In June 2014, Everence participated in a shareholder dialogue (led by Wespath Investment Management) with ConocoPhillips on carbon asset risk – the risk that some fossil fuel reserves may never be extracted and burned, due to unfavorable economics or legislation targeting carbon-intense forms of energy. Addressing carbon asset risk is one of the key discussion points for Everence with fossil fuel companies, and part of our three-pronged climate change engagement strategy.
Investors learned that ConocoPhillips is actively looking at carbon pricing and scenario analysis, and is continuing to make investments in technology for improving its water and greenhouse gas footprint. For major projects, the company conducts a climate change assessment in order to address climate-related risks.
Everence commends ConocoPhillips for its integration of climate change scenarios into long-range planning and, along with other shareholders, is pressing the firm to work at ways to lower the carbon intensity of its energy mix – as well as to consider adding more renewable energy to its development projects.