By Zandi Shabalala and Helen Reid
LONDON/JOHANNESBURG, May 28 (Reuters) - Glencore on
Thursday defended its climate policy from activists who want
targets set for the use of its products, with Chairman Tony
Hayward saying the miner's current plan will cut greenhouse gas
emissions.
Pressure on miners has mounted after Norway's $1 trillion
wealth fund this month said it would sell its Glencore shares
because it produces coal.
In a call ahead of an annual general meeting on June 2,
activist charity ShareAction said Glencore should align its
policy with the Paris climate goals by setting targets for Scope
3 emissions, which are generated when its products are used.
Glencore, which is the world's largest exporter of seaborne
coal, says it should exceed plans to lower direct and indirect
emissions from its operations but has not set Scope 3 targets.
It instead provided a projection for those emissions to
decline 30% by 2035 mainly because of falling coal output.
"I don't want to get into a debate about semantics between
projections and targets," Hayward, also former CEO of BP Plc
, told shareholders.
"The projection we have made is a direct consequence of the
capital allocation we are making and I think it's much more
robust than the so-called targets that other people have out
there."
Among other miners, BHP and Brazilian
miner Vale have pledged to set scope 3 goals, while
Rio Tinto shareholders earlier this month voted
against forcing the miner to set a target.
Miners say measuring emissions is complex and they have
little control over the supply chain.
Glencore also faces opposition from shareholders advisor
Pensions & Investment Research Consultants (Pirc), which opposes
Hayward's re-election because of his time at BP during the
Deepwater Horizon spill in the Gulf of Mexico.
Pirc said Hayward could not be considered independent after
more than nine years at the helm of the Glencore board.
(Reporting by Zandi Shabalala and Helen Reid; editing by
Barbara Lewis)
Rio Tinto (RIO)
Glencore (GLEN)
BP (BP.)
