Activist Shareholder Expands Climate Campaign Against BP

• Follow This filed a resolution with about 0.27% combined BP stake calling for long-term strategy disclosure under declining demand scenarios, but BP refused to include it on the AGM agenda
• BP argues existing climate-reporting requirements have been superseded by mandatory disclosure frameworks, while investor group warns current BP direction may expose the company to legal risks
• Follow This has filed a similar climate resolution ahead of Shell's May 19 AGM, continuing its pattern of using shareholder resolutions to pressure oil majors on climate strategy

Summary

Activist investor Follow This, backed by institutional investors managing approximately $1 trillion in assets, is intensifying efforts to block BP's plan to eliminate climate-reporting commitments ahead of the company's annual general meeting. The investor group published an open letter on April 2 opposing a BP-backed resolution that would rescind two decisions from 2015 and 2019 requiring detailed climate strategy reporting, emissions disclosure, and linking executive compensation to climate performance. BP requires at least 75% shareholder approval to pass its resolution.

Follow This, holding a combined BP stake of about 0.27% with co-filers, submitted a counter-resolution calling for disclosure of BP's long-term strategy under declining oil and gas demand scenarios. BP refused to include this resolution on the AGM agenda, prompting threats of legal action from Follow This and its legal team.

Key stakeholders in the investor coalition include Bernische Pensionskasse and West Yorkshire Pension Fund. BP's board defends its position, stating that existing climate-reporting requirements have been superseded by mandatory disclosure frameworks offering better cross-company comparability. A BP spokesperson emphasized the company's focus on "building a simpler, stronger and more valuable BP" through standardized disclosures.

Broader implications: Follow This has filed a similar resolution ahead of Shell's May 19 AGM, indicating a pattern of climate-focused shareholder activism across the energy sector. The dispute centers on transparency requirements and corporate climate accountability, with potential legal proceedings pending based on Follow This's review of BP's response. This activism campaign highlights growing investor pressure on fossil fuel companies regarding climate commitments and disclosure standards.