A Rising Tide of Climate Accountability
On May 26, Engine No. 1, an activist hedge fund owning 0.02% of ExxonMobil’s stock, led a shareholder revolt against the oil giant, ousting three of Exxon’s board members despite opposition from senior management. The change was part of a recent tide of losses for the global oil industry. Chevron’s shareholders also displayed an intolerance for corporate negligence toward climate change when they passed a resolution mandating the company to account for and cut down on Scope 3 emissions, which are released in the process of oil combustion. These emissions make up a far larger share of the company’s carbon footprint than emissions from operations and extraction. Together, these shareholders are jointly calling on the oil industry to adapt its business model to align with a decarbonized economy.