BP Faces Shareholder Tensions at AGM Over Climate Strategy Shift

BP is facing a turbulent annual general meeting marked by sharp internal divisions as plummeting oil prices and a controversial retreat from green energy goals dominate shareholder concerns. The company, under pressure from hedge fund Elliott to focus on oil and gas, has reversed its 2020 climate commitments, scaling back renewables investment and ramping up fossil fuel production. This pivot has angered major investors like Legal & General and groups such as Border to Coast Pensions Partnership, which plan to vote against the re-election of BP chairman Helge Lund and other board members, citing the risks of abandoning net zero targets and the lack of a shareholder vote on the revised strategy. Activist investors, including Follow This, have criticized BP’s rapid abandonment of its climate plan, though Follow This has paused its own climate resolutions this year due to growing investor hesitancy around ESG issues. Meanwhile, some institutional investors and proxy advisors remain supportive of BP’s leadership, reflecting a split in shareholder opinion. The AGM thus highlights BP’s struggle to balance profitability, shareholder expectations, and environmental responsibilities amid ongoing market and policy uncertainty.