‘The time is over for oily corporations to operate with impunity.’
A group of 27 investors, owning around 5 percent of Shell’s shares, is demanding the multinational improves its environmental targets. The resolution is the biggest such drive to date and was coordinated by the activist group Follow This.
Similar motions have been organised by the group at Shell meetings since 2016. Last year, a resolution put forward by Follow This won the backing of 20 percent of shareholders in what was an eventful AGM where protesters tried to storm the stage.
However, support for the upcoming resolution has drawn the largest number of investment managers, said Mark van Baal, founder of Follow This. It includes Europe’s largest asset manager, Amundi.
The group calls on Shell to align its ‘medium term’ greenhouse gas emission target with the Paris Agreement, to limit global warming. The resolution will be brought to a vote at Shell’s annual general meeting later this year.
The bid to shore up pressure on Shell’s climate commitments comes as its CEO, Wael Sawan, aims to boost the company’s profits, partly by increasing fossil fuel production and slowing down investments in renewables. In October 2023, Shell announced it was to cut at least 15 percent of its low-carbon solutions division workforce and scale back on its hydrogen business.
Greenpeace activists display a billboard during a protest outside Shell headquarters on July 27, 2023 in London. (Photo: Handout/Chris J. Ratcliffe for Greenpeace via Getty Images)
“The global energy crisis has been a giant cash grab for fossil fuel firms,” said one campaigner. “And instead of investing their record profits in clean energy, these companies are doubling down on oil, gas, and shareholder payouts.”
The year 2023 was marked by weather events that made it increasingly clear that the Earth has entered what United Nations Secretary General António Guterres called the “era of global boiling,” with wildfires and prolonged heatwaves impacting millions of people and scientists confirming their suffering was the direct result of fossil fuel extraction and planetary heating.
But for the world’s five largest oil giants, the year marked record profits and the approval of several major new fossil fuel projects, allowing the companies to lavish their shareholders with payouts that are expected to exceed $100 billion—signaling that executives have little anxiety that demand for their products will fall, said one economist.
The companies—BP, Shell, Chevron,ExxonMobil, and TotalEnergies—spent $104 billion on shareholder payouts in 2022, and are expected to reward investors with even more in buybacks and dividends for 2023, The Guardian reported.
Shell announced plans in November to pay investors at least $23 billion—more than six times the amount it planned to spend on renewable energy projects—while BP promised shareholders a 10% raise in dividends and Chevron could exceed the $75 billion stock buyback it announced early last year.
Alice Harrison, a campaigner for Global Witness, noted that fossil fuel shareholders will be enjoying their paydays as households across Europe struggle with fuel poverty and the world faces the rising threat of climate disasters brought on by the industry.
“The global energy crisis has been a giant cash grab for fossil fuel firms,” Harrison told The Guardian. “And instead of investing their record profits in clean energy, these companies are doubling down on oil, gas, and shareholder payouts. Yet again millions of families won’t be able to afford to heat their homes this winter, and countries around the world will continue to suffer the extreme weather events of climate collapse. This is the fossil fuel economy, and it’s rigged in favor of the rich.”
It’s a happy new year for oil company shareholders enjoying massive dividends. The 5 largest majors are distributing over $100 billion. Not so happy a new year for British energy consumers who are subject to a new round of price increases, plunging more households into poverty. https://t.co/g3i4Zdoxo7
In 2023 campaigners intensified their demands for accountability from the oil, gas, and coal industries, and as of last month had successfully pressured more than 1,600 universities, pension funds, and other institutions to divest from fossil fuels. In the U.S., provisions in the Inflation Reduction Act, which has been touted as the “largest investment in climate and energy in American history,” went into effect.
But Dieter Helm, a professor of economic policy at the University of Oxford, The Guardian that if the industry were truly fearful of policymakers phasing out fossil fuel extraction and expediting a transition to renewable sources, they would be spending far less on new projects and shareholder payouts.
“For this to be the case you would have to believe that the energy transition is happening, and that demand for fossil fuels is going to fall,” Helm told The Guardian.
In 2023, U.S. President Joe Biden infuriated climate campaigners by approving the Willow oil drilling project in Alaska, which could lead to roughly 280 million metric tons of heat-trapping carbon dioxide emissions. His administration also included in a debt limit deal language that would expedite the approval of the Mountain Valley Pipeline, which could emit the equivalent of more than 89 million metric tons of carbon dioxide, while the U.K. government greenlit a massive oil drilling field in the North Sea and French company TotalEnergies continued to construct the 900-mile-long East African Crude Oil Pipeline, which would transport up to 230,000 barrels of crude oil per day.
“These companies are investing a huge amount in new projects, and they’re handing out bigger dividends because they are confident that they’re going to make big returns,” Helm said. “And when we look at the state of our current climate progress, who’s to say they’re wrong?”
Climate campaigner Vanessa Nakate pointed out that the shareholder paydays are expected following a deal on a loss and damage fund at the 28th annual United Nations Climate Change Conference, aimed at helping developing countries to fight the climate emergency. That fund was hailed as “historic” and included a commitment of $700 million from wealthy countries—a sum that is expected to be dwarfed by fossil fuel investors’ profits.
Leaders at COP28 agreed to a “historic” $700 million in loss and damage funding.
Meanwhile BP, Shell, Chevron, ExxonMobil and TotalEnergies are about to reward their investors with record payouts of more than $100 billion. https://t.co/LRIrH4mFmz
“They have picked people’s pockets, fueled inflation and pollution, and deepened poverty,” U.K. House of Lords member and Tax Justice Network co-founder Prem Sikka said of the oil giants. “Governments do nothing to end their monopolistic control. Need to break-up this cartel.”
In the ‘coming soon’ notice announcing this article I said that “[t]here aren’t any real climate deniers anymore”. I was mistaken and there are a very few people like Jeremy Corbyn’s brother Piers Corbyn. I’ve only met and spoken with him once but I’m satisfied that he’s genuine in his beliefs despite them being misguided. He and others like him have the right to believe whatever they like and he’s harmless enough – while he may persuade a few people the vast majority will understand that he’s mistaken and wrong.
Image of UK Prime Minister Rishi Sunak reads 1% RICHEST 100% CLIMATE DENIER
So apart from Piers Corbyn and a few similar people, there is no such thing as a climate denier nowadays. The Capitalists profiting from climate destruction have known for 60 years of more that they were profiting from destroying the planet and were forcing future generations to endure intolerable climate conditions, annihilating many thousands of species of plants and animals and generally totally fekking everything.
Governments are controlled, directed, owned by a very few extremely rich and powerful people, the very people that are profiting and maintaining their wealth, power and influence from destroying the planet. According to this perspective we do not exist in a democracy and it is instead a pretence hiding the influence of the rich and powerful. We exist in a plutocracy – we have a wealthy ruling class that politicians serve.
It cannot be accepted that politicians like UK’s Prime Minister Rishi Sunak or our expected next Prime Minister Keir Starmer and the like are mistaken true believers like Piers Corbyn believes. Rather they are climate deniers in the sense of the fossil fuel industries – Exxon, Shell and BP – who know fully well that they are destroying the planet but deceive and mislead to continue making a filthy profit. It’s obvious to see that these politician cnuts serve this rich elite’s interests – Tory and Labour UK governments have answered to media tycoon Rupert Murdoch, sucking up to him, grateful to accept his orders.
Image of InBedWithBigOil by Not Here To Be Liked + Hex Prints from Just Stop Oil’s You May Find Yourself… art auction. Featuring Rishi Sunak, Fossil Fuels and Rupert Murdoch.
Sunak, despite being fully aware of the climate crisis is continuing to destroy the planet. Announcing the go-ahead for the Rosebank oil field he said that he intends to get every last drop of North Sea oil.
A Chevron refinery in Richmond, California is seen on September 12, 2017. (Photo: Michael Macor/The San Francisco Chronicle via Getty Images)
“These oil companies knew their products were dangerous, yet they did nothing to mitigate those dangers or warn any of us about them, for decades,” said the chairwoman of the Shoalwater Bay Indian Tribe.
Two Indigenous tribes in Washington state said Wednesday that they intend to force several oil giants “to help pay for the high costs of surviving the catastrophe caused by the climate crisis,” as they filed lawsuits in the state’s largest trial court.
The Makah Indian Tribe and Shoalwater Bay Indian Tribe filed two separate complaints in King County Superior Court against ExxonMobil, Shell, Chevron, BP, ConocoPhillips, and Phillips 66, saying the defendants must be held “accountable for their deceptive and unfair conduct, and pay for the damage their deceptive conduct has caused and will cause for decades to come.”
The lawsuits—among dozens filed against Big Oil since 2017—detail the extent to which the companies have long known that their fossil fuel extraction would drive planetary heating and the resulting sea-level rise, extreme weather, public health crises, and other impacts of the climate crisis, which now costs the U.S. roughly $150 billion per year just in damages from hurricanes and other weather disasters.
“We are seeing the effects of the climate crisis on our people, our land, and our resources. The costs and consequences to us are overwhelming,” said Timothy Greene Sr., chairman of the Makah Tribal Council. “We intend to hold these companies accountable for hiding the truth about climate change and the effects of burning fossil fuels.”
“We are facing hundreds of millions of dollars in costs to relocate our community to higher ground and protect our people, our property, and our heritage. These companies need to be held accountable for that.”
Newly uncovered documents revealed earlier this year that scientists at Shell warned executives of the climate impact of the company’s products in the 1980s, and an analysis published in Science in January showed that 63-83% of the global warming projections documented by Exxon scientists between 1977 and 2003 were accurate.
“These oil companies knew their products were dangerous, yet they did nothing to mitigate those dangers or warn any of us about them, for decades,” said Charlene Nelson, chairwoman of the Shoalwater Bay tribe. “Now we are facing hundreds of millions of dollars in costs to relocate our community to higher ground and protect our people, our property, and our heritage. These companies need to be held accountable for that.”
The tribes said in their complaints that they are “particularly vulnerable” to rising sea levels because their reservations are adjacent to the Pacific Ocean, and they have already incurred “significant costs” as they try to mitigate its risk by preparing to build and move housing and government buildings to higher ground.
The tribes accused the companies of creating a “public nuisance” and violating Washington’s Products Liability Act by misrepresenting and intentionally concealing the risks involved in their fossil fuel extraction activities. They asked the court for jury trials and requested that the court order the companies to fund “an abatement fund to be managed by the tribe[s] to remediate and adapt [their] Reservation lands, natural resources, and infrastructure.”
