LONDON, March 29 (Reuters) - Royal Dutch Shell has
proposed linking its directors' pay more closely to the group's
climate performance and severing the link between bonuses and
liquefied natural gas (LNG) production volumes, it said on
Monday.
The weighting of Shell's energy transition performance on
its targeted path to net zero emissions by 2050 would double to
20% of the directors' long-term incentive plan calculation if
shareholders vote for the plan at a meeting on May 18.
This places Shell's efforts to curb its planet-warming
emissions on an equal footing with financial metrics such as
free cash flow generation when it comes to remunerating
directors in Shell shares.
The weighting of the energy transition metric to calculate
directors' bonuses would increase to 15% from 10% under the
changes.
Shell, which paid its Chief Executive Ben van Beurden no
bonus in 2020, also proposed not to raise his salary in 2021.
Shell said its carbon emissions peaked in 2018 at around 1.7
billion tonnes, including greenhouse gases from oil and gas
products Shell did not produce itself but sold to its customers.
Other oil majors such as BP exclude such emissions from
their climate reporting.
(Reporting by Shadia Nasralla; Editing by Edmund Blair)
BP (BP.)
