Dominion Energy (Dominion Energy Resources, Inc.) | Report on lobbying at Dominion Energy (Dominion Energy Resources, Inc.)

Status
15.60% votes in favour
AGM date
Previous AGM date
Proposal number
4
Resolution details
Company ticker
NYSE: D
Lead filer
Undisclosed filer
Resolution ask
Report on or disclose
ESG theme
  • Governance
ESG sub-theme
  • Lobbying / political engagement
Type of vote
Shareholder proposal
Filer type
Shareholder
Company sector
Utilities
Company HQ country
United States
Resolved clause
Shareholders of Dominion request the preparation of a report, updated annually, disclosing:
1. Company policy and procedures governing lobbying, both direct and indirect, and grassroots lobbying communications.
2. Payments by Dominion used for (a) direct or indirect lobbying or (b) grassroots lobbying communications, in each case including the amount of the payment and the recipient.
3. Dominion's membership in and payments to any tax-exempt organization that writes and endorses model legislation.
4. Description of management's and the Board's decision-making process and oversight for making payments described in sections 2 and 3 above.

For purposes of this proposal, a "grassroots lobbying communication" is a communication directed to the general public that (a) refers to specific legislation or regulation, (b) reflects a view on the legislation or regulation and (c) encourages the recipient of the communication to take action with respect to the legislation or regulation. "Indirect lobbying" is lobbying engaged in by a trade association or other organization of which Dominion is a member.

Both "direct and indirect lobbying" and "grassroots lobbying communications" include efforts at the local, state and federal levels.

The report shall be presented to the Audit Committee or other relevant oversight committees and posted on Dominion's website.
Whereas clause
We believe in full disclosure of Dominion's direct and indirect lobbying activities and expenditures to assess whether Dominion's lobbying is consistent with its expressed goals and in shareholder interests.
Supporting statement
Dominion spent $22,240,000 from 2010 - 2019 on federal lobbying. This does not include state lobbying, where Dominion lobbies but disclosure is uneven or absent.

Dominion belongs to the American Gas Association, Edison Electric Institute, Chamber of Commerce, Consumer Energy Alliance (CEA), National Association of Manufacturers and Nuclear Energy Institute, which altogether spent $104,543,092 on lobbying for 2019. Dominion does not disclose its payments to trade associations, or the amounts used for lobbying where the trade association directly pays tax on the portion that is not deductible. This means Dominion could be making additional payments that are used to lobby but not disclosed where the trade association is paying the tax. It is also unclear whether Dominion is disclosing all third- party grassroots lobbying that does not get reported at the federal level under the Lobbying Disclosure Act, and disclosure is uneven or absent in states.

We are concerned Dominion's payments to third-party groups are potentially being used for undisclosed grassroots lobbying. For example, in South Carolina, CEA reportedly "sent fraudulent emails to state legislators bearing the names and addresses of residents who later said they were impersonated" to advocate for a plan by Dominion to purchase SCANA Corporation.1 The American Gas Association has funded Your Energy, described as "a fake grassroots" group supporting the Atlantic Coast Pipeline owned by Dominion.2 And Dominion does not disclose its support for the American Legislative Exchange Council.

We urge Dominion to expand its lobbying disclosure.

How other organisations have declared their voting intentions

Organisation nameDeclared voting intentionsRationale
Dana Investment Advisors (Delisted)For

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