CHEVRON CORPORATION | Stockholder proposal to report on business with conflict-complicit governments

Status
12.40% votes in favour
AGM date
Proposal number
8
Resolution details
Company ticker
CVX
Lead filer
The International Brotherhood of Teamsters (IBT)
Co-filers
Riverwater Partners LLC, Sisters of St. Dominic of Caldwell, NJ, Unitarian Universalist Common Endowment Fund, LLC
Resolution ask
Conduct due diligence, audit or risk/impact assessment
ESG theme
  • Social
ESG sub-theme
  • Conflict and/or violence
Type of vote
Shareholder proposal
Filer type
Shareholder
Company sector
Energy
Company HQ country
United States
Supporting materials
  • 2022_exempt_solicitation_-_genocide_policy_myanmar_final.pdf Download
Resolved clause
BE IT RESOLVED: The shareholders request the Board to
publish a report six months following the 2022 annual general
meeting, omitting proprietary information, and prepared at
reasonable cost, evaluating the feasibility of adopting a policy
of not doing business with governments that are complicit in
genocide and/or crimes against humanity as defined in
international law.
Whereas clause
WHEREAS: Chevron, in partnership with Total, PTT, and
Myanmar Oil and Gas Enterprise (MOGE), holds equity in one
of the largest investment projects in Myanmar (Burma): the
Yadana gas field and pipeline that has generated billions of
dollars for the Myanmar military junta. Together, Total and
Chevron have a majority controlling interest in Yadana
project.
In Myanmar, foreign participation in the energy sector takes
place through joint ventures with the MOGE, which is a
department of the Myanmar government. Since it seized
power in the February 1st, 2021, coup d’etat, the Myanmar
military now holds total control over MOGE.
The United States and United Kingdom have imposed
sanctions against Myanmar military-owned companies. A
bipartisan group of senators have urged the U.S.
administration to place sanctions on MOGE.
The Myanmar military has a long history of egregious human
rights abuses, particularly against ethnic minorities. In August
2017, a military crackdown caused an estimated more than
700,000 Rohingya to flee to neighboring Bangladesh where
they remain to this day. The U.S. Holocaust Memorial Museum
has reported that the Rohingya remain “at grave risk of
additional mass atrocities and even genocide.”
Nicholas Koumjian, head of the United Nations Independent
Investigative Mechanism for Myanmar, stated in November
2021, that preliminary evidence collected since the military
coup shows a widespread and systematic attack on civilians
“amounting to crimes against humanity.”
The National Unity Government of Myanmar, made up of
elected officials and civil society leaders, has called on the oil
companies operating in Myanmar to withhold from the
military junta and place in escrow any payments due to the
Myanmar government.
Since the February 2021 military coup, the “Blood Money
Campaign” by Myanmar and international civil society
organizations has organized protests, consumer boycotts,
and media pressure against companies, including Chevron,
that provide financial support to the military junta. In addition,
dozens of oil workers in Myanmar have petitioned oil
companies to suspend payments to the ruling junta.
The International Coalition for the Responsibility to Protect
(ICRtoP) monitors countries worldwide for instances of
serious crimes under international law including genocide,
war crimes, ethnic cleansing, and crimes against humanity.
ICRtoP lists several countries, cited by the United Nations and
civil society organizations, in which Chevron is currently
producing oil and gas: Burma (Myanmar), Democratic
Republic of Congo, and Nigeria.
Supporting statement
As shareholders, we believe that our company has the duty to
avoid the moral, legal, financial, reputational, and operational
risks posed by doing business with governments complicit in
genocide and/or crimes against humanity. It is incumbent
that our board adopts policies that protect shareholder value
from these risks.

How other organisations have declared their voting intentions

Organisation name Declared voting intentions Rationale
KBI Global Investors For
LocalTapiola Asset Management Ltd For A vote FOR this proposal is warranted, shareholders would benefit from additional information on the assessment
of adopting a policy of not doing business with governments that are complicit in genocide and/or crimes against humanity and how the company is evaluating and managing related operational risks that have the potential to negatively affect shareholder value.
Universities Superannuation Scheme - USS For

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