A climate activist group is urging the US Securities and Exchange Commission to investigate whether Shell Plc’s claims about its investments in renewable energy are misleading to investors.
Global Witness said that it filed a complaint with the SEC’s Climate and ESG Task Force and through the agency’s tips portal over Shell’s statements on renewables. The London-based energy giant may have “materially misstated its financial commitment to renewable sources of energy,” the nonprofit said in a copy of the filing reviewed by Bloomberg News.
The greenwashing allegation, which Shell denies, adds to efforts to heap pressure pressure on some of the world’s biggest polluting companies as regulators take an increasing interest in climate change. It comes on the heels of a 2021 court ruling in the Netherlands ordering Shell to cut its carbon emissions more aggressively. The company is appealing that decision.
Complaints and tips to the SEC can lead to probes by the regulator’s enforcement unit, or it may decide not to pursue them at all. The SEC declined to comment. The agency’s climate task force is part of its enforcement division.
“Shell is confident that its financial disclosures are fully compliant with all SEC and other reporting requirements,” a company spokesperson said in an emailed comment.
Renewables Business
At the core of Global Witness’s complaint is Shell’s reporting of investments in its Renewables and Energy Solutions segment. It includes solar and wind power generation, but also power trading, carbon capture and storage, and hydrogen production. Global Witness says the labeling of the category is misleading.
“Despite its title, a significant portion of Shell’s spending on Renewables and Energy Solutions appears to be directed toward the marketing and trading of ‘natural’ gas – a fossil fuel – and gas-generated power,” it said.
Shell is seeking to expand its low-carbon energy business in the coming decades as it tries to achieve a target of net-zero emissions by 2050. Capital expenditures in the Renewables and Energy Solutions unit are poised to have hit a record in 2022, based on previous quarterly earnings.
The company reports its fourth-quarter earnings on Thursday.
Photo: The logo of Shell Plc on a oil storage silo. Photographer: Peter Boer/Bloomberg
Was this article valuable?
Here are more articles you may enjoy.
OpenAI Sued Over Claim That ChatGPT Drafted Lethal NC Poisoning Plan 
Some 40% of Planned Data Center Capacity Is in States Wanting to Hit Pause 
Archdiocese of NY Finalizes $800M Fund for Sex Abuse Survivors; Avoids Bankruptcy 
Two Dead at Tampa Office After Man Drove Car into Building and Started Shooting 
