AGL shareholders urged to vote down new climate plan
ISS Sustainability Advisory Services and activist shareholder group ACCR have both criticised the climate transition plan ahead of Friday's annual general meeting.
ISS Sustainability Advisory Services is urging AGL Energy shareholders to vote against adopting its new climate transition action plan at the company's annual general meeting to be held in Sydney on Friday.
ISS based its recommendation that AGL "only partially" discloses its mid-term climate targets and has not made its plan more ambitious than its previously stated 13 GW of investments in renewables and firming capacity, and exiting coal-fired power generation with the closure of Bayswater power station by 2033 and Loy Yang A by 2035, in a report Capital Brief has seen.
The proxy adviser noted that AGL adopted its previous CTAP in 2022 despite objections from nearly a third of shareholders, including Mike Cannon-Brookes' who currently holds a 10.4% stake in the integrated gentailer through a proprietary company that his family office Grok Ventures manages.
Both ISS and activist shareholder group the Australian Centre for Corporate Responsibility noted that AGL's climate action is based on a global warming trajectory of 1.8 degrees celsius by 2050, which is not aligned with the goal of the Paris Agreement to constrain temperature rises to 1.5 degrees celsius of pre-industrial averages.
