Progressive shareholders are pushing to add directors with climate change expertise to help companies on environmental issues
By Anna Driver
HOUSTON, May 27 (Reuters) - Progressive shareholders are pushing to add directors with climate change expertise to the boards of Exxon Mobil Corp and Chevron Corp, arguing the largest U.S. oil companies need more depth of knowledge to navigate environmental issues.
Climate and greenhouse gas proposals regularly surface at oil company annual meetings, but Wednesday will be the first time shareholders at Exxon will vote on putting an independent climate expert on the board.
The measure will also be voted on at Chevron's annual meeting on Wednesday after being rejected by an average of 77 percent of votes cast in previous years.
Boards of both companies oppose the idea, which has the support of influential proxy advisory service Institutional Shareholder Services Inc.
Oil companies, while acknowledging the need to address climate change risks, have said it will take decades to develop technologies that economically capture carbon emissions. In January, Europe's Royal Dutch Shell Plc backed a measure from activist investors asking it to be more proactive about planning for climate change.
"Just one authoritative figure with acknowledged expertise and standing could perform a valuable role in ways that would enable the board to more effectively address the environmental issues and risks inherent in its present business model regarding climate change," said the proposal for Exxon.
Father Mike Crosby, who lives in a community of Roman Catholic friars in Milwaukee, is sponsoring the proposal at Exxon. He said he is tired of pressing for more accountability on climate issues at the Irving, Texas company.
"If they had done something 20 years ago we could have a different world right now," Crosby said in an interview.
Crosby, whose church group owns about 300 Exxon shares, said his efforts to talk to Exxon directors about climate were rebuffed so he proposed the addition of a climate expert to the board.
Alan Jeffers, a spokesman for Exxon, said in an email that Father Crosby will have an opportunity to press his case in front of the board at the annual meeting.
Exxon said in its proxy that board members have a broad range of expertise, including environmental and climate experience.
Chevron's board said "its current membership possesses significant environmental experience and that each board member should possess a broad range of skills," according to its proxy filed with the U.S. Securities and Exchange Commission. (Reporting by Anna Driver; Editing by Terry Wade and Steve Orlofsky)
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