OAKLAND, Calif., May 22, 2015 /PRNewswire-USNewswire/ -- Citing
climate change impacts and financial risks of carbon-intense coal
assets, shareholders representing billions of dollars of assets
voted for carbon reduction targets at FirstEnergy and Great Plains
Energy, showing strong support for a pair of shareholder proposals
put forth by non-profit As You Sow and investment group Calvert
Investments. The proposal at FirstEnergy received support from
19.4% of shares voted, representing $2.2
billion in investments. At Great Plains Energy, one in three
shareholders (33.8%) voted for the proposal, representing
$872 million in investments voting in
favor of carbon reduction goals. In total, $3 billion in shareholder assets demanded climate
action from the utilities.
Both FirstEnergy and Great Plains Energy use high levels of coal
and release significant levels of carbon, the main pollutant behind
climate change. FirstEnergy has the third largest coal fleet in the
nation and the sixth largest level of carbon emissions of U.S.
power producers. Great Plains Energy's power mix is 85% coal, and
has the 20th greatest carbon emissions of U.S. power
producers. Neither FirstEnergy nor Great Plains Energy have
adopted targets or plans for reducing their carbon emissions,
sparking investor concern about the risk this poses for each
company's future profitability.
Amelia Timbers, As You Sow's
Energy Program Manager, noted that, "Shareholders have spoken – it
is time for utilities to proactively manage their carbon pollution
and climate risk. The costs associated with operating carbon
intense assets like coal plants are expected to increase as climate
change worsens; at the same time, renewable energy prices have
fallen dramatically and renewable energy has become a
cost-effective alternative to coal power."
The shareholders resolutions cited studies demonstrating that
when companies reduce carbon emissions, business performance is
benefitted. "We are seeing that carbon pollution is a business risk
for utilities, while low carbon energy drives value," Timbers
added.
Shareholders have shown increasing support for resolutions
calling for greenhouse gas reductions in recent years, illustrating
escalating investor concern about companies' strategies for
addressing climate change. These results indicate strong investor
desire for corporate action on climate change, and a need for
coal-heavy utilities to quickly shift investments to energy
efficiency and renewable energy.
CONTACT: Andrew Montes,
510-735-8144, amontes@asyousow.org
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/shareholders-vote-for-greenhouse-gas-reductions-at-midwest-utilities-300087730.html
SOURCE As You Sow