BP agrees to weigh lobbying group ties
BP, under pressure over climate change, is the latest oil giant to agree to review its membership in trade associations.
Why it matters: Activist investors are increasingly pushing fossil fuel producers to abandon lobbying groups that oppose policies like mandatory emissions curbs and carbon pricing.
- Among oil majors, BP joins Equinor, which plans to release results of its review by Q1 2020. Shell has already completed its assessment.
Where it stands: Chairman Helge Lund announced the move at BP's annual meeting Tuesday. A spokesperson did not provide specific memberships that will be assessed, but said the review will be informed by this existing position statement on trade groups.
The big question: Will K Street lobbying powerhouses spring a leak, or alter their stances, if Big Oil companies threaten to bail over differences on climate?
- This hasn't happened yet.
- Shell reviewed a suite of memberships and said in early April that it's leaving one group: American Fuel & Petrochemical Manufacturers.
- But, it's sticking with more powerful players including the U.S. Chamber of Commerce and American Petroleum Institute.
What's next: Activists investors will be watching. Climate Action 100+ said they will be looking to "ensure BP’s lobbying activity supports the Paris goals."
- BP, in a deal with the group early this year, agreed to disclose how its spending and strategies align with the Paris agreement.
Go deeper: BP bosses get public grilling on climate from largest investors (Bloomberg)