ExxonMobil shareholders are demanding that the oil giant provide its investors with information about climate change, arguing that the global effort to reduce carbon emissions is likely to impact investors' "bottom line."
It will be very interesting to see how this plays out. If this investment group is successful in forcing either Exxon's executives to comply, or the SEC acts, the corporation may be forced--through the market--to do what it should have done way back when: investment in the research and development of sustainable energies.
I have great regard for the entrepreneurs who have pioneered green energy, but current big energy corporations, like Exxon, are best equipped to turn their scientists, engineers, and treasuries to cracking wide open an economy based on sustainable energy. Trends suggest that this transition would be equally if not more profitable than the oil based economy these energy corporations created the first time around.
Probably wishful thinking on my part: tick-tock. But dammit, just like government can be a force for good, so can corporations. It is infuriating that immediate profits are the stumbling blocks to long term gains for shareholders and consumers alike.
This one is a real market indicator and definitely a shareholder "bottom Line" indicator
and as such needs to be disclosed in the annual shareholder prospectus.
Can't recall the article right now, but the main point is that the majority of new exploratory wells are to bank roll oil futures for the company coffers. That is why most new well activity never comes into immediate production. It is simply to increase the reserve holdings of the company.
So...if suddenly we achieve any legislation to "Keep it in the Ground" this devalues those reserve futures. Similarly holding to a production rate that meets a 1.5 degree max warming point, futures again devalue.
The result is staggering, imagine a 70% stock devaluation.
So it is a real shareholder concern, and a company CPA's worst nightmare. CPA's are licensed and required to disclose data. Just like if they find a Bernie Madoff, failure to disclose a fundamental devaluation is a crime. Think Enron and Arthur Anderson, heads do roll.
They may not be talking about it much but there is a boom - a proverbial Gold Rush - in investing in solar and wind power going on right now. Investors aren't stupid and their only real ideology is to money. While fossil fuels meant big bucks they talked down renewables like do republicans. When it looks like fossil fuels are going belly up (finally) then investors rush to get in on the ground floor of big scale renewables. Lots of wind farms being put up and solar powered energy plants etc. that money comes from somewhere and it is almost a certainty that a large part of it comes from divestment in fossil fuels.
So, capitalists will save us from capitalism.by moving their capital around.
we need the same questions asked about the Auto Addiction Lobby headed by GM and joined by Standard Oil / Chevron, Firestone and others who systemically dismantled the Trolley systems all across the USA. The roots of Oil Addiction are Auto Addiction which accounts for 70% of US oil usage and directly generates 35% of US greenhouse emissions. Auto Addiction is responsible for over 30,000 deaths per year, hundreds of thousands of injuries, is linked to soaring obesity levels and bulldozes over 10 times the Green Space of Rail, bicycles or walking. On the Great Trolley conspiracy locking the US into Auto Addiction see:
GM deliberately destroyed US Trolley systems
To their credit Ford is finally looking beyond the private car...
Auto companies need to reinvent themselves as TRANSPORTATION companies helping to build the Green Transit LightRail, electric buses, electric shuttles and infrastructure to support them we need to maintain mobility in the age of Peak Oil and Climate Change...