[環境ＮＧＯが3メガ銀と中部電に株主提案、取締役会の監督能力問う＝関係者] April 15, 2024

[Japanese-to-English translation by Business & Human Rights Resource Centre]

Environmental groups both in Japan and overseas have jointly submitted shareholder resolutions regarding climate change measures to the three major banks and Chubu Electric Power Co.(9502.T). Until last year, the resolutions focused on requests for disclosure of investment and loan plans for decarbonisation. This year, they have set their sights on the governance of the target companies, urging them to strengthen the oversight function of their directors regarding climate-related business risks, according to a person familiar with the matter...

Until now, the companies were called for the formulation and disclosure of more reliable transition plans and investment policies in order to achieve the goal of virtually zero carbon dioxide emissions by 2050, but it has been analyzed that the insufficient disclosure is due to governance issues, such as insufficient oversight by the board...

This year, they are called for the amendment of companies' articles to require them to establish and disclose policies and procedures for evaluating whether directors have appropriate oversight capabilities with regard to the climate-related business risks...

The report also recommended that the three mega banks disclose their assessment of the decarbonization plans of their clients in high-emitting sectors and the steps they take if they cannot obtain credible plans, in an effort to question the effectiveness of the decarbonization support they are providing to their clients...

Sumitomo Mitsui Financial Group commented, "It is true that we have received the resolutions. We will carefully examine the contents and consider how to respond," while Mizuho Financial Group said, "It is true that we have received the shareholder resolutions in writing, but we will refrain from commenting on the details," and Mitsubishi UFJ Financial Group declined to comment. A spokesman for Chubu Electric Power said, "We are currently checking the matter, including whether there is a resolution or not."

...