Norway’s oil fund to vote against climate resolution at BP

On Saturday, Norway’s $1.4 trillion sovereign wealth fund, one of the world’s largest investors, said it would vote against a resolution urging BP (BP.L) to set tougher greenhouse emission objectives.

BP already plans to decrease emissions, but activist group Follow This’s resolution ahead of an April 27 shareholder vote urges the company to support the Paris climate deal’s global warming limit.

Last year, Norges Bank Investment Management (NBIM), which runs the Norwegian fund, announced it would crack down on corporations without solid climate policies.

The proposal was rejected without explanation. The fund has stated that it thoroughly evaluates activist groups’ environmental, social, and governance (ESG) ideas before supporting them.

Follow This email claimed NBIM should lead on climate concerns as a significant investor.

“NBIM failed the first real test of its new climate voting policy,” Follow This founder wrote.

At the end of 2022, Norway’s oil and gas fund owned 2.73% of BP’s shares worth $2.8 billion.

BP’s board advised shareholders to vote against the motion because it was “unclear” what the corporation should do.

ISS and Glass Lewis advised BP shareholders to vote against the resolution, while LAPFF advised investors to support it.

Climate campaigners were furious when BP scaled back its 2030 oil and gas output cuts from 40% to 25% in February.