Shell PLC (LSE:SHEL, NYSE:SHEL) is facing a growing backlash from shareholders at its AGM due to dissatisfaction with the oil giant's climate efforts.
Two more pension schemes, Nest and London CIV, have signalled their intention to vote against the firm's directors at the meeting, following similar moves by the Church of England Pensions Board and Brunel Pensions Partnership.
Nest and London CIV, which represent approximately £78bn in combined assets under management, confirmed their decision to vote against the oil company ahead of its AGM on May 23 in response to Shell's plans to revise down its greenhouse gas emissions targets while potentially expanding its investment in fossil fuels.
Nest, the government-backed auto-enrolment provider, said it would vote against the re-election of Shell's chair and its 'Energy Transition' resolution in response, and that it would instead support a resolution calling on Shell to align its carbon reduction targets with the Paris Agreement.
"This AGM season, we have seen key oil and gas companies in our portfolio failing to properly manage climate risks," said Nest's senior responsible investment manager Katharine Lindmeier.
"Following its record profits, we had hoped Shell would step up its activities towards meeting its net-zero ambitions. Instead, they're kicking the can down the road and increasing the risks on long-term shareholders," she said.
Shell has faced repeated criticism from green campaigners who claim its climate goals are not ambitious enough and are not aligned with the target of limiting global heating to 1.5C over industrial levels.
Alongside, criticism om its green credentials the energy giant has ben accused of profiteering, racking up profits as oil prices soared due to war in Ukraine.
Campaigners have called for a windfall tax, a cause championed by the Labour Party.