Proxy adviser PIRC recommends vote against Shell's chair, annual report

Proxy adviser PIRC on Tuesday recommended Shell Plc's (SHEL.L) investors vote against the energy company's chair and opposed its annual report for "failing to address climate risks by setting adequate targets."

PIRC said it, instead, recommended shareholders vote in favor of a climate activist group's proposal seeking faster emissions cuts.

Shell, on the other hand, has recommended its shareholders vote against the proposal by the Follow This activist shareholder group that asks the energy giant to align with the 2015 Paris climate deal.

PIRC also recommended voting against Shell Chairman Andrew Mackenzie, saying "the absence of adequate targets can only be viewed as an indicator of governance shortcomings."

PIRC also advised voting against Shell's Energy Transition resolution, it said, ahead of the company's annual general meeting on May 23 in London.

Shell aims to cut the intensity of planet-warming gases across its portfolio and the use of its products by 20% by 2030 and 100% by 2050. It has ruled out setting absolute emissions cuts targets, including on combustion.

Proxy advisory firm Institutional Shareholder Services(ISS), whose recommendations steer many investors' voting, on Saturday, recommended Shell shareholders vote against the Follow This proposal, while acknowledging the merits of the proposal.

Reuters