Institution Theme Category Industry
  • BlackRock
  • Environmental
  • Climate
  • Oil & Gas
Company Year Market Link
Ovintiv Inc. 2020 N/A https://www.blackrock.com/corporate/literature/press-release/blk-vote-bulletin-ovintiv-may-2020.pdf

In the course of our multi-year engagement with the company on climate-related risks and opportunities, we have emphasized the importance of consistent disclosures in line with the TCFD and the Sustainability Accounting Standards Board (SASB). In endorsing the TCFD framework, we expect companies to disclose not only scenario analysis, but a credible plan for operating under a Paris-aligned 2 degree or lower scenario…
For companies with a carbon-intensive business model, especially those such as Ovintiv with whom we have had prior engagement on the subject, we expect reporting that is substantially aligned with the TCFD framework. While Ovintiv has made notable progress on their climate reporting from a governance and risk management perspective, the company has yet to set targets recommended by the TCFD framework or disclose a clear timeline for doing so.
We believe information stemming from such disclosure is material to investment decision-making and BIS’ assessment of the company’s risk-management processes, including operational risks, the potential for decreased demand for the company’s products over time, and physical, reputational and regulatory risks, among others. If a company’s business model is not aligned with achieving the Paris Agreement’s target of 2 degrees or less of global warming, we would expect the company to provide an evidence-based justification for why that is in long-term shareholders’ interests.
Moreover, if the company has not already set carbon-reduction goals, we expect them to have targets in place in the next 12 months. This is in line with our public requests over the last several years for companies to align their reporting with the TCFD. In the absence of robust disclosures, including information about target-setting approaches, we are increasingly concluding that companies, especially those with carbon-intensive businesses, are not adequately managing material risks and planning for the long-term.

Details

  • Proponent
  • Shareholder
  • Resolution
  • Report on Climate Change
  • Vote
  • For
  • Rationale
  • N/A
  • Details
  • While Ovintiv has made notable progress on their climate reporting from a governance and risk management perspective, the company has yet to set targets recommended by the TCFD framework or disclose a clear timeline for doing so.