AES agrees to produce report on climate preparedness
Agreement follows years of dialogue
AES, an electric utility company with broad domestic and international reach, has agreed to issue a “two degree” scenario report by the end of October 2018. Praxis Mutual Funds® and several other investors will have the opportunity to offer input along the way.
For the past three years, Praxis has co-filed resolutions asking the company to assess the long-term business impacts of public policies and technological advances aiming to limit global warming to no more than two degrees Celsius over pre-industrial levels. This two degree limit is the basis of the Paris Agreement that the vast majority of world governments have adopted.
In addition to filing resolutions, Praxis has been in dialogue with AES, encouraging the company to produce regulatory and business scenario analyses that incorporate the trend toward low-carbon energy sources, and explore how they can adapt their business plans to take it into account.
AES’s commitment to creating the two degree report will help investors understand the company’s plans and better prepare AES to limit its climate change risks and identify key opportunities in the transition to a cleaner economy.
Learn more about Praxis shareholder advocacy.