Reacting to the news that major coal producer and exporter and aggressive coal lobbyist, Glencore, will agree to align its business and investments with the climate goals of the Paris Agreement and not grow its coal business, ClientEarth Head of Climate Alice Garton said:
“As one of the world’s largest coal companies, Glencore’s announcement today that it will not grow its coal business should be welcomed. However, to properly ensure its business is aligned with the Paris Agreement, Glencore should wind up its coal operations in a just transition and return any remaining capital to shareholders.
“Importantly, Glencore must halt its international lobbying against climate action – either by pressuring governments to make pro-coal decisions or through its membership of climate obstructionist trade associations. Only by leaving such groups that have consistently lobbied against climate ambition can Glencore fully deliver on its new climate commitments.”
In a first for the mining industry, Glencore announced its plans in a statement that was supported and developed after engagement by institutional investors participating in Climate Action 100+, an initiative led by investors with more than $32 trillion in assets under management.
ClientEarth was a key partner in the shareholder engagement, with climate experts from the environmental law organisation supporting the investors on the strategy and content of their engagement with the company.