PARIS (Reuters) – A group of Netherlands-based investors has filed a resolution ahead of TotalEnergies’ May 25 shareholder meeting to demand the French oil major’s emissions targets are consistent with the Paris Climate Agreement.
The U.N. accord, agreed in Paris in December 2015, demands its signatories collectively limit greenhouse gas emissions to keep the temperature rise “well below” 2.0 degrees Celsius (3.6 Fahrenheit) this century.
It also promised countries would “pursue efforts” to keep the rise below 1.5C (2.7F), which scientists say would help to avert some of the most catastrophic effects of global warming, although they also say time has almost run out to try to meet that limit.
“Despite improvements, TotalEnergies has failed to meet investor expectations on aligning its reduction targets with the Paris Agreement,” the group of 11 investors, representing about 0.8% of the company’s capital, said in a statement on Wednesday.
TotalEnergies was not immediately available for comment.
Bas Bijleveld, senior adviser in responsible investment & governance at asset manager MN, is leading the resolution initiative.
“With this shareholder resolution, we encourage the company to become the first oil- and gas giant that has its targets for 2030 completely 1.5-degree aligned and be an example for others in the sector,” he said.
The other investors filing the resolution are Achmea Investment Management, Aegon Asset Management, APG, BPL Pensioen, DPAM, Edmond de Rothschild Asset Management, Greater Manchester Pension Fund, La Financière de l’Echiquier, PGGM Investments and Van Lanschot Kempen.
As concern mounts that energy security worries linked to Russia’s invasion of Ukraine will undermine efforts to phase out fossil fuels, asset owners managing more than $10.4 trillion last week urged governments to stay focused on the need for renewable energy, not fossil fuel.
In the Netherlands, the pressure on big energy companies to move to low carbon fuel intensified last month when a court ordered Anglo-Dutch oil giant Royal Dutch Shell to drastically deepen planned greenhouse gas emission cuts.
The landmark ruling could trigger legal action against energy companies around the world.
(Reporting by Toby Sterling and Benoit Van Overstraeten; Editing by Barbara Lewis)
