NextEra Energy, Inc. | Report on Business Alignment with the Paris Agreement

Status
34.57% votes in favour
AGM date
Previous AGM date
Proposal number
4
Resolution details
Company ticker
NEE
Lead filer
Trillium Asset Management
Resolution ask
Report on or disclose
ESG theme
  • Environment
ESG sub-theme
  • Net zero / GHG emissions
Type of vote
Shareholder proposal
Filer type
Shareholder
Company sector
Utilities
Company HQ country
United States
Supporting materials
  • NextEra 2025 Shareholder Proposal.pdf Download
  • NextEra_2026-Enhanced-Disclosure-Exempt-Solicitation_FINAL.pdf Download
Resolved clause
RESOLVED: Shareholders request the company publish a report, at reasonable cost, within a reasonable time, and excluding confidential or proprietary information, describing if and how NextEra plans to reduce its total contribution to climate change and align its operations and investments with the Paris Agreement’s goal of maintaining global temperatures well below 2 degrees Celsius, and ideally, 1.5 degrees Celsius.
Whereas clause
Whereas: Within the next 25 years, climate change could cut global GDP by up to 19 percent, posing macroeconomic risks that could meaningfully depress returns for long-term diversified investors. Investors have increasingly asked companies to identify material climate risks in order to mitigate physical and transition risks and to capitalize on products and services that offer climate-related solutions. ,
Power companies, such as NextEra, are highly exposed to climate change-driven weather catastrophes through their extensive transmission and distribution assets. According to global experts, power companies also play a foundational role in mitigating climate impacts and transitioning to an economy aligned with limiting global temperature rise to 1.5 degrees Celsius (the Paris Agreement ambition). , , ,
In 2022, NextEra acknowledged the need to mitigate exposure to climate-related risks by adopting its Zero Emissions by 2045 greenhouse gas (GHG) reduction target (inclusive of 5-year interim targets) – which was substantially aligned with recommended power sector GHG emissions reductions needed to achieve the Paris Agreement ambition. , ,
By setting targets, NextEra not only modeled how leading companies mitigate climate risk but responded to the growing need among major clients, such as hyperscalers, to shrink emissions across their operations and supply chains.
Yet, in 2025, NextEra withdrew all of its interim targets and its overarching 2045 target. By withdrawing these targets, it risks failing to meet investor expectations for consistent and transparent oversight of its strategies. Further, this shift invites reputational risk and raises serious concerns for us about the company’s ability to execute on other strategic priorities.
NextEra’s decision is squarely at odds with trends in corporate climate commitments. In a review of 2024 CDP disclosures, PwC writes that, in contrast to recent headlines, companies increased their climate ambition at a rate of 37 percent, far outweighing those in retreat. The Harvard Business Review draws an identical conclusion, noting that “companies with deep operational integration, value-creation alignment, and stable leadership have proven the most resilient [in keeping their commitments] despite shifting political environments.”
As the world’s leading solar and wind developer with net generating capacity of 33 GW and 160+ wind projects in North America, we believe NextEra has a critical role to play in setting scientifically credible GHG emissions reduction targets – both to restore investor confidence and to build upon its leadership position in the renewables and storage industries.

https://www.nature.com/articles/s41586-024-07219-0
https://corpgov.law.harvard.edu/2019/10/15/institutional-investors-views-and-preferences-on-climate-risk-disclosure/
https://www.icgn.org/sites/default/files/2023-11/ICGN%20Viewpoint%20on%20Reflecting%20climate%20change%20in%20financial%
20statements.pdf
https://climateactiontracker.org/publications/paris-aligned-benchmarks-power-sector/
https://files.sciencebasedtargets.org/production/files/SBTi-Power-Sector-15C-guide-FINAL.pdf?dm=1734357615&_gl=1*50m99j*_
gcl_au*MTgxNTc4MDk0Ny4xNzU4NTUxODYyLjEwMzYyOTg4MzUuMTc2MjQ2MzM1Mi4xNzYyNDYzMzUy*_ga*MTIyMDk0MDU1NS4xNzQ3NDE4NTE2*_
ga_22VNHNTFT3*czE3NjM2NTM5MTYkbzQ3JGcwJHQxNzYzNjUzOTE2JGo2MCRsMCRoMTAwMzkzNTYxOQ..#page=7
https://www.irena.org/-/media/Files/IRENA/Agency/Publication/2023/Jun/IRENA_World_energy_transitions_outlook_2023.pdf#page=46
https://www.wri.org/insights/climate-action-this-decade-sectoral-emissions
https://files.sciencebasedtargets.org/production/files/SBTi-Power-Sector-15C-guide-FINAL.pdf?dm=1734357615&_gl=1*50m99j*_
gcl_au*MTgxNTc4MDk0Ny4xNzU4NTUxODYyLjEwMzYyOTg4MzUuMTc2MjQ2MzM1Mi4xNzYyNDYzMzUy*_ga*MTIyMDk0MDU1NS4xNzQ3NDE4NTE2*_
ga_22VNHNTFT3*czE3NjM2NTM5MTYkbzQ3JGcwJHQxNzYzNjUzOTE2JGo2MCRsMCRoMTAwMzkzNTYxOQ..#page=7
https://www.irena.org/-/media/Files/IRENA/Agency/Publication/2023/Jun/IRENA_World_energy_transitions_outlook_2023.pdf#page=46
https://www.wri.org/insights/climate-action-this-decade-sectoral-emissions
https://www.pwc.com/us/en/services/esg/library/assets/pwc-sustainability-decarbonization-2025.pdf
https://corpgov.law.harvard.edu/2025/05/03/corporate-climate-disclosures-and-practices-risk-emissions-and-targets/

How other organisations have declared their voting intentions

Organisation nameDeclared voting intentionsRationale
Kutxabank Gestion SGIIC SAU.For
MirabaudFor
MNForIn 2025, NextEra Energy removed its net zero target for 2045 and its interim CO2 reduction targets. This is disappointing, as the company has demonstrably played a leading role in the development of renewable energy and directs the vast majority of its investments towards renewable power generation. MN considers it important that companies explain how they will reduce their CO2 emissions in line with the Paris Agreement through a transition plan.
ASR Nederland N.V.For
PGGM InvestmentsFor

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