vote on its strategy reset,” responds Mark van Baal of Follow This, a group of green shareholders in Big Oil.
In 2022, BP asked shareholders to vote to pursue their energy transition strategy (resolution 3).* “Now the board has unilaterally decided to change the strategy, notably, scrapping climate aims, they suddenly no longer ask shareholder support.”
“BP’s disregard for shareholders will not sit well with a sizable number of investors who want the company to continue their transition.”
“Apparently, BP is afraid of its shareholders.”
“Voting at AGMs is the only formal power shareholders have. We wouldn’t be surprised if shareholders vote against re-elections of board members, which is the only way to signal their concerns that BP leaves them with.”
Follow This and BP
In 2020, Follow This withdrew its climate resolution after CEO Bernard Looney promised to set emissions reduction targets, the key ask of the resolution, Follow This and BP announced in a joint press release. In 2021, 20% of shareholders including BlackRock voted for the Follow This resolution to urge BP to improve its emissions reduction targets (15% in 2022 and 17% in 2023).
* notably, in the 2022 notice of meeting BP announced: “We intend to monitor these developments and to offer a further shareholder vote if we believe it is in the company’s interests to do so – potentially in 2025.”
Read our response to BP’s strategy reset here.
