New Report: Oil Fund Vote Watch Climate 2025 - Fossil AGMs
Norges Bank Investment Management (NBIM) frequently repeats that an "engage-to-change" approach yields the best financial results for the fund and contributes to better real-world outcomes. They state that ‘if a company fails to meet expectations, we may vote against the board, vote for shareholder proposals, or file our own resolutions.’
However, the report reveals a significant implementation gap between the fund's stated climate goals and its actual voting at the companies that pollute the most. Although NBIM profiles itself as a leader in responsible investment and maintains that climate risk is a fundamental financial risk, the 2025 season reveals a passive reality.
Key Findings from the 2025 Season: The analysis of 23 key votes at 12 prioritized oil and gas companies (including Exxon, Chevron, Shell, and BP) shows the following:
1. Lack of use of voting rights against climate laggards: Of the 23 analysed votes, NBIM signalled dissatisfaction with the companies in only three instances. Only one of these (Petrobras) could potentially be linked to climate concerns.
2. Opposition to climate proposals: Two pro-climate shareholder proposals were presented at these companies' general meetings; NBIM voted with management and against both proposals.
3. No proposals of their own: NBIM submitted zero own climate-related shareholder proposals in 2025 (in their entire portfolio of >9000 companies), despite having the tool available.
4. Lethargic use of exclusion: No new companies were excluded under the "climate criterion".
5. Double Standard: A troubling trend: NBIM reported voting against 21 other companies in its entire portfolio due to climate risk, but none of the 12 largest emitters in this analysis were on that list. This indicates that NBIM sets stricter requirements for smaller companies than for the "Carbon Majors" responsible for the majority of global emissions.
Recommendations and the Way Forward: To close the implementation gap, the report suggests that NBIM must:
- Align its voting with its own climate expectations.
- End the "double standard" and hold the largest polluters accountable on the same terms as smaller companies.
- Begin submitting its own shareholder proposals to drive change where dialogue alone is ineffective.
- Re-Activate the climate exclusion criterion for companies that lack credible transition plans and are expanding fossil production in violation of the 1.5-degree target.
