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Article

22 May 2018

Author:
Adam Vaughan, The Guardian

Shell investors revolt over pay and maintain pressure over climate change

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Shell investors have rebelled over the company’s executive pay, as the Anglo-Dutch oil company came under pressure to take stronger action on climate change.  While chief executive Ben van Beurden’s €8.9m (£7.79m) pay package for 2017 was approved, more than a quarter of shareholders voted against the firm’s remuneration report at its annual general meeting on Tuesday.  Influential shareholder adviser ISS had urged investors to reject the pay award because of the company’s performance on sustainable development targets...Shell also faced a grilling from investors over how sincere its action is on reducing carbon emissions, with about half the questions related to climate change...However, the company defeated a resolution calling for it to set tougher emissions targets in line with the Paris climate deal.  The resolution was backed by 5.54% of shareholders; a similar resolution in 2017 was backed by 6.3%.  “Investors are sending a clear signal to Shell and all oil and gas companies, that they will not accept a goal of halving net carbon emissions by 2050 [set by Shell],” said Mark van Baal of Follow This, the group which brought the proposal.  He noted that seven of the Netherland’s 10 biggest asset owners had supported the resolution...Van Baal accused the chief executive of misleading investors that Shell’s carbon targets were aligned with a sub-2C world...