Climate activist shareholder group Follow This filed resolutions at BP (BP.L) and Shell (SHEL.L) demanding disclosure of long-term strategies for declining fossil fuel demand scenarios.
The move signals growing investor pressure on oil majors to provide clearer roadmaps as energy transition accelerates and could force both companies to address potential stranded asset risks more transparently.
Key Takeaways
- Follow This files shareholder resolutions at BP, Shell
- Demands disclosure of declining oil demand strategies
- Over 20 investors back transparency push
Market Context & Investor Pressure
The shareholder resolutions come as both oil giants face mounting scrutiny over their energy transition strategies 1. BP shares have underperformed Shell in recent years, with activist hedge fund Elliott Management recently building a 5% stake worth almost 3.8 billion in BP 2.
Follow This, backed by more than 20 institutional investors, previously garnered 17% shareholder support at BP’s annual meeting when challenging the company’s climate strategy 3. The group now concentrates on demanding longer-term strategic disclosure under declining demand scenarios.
Strategic Transparency Demands
The activist campaign targets both companies’ preparedness for potential fossil fuel demand destruction. “The board should be transparent about how Shell plans to create value as fossil fuel demand declines,” said Arjan Keizer, a former Shell executive supporting the initiative 4.
The resolutions specifically call for disclosure of strategies addressing scenarios where oil and gas demand falls faster than currently projected. This follows criticism that existing company plans lack sufficient detail on managing transition risks.
Corporate Response & AGM Season
Shell recently announced a moderation of its near-term carbon emissions cuts, drawing criticism from Follow This and other climate-focused investors 5. The timing of these resolutions positions climate strategy as a key battleground for the 2026 annual general meeting season.
Both BP and Shell have previously argued their existing disclosures adequately address energy transition scenarios. However, the sustained activist pressure suggests institutional investors want more granular strategic planning around demand decline possibilities.
Investment Implications
The shareholder resolutions highlight growing institutional focus on long-term value creation amid energy transition uncertainty. Investors are increasingly demanding clarity on how oil majors plan to maintain profitability if fossil fuel demand peaks earlier than company base-case assumptions.
Success of these resolutions could set precedent for similar activist campaigns across the energy sector, potentially forcing broader industry disclosure standards around transition planning and stranded asset risks.
Not investment advice. For informational purposes only.
References
1Reuters (2026-01-14). “Climate activist shareholder group pushes BP, Shell on plans for declining oil demand”. Reuters. Retrieved January 14, 2026.
2The Guardian (2025-02-13). “Activist hedge fund reportedly amasses 3.8bn stake in BP”. The Guardian. Retrieved January 14, 2026.
3Follow This. “Press release Archives”. Follow This. Retrieved January 14, 2026.
4CNBC (2026-01-14). “How activist investors plan to take on Big Oil at the 2026 AGM season”. CNBC. Retrieved January 14, 2026.
5Follow This. “Climate change Archives”. Follow This. Retrieved January 14, 2026.