RLAM welcomes vote on Glencore's climate action plan as it transitions to a low carbon future

Following Glencore’s announcement today that the company will put their climate plan to a shareholder vote at its upcoming AGM, Carlota Garcia-Manas, senior responsible investment analyst at Royal London Asset Management (RLAM), commented:

“We welcome Glencore’s plan to submit its climate action strategy for a shareholder advisory vote. This constitutes another big step in the transformation of this company and reinforces the value of shareholder engagements.

“Over the last few years, RLAM has led an investor engagement with Glencore on climate issues, and as active shareholders we have worked with its leadership to bring about change that not only secures long-term value but also meets our shared objectives of an accelerated decarbonisation and a just transition.

“Glencore’s move to bring its climate transition plan to an immediate vote with annual reviews of its progress is another significant step taken in the company’s climate evolution. This follows its February 2019 statement of support for the goals of the Paris agreement, and its Net Zero 2050 commitment in December 2020. Glencore is one of a few companies leading the way and through our investor engagement we expect many more to follow.”

RLAM is the senior co-lead investor, through the Climate Action 100+ initiative1, in the engagement with Glencore. Climate Action 100+ is an investor-led initiative to ensure the world's largest corporate greenhouse gas emitters take necessary action on climate change.

Stephanie Pfeifer, CEO, Institutional Investors Group on Climate Change (IIGCC) and Climate Action 100+ global Steering Committee member, said:

“It’s very welcome Glencore’s Board has agreed to put their climate strategy to a vote at the AGM following investor engagement with IIGCC members as part of Climate Action 100+. Following Unilever and Shell, Glencore is now the third company to agree to a vote on their transition plan following investor dialogue with Climate Action 100+ signatories. We can expect others to follow their lead, as investors look to ensure companies provide shareholders with the opportunity to validate or show their concern on a company’s approach to aligning with the goals of the Paris Agreement.”