Shareholders Earn Strong Vote on Climate-Related Methane Proposal at Chevron Annual General Meeting
Shareholders Seek Assurance that Chevron is Reducing Fugitive Methane from its Oil & Gas Operations
Contacts: Cyrus Nemati, (510) 735-8157, [email protected]
San Ramon, California – May 30, 2018 – Approximately 45% of Chevron’s shareholders voted today in favor of a fugitive methane reduction resolution put forward by shareholder advocate As You Sow and co-filers. This proposal highlights Chevron as one of the top methane emitters, ranking 17 out of the highest 100 methane emitters from onshore production while also noting its failure to keep up with peers in reporting its methane reduction actions. The resolution underscores the need for the company to better monitor, mitigate, and reduce its methane emissions in light of the significant climate change impact of methane, a greenhouse gas with a warming impact of roughly 86 times that of carbon over 20 years. This 45% vote follows similarly high votes on methane resolutions at Range Resources and Kinder Morgan.
In the days leading up to Chevron’s annual general meeting, the company responded to shareholders’ methane-related concerns. For the first time, Chevron provided an intensity rate for its methane emissions in its Corporate Responsibility Report. It also signed on to oil & gas industry “Guiding Principles” for reducing methane emissions from across the natural gas value chain. This voluntary initiative was signed by several peer global oil & gas companies last year, highlighting the importance of methane emissions.
As noted by the International Energy Agency (IEA), cost-effective solutions exist and can be deployed immediately to substantially reduce methane emissions in the oil & gas industry. With advances in infrared, drone, and leak detection technology, as well as more efficient equipment, it is well within the ability of companies to find and dramatically reduce their methane leaks.
“We commend Chevron for its decision to sign on to the methane ‘Guiding Principles’ and to report its emissions intensity,” stated Danielle Fugere, President of As You Sow. “This is an important first step, but joining a voluntary program like the Guiding Principles is no substitute for demonstrated methane reduction action. Chevron has lagged behind its peers on implementing and disclosing methane best practices for too long. Shareholders today recognize Chevron’s progress, but underscore the importance of demonstrating on-the-ground change on this important climate change issue.”
Chevron’s announced methane improvements are along the lines of the stronger methane management actions and commitments adopted by ExxonMobil, a peer oil & gas company, last year following a similar methane resolution filed by As You Sow.
As You Sow is a nonprofit organization that promotes environmental and social corporate responsibility through shareholder advocacy, coalition building, and innovative legal strategies. See our resolutions here.