The resolution presented by WWF (World Wildlife Fund) and ethos Foundation at the Annual General Meeting of BP which took place on 18 April 2002 in London received 10.3% of votes. This resolution requested a report from the company on how it evaluates the risks linked to its operations in sensitive sites.
WWF-UK, the ethos Investment Foundation and a group of private and institutional investors have tabled a resolution at BP’s Annual General Meeting asking the company to publish a report on the decision-making process and on risk-management mechanisms for the development of activities in environmentally and culturally sensitive regions. Indeed, the shareholders feels that information provided on this subject is far from complete.
The resolution refers to the Arctic National Wildlife Refuge (Alaska), which is at present off-limits to all oil exploration and extraction because of its ecosystem and wildlife. BP and other oil companies are currently lobbying to open the area to drilling.
The markets recognize that BP is a sector leader in terms of sustainability, notably owing to its activities to develop renewable sources of energy. WWF and ethos nevertheless consider that the company must be more transparent about how it assesses the potential negative impact of its operations on vulnerable ecosystems and culturally sensitive regions.
The 2002 resolution is part of an ongoing dialogue with the company, the aim of which is to improve its relations with the stakeholders in order to lessen its negative impact on the natural environment and on civil society in general.
The resolution obtained 10.3% of votes which represents a stock market value of CHF 18 billion. In addition, several institutional shareholders abstained thus indicating that they do not support BP management on this issue. Unfortunately the company has not disclosed the number of abstentions.
