Oil supermajor Shell is being urged to explain the finer details of a plan to link executive bonus pay to lowering carbon emissions.
Investors hailed the energy giant as a pioneer among its peers when it announced the policy to tie 10% of executives bonuses to cutting greenhouse gas emissions.
The resolution is due to be voted on at a May 23 annual general meeting in the Hague.
Some investors now want Shell to show how it will calculate the targets for lowering emissions in the new bonus scheme rather than provide the information retrospectively in its annual report.
Certain shareholders also urged Shell to include 100 percent of emissions from its operations in its remuneration policy.
They note that the calculation does not encompass emissions from oil and gas production and only factors in polluting gases from refineries, chemical plants and gas flaring, accounting for roughly 60 percent of the total emissions.
A Shell spokeswoman said the company was “working hard on reducing carbon intensity”, adding it planned to disclose emission reduction targets retrospectively at the end of each year, the same as with annual bonuses. She declined to comment on why oil and gas production was not included in targets.
Shell, along with several of its peers including BP have called for a global pricing of carbon which it believes will help the transition to cleaner energy.
Recommended for you
