Shareholders defy ExxonMobil bosses – and Donald Trump – on climate change

ExxonMobil, the world's largest oil company, has suffered a "historic" and "surprise" defeat at the hands of its own shareholders on climate change, says The Guardian.

The defeat could have profound implications on how the company will "adapt to a low-carbon economy", says Reuters, and also shows how "Wall Street is diverging from [US President Donald] Trump".

It comes as Trump administration officials suggest he honour his campaign pledge to withdraw the US from the Paris climate accord later today.

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For the second year in a row Exxon shareholders, led by the New York State Pension Fund and the Church of England investment fund, proposed a resolution that would force the firm to be much more open on how climate change regulations are affecting its business.

In particular, says the Daily Telegraph, the energy giant would have "to consider the impact of a strong global commitment to cap global warming at no more than two degrees above pre-industrial levels... [that] could leave its oil assets stranded".

Experts suggest that if the Paris accord targets are to be hit then a majority of fossil fuel reserves will have to be left "in the ground".

Being more transparent about this could encourage shareholders to consider divestment and thus encourage greater investment by Exxon into new, low-carbon technologies.

"The resolution, which the company's directors opposed, is nonbinding," says the New York Times.

"But Darren Woods, the chief executive, said the board would consider the result because it reflected the view of a majority of shareholders."

As for the Paris accord, in March Exxon lobbied Trump not to pull out, says The Independent.

A letter from Peter Trelenberg, the company's environmental policy and planning manager, said: "We welcomed the Paris Agreement when it was announced in December 2015 and again when it came into force in November 2016.

"We have reiterated our support on several occasions in opinion pieces and blog posts, most recently by our Chairman and CEO Darren Woods."