Glass Lewis recommends voting against BP chair at upcoming AGM

(Sharecast News) - BP shareholders have been recommended by proxy advisory firm Glass Lewis to vote against the re-election of chair Albert Manifold, amid claims that he was responsible for excluding a climate-related resolution at the company's upcoming annual general meeting. In a rare move for proxy advisors, Glass Lewis has urged investors to vote against the chair's wishes after the board excluded a proposal filed by climate activist group Follow This for its AGM on 23 April, according to a note seen by Reuters.

The resolution related to BP's longer-term strategy regarding the financial risks of declining demand for oil and gas - which the energy group has pivoted back to in recent years following a brief foray into the renewables sector.

"The decision further raises questions about transparency, shareholder communication, and responsiveness to shareholder concerns," Glass Lewis said.

Legal & General Investment Management, which holds a 0.85% stake in the firm, also announced that it plans to vote against Manifold, in part due to BP's exclusion of the Follow This resolution.

Follow This and a group of investors sent an open letter to BP's board and 1,800 investors, criticising another move by BP to retire certain climate-related proposals passed in 2015 and 2019, which had been backed by the company and the vast majority of shareholders.

"Those resolutions required BP to report annually on operational emissions, public policy positions on climate change, and alignment with the Paris Agreement," Follow This said in a statement late last week.

BP shares were up 1.4% at 599.3p by 1543 GMT, taking its year-to-date gain to nearly 37% amid a surging Brent crude prices since the outbreak of conflict in the Middle East.