Mitsubishi Corporation | Amendment to articles of incorporation (adopt & disclose Paris-aligned GHG targets) at Mitsubishi Corporation

Status
19.96% votes in favour
AGM date
Previous AGM date
Proposal number
5
Resolution details
Company ticker
8058
Lead filer
Market Forces
Co-filers
FoE Japan
Resolution ask
Adopt or amend a policy
ESG theme
  • Environment
ESG sub-theme
  • Net Zero / Paris aligned
Type of vote
Shareholder proposal
Filer type
Shareholder
Company sector
Industrials
Company HQ country
Japan
Resolved clause
Propose partial amendment to the Articles of Incorporation (adoption and disclosure of short-term and
mid-term greenhouse gas emission reduction targets aligned with the goals of the Paris Agreement)
Whereas clause
It is proposed that the following provision be added to the Articles of Incorporation:
Chapter: “Transition Plan”
Clause: “Adoption and disclosure of a business plan with short-term and mid-term greenhouse gas
emission reduction targets aligned with the goals of the Paris Agreement”
1. To maintain and promote the long-term value of the Company, given the risks and opportunities
associated with climate change, and in accordance with the Company's support for the Paris
Agreement, the Company shall adopt and disclose a business plan with short-term and mid-term
greenhouse gas emission reduction targets aligned with Article 2.1(a) of the Paris Agreement (the
“Paris goals”).
2. The targets shall cover scope 1, 2 and 3 greenhouse gas emissions and disclose on each scope
separately.
3. The Company shall report on its progress on an annual basis
Supporting statement
Supporting Statement
This shareholder proposal seeks the disclosure of short and mid-term greenhouse gas emission reduction targets including scope 1 to scope 3.
Mitsubishi is continuing and expanding the construction of thermal power plants, and new oil and gas production contrary to the findings of the landmark net zero by 2050 scenario produced by the International Energy Agency. As a result, Mitsubishi is contradicting the goal and the timeline of net zero
emissions by 2050 it claims to support.
The requested short and midterm disclosures are recommended by the Taskforce for Climate-related Financial Disclosures (TCFD), and are also consistent with investor expectations as evidenced by investor initiatives and shareholder proposals in other markets. Global peers of the Company are also disclosing
this type of information in more detail.
Approval of this proposal will place the Company in a better position to manage transition risk and opportunities and at an early timing, and to maintain long-term corporate value as the Company shifts toward a decarbonised economy.

https://shareholderaction.asia/wp-content/uploads/2023/04/2023-04-Mitsubishi-shareholder-proposal-JP-and-EN-2.pdf

How other organisations have declared their voting intentions

Organisation nameDeclared voting intentionsRationale
Anima SgrForGiven the company's appetite to expand the LNG business, which appears inconsistent with a goal of net zero by 2050, the proponents' argument appears compelling, especially in view of the size of the company's scope 3, and the absence of any detailed information related to the company's transition plan to address those emissions and the risks related to. The proposed contents do not appear to be unduly burdensome or overly prescriptive.
It is in shareholders' interest to better understand how the company intends to remain viable in the long term and monitor the company in its pathway to net zero 2050, which is also Japan's national target, as well as the financial risks the company is facing in a decarbonized economy that implies lower demand in oil & gas.
Kutxabank Gestion SGIIC SAU.For
Irish Life Investment ManagersFor

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