Toronto, April 14, 2022 – Enbridge (TSE: ENB) will face a shareholder proposal at its annual general meeting on May 4 regarding the adequacy of its net zero plans. While the company claims to have a net zero strategy, the proposal asks for this to be “science based,” with several measures that would prove it to be so.
“Our economies and energy systems are dramatically shifting as we set to achieve the science-based actions to meet the Paris agreement and avoid the worst effects of climate change,” said Duncan Kenyon, Director of Corporate Engagement with Investors for Paris Compliance ((I4PC). “Enbridge and other companies in the oil and gas sector need to dramatically improve their net zero pledges to align with science and to better reduce business risks while seizing opportunities.”
The Climate Action 100+ (CA 100+) investors group recently released its net zero company assessments, with Enbridge scoring poorly. I4PC’s shareholder resolution asks Enbridge to strengthen its net zero commitment to be consistent with the science-based net zero principles that have emerged from organizations such as Science Based Targets Initiative, the Institutional Investors Group on Climate Change, and CA 100+.
Specifically, the resolution asks Enbridge to make its net zero commitment account for all of its emissions (Scope 1,2 and 3); align capital expenditures and develop an emission reduction target for 2030 consistent with the Paris agreement; and develop, communicate, and implement a decarbonisation strategy that illustrates to investors and other stakeholders that Enbridge understands the financial risks and the opportunities that exist in the fast-paced transition to a low carbon economy.
“This proposal asks Enbridge to commit to measures that many of its investors have already committed to as part of a credible net zero pathway,” said Kenyon. “It’s no longer credible to fail to address Scope 3 emissions or to set weak ‘intensity based’ targets if a company wants investors to take its plans seriously.”
To view language of the resolution visit www.investorsforparis.com
Investors for Paris Compliance (I4PC) is a shareholder advocacy organization tracking Canadian publicly traded companies on their net zero commitments and implementation. I4PC represents investors or takes its own financial positions in select companies to engage them to improve accountability, including filing shareholder resolutions where appropriate.