CalPERS' Climate Risk Reporting Proposal Overwhelmingly Passes at Anglo American
April 21, 2016
Communications & Stakeholder Relations
Brad W. Pacheco, Deputy Executive Officer
Wayne Davis, Chief, Office of Public Affairs
Contact: Joe DeAnda, Information Officer
Sacramento, CA - The California Public Employees' Retirement System's (CalPERS) climate risk reporting shareowner resolution, Resolution #21, overwhelming passed today at the annual shareowner meeting of Anglo American Plc. (Anglo American). The resolution, which was supported by company management, requires the global mining company to report on environmental risks and opportunities associated with climate change. CalPERS co-filed the resolution along with a coalition of asset owners assembled by CCLA Investment Management, who also carried out a proxy solicitation.
"This is the new normal: climate risk reporting," said Anne Simpson, CalPERS Investment Director of Global Governance. "The vote at Anglo American shows that investors and management are in partnership following the Paris Agreement to address climate risk and opportunity. Companies opposing climate risk reporting should take note."
The resolution included five specific areas:
- Ongoing operational emissions management;
- Asset portfolio resilience to the International Energy Agency's scenarios;
- Low-carbon energy research and development and investment strategies;
- Relevant strategic key performance indicators and executive incentives; and
- Public policy positions relating to climate change
CalPERS believes companies should provide accurate and timely disclosure of environmental risks and opportunities associated with climate change. As outlined in CalPERS Investment Beliefs (PDF), the System believes the effective management of environmental factors, including those related to climate change risk, increase the likelihood that companies will perform well over the long-term.
For more than eight decades, CalPERS has built retirement and health security for state, school, and public agency members who invest their lifework in public service. Our pension fund serves more than 1.7 million members in the CalPERS retirement system and administers benefits for nearly 1.4 million members and their families in our health program, making us the largest defined-benefit public pension in the U.S. CalPERS' total fund market value currently stands at approximately $297 billion. For more information, visit www.calpers.ca.gov.
CalPERS actively engages with companies to protect the health of our investments. Learn how our proxy voting efforts influence corporate governance.