Welcome back to The Strawman, the daily climate newsletter that’s watching the oil majors like a hawk — because somebody has to.

The Revolt at BP

A coalition of 48 institutional investors has called on BP to give shareholders a vote if the company plans to scale back its climate commitments. This comes after US activist hedge fund Elliott Management, which holds nearly 5% of BP, began pushing the company to focus more on fossil fuels and divest from green energy investments.

BP’s current strategy, introduced in 2020, includes cutting oil and gas production by 40% by 2030. That goal was already softened to 25% two years ago, and investors worry it could be scrapped altogether when BP’s new CEO, Murray Auchincloss, presents an updated plan next week. The investors — including Rathbones, Phoenix Group, Robeco, and Royal London Asset Management — collectively hold about 2.5% of BP’s shares. Their letter to BP’s chair, Helge Lund, insists that shareholders should have a vote on any major changes.

Why This Matters

Under pressure from Elliott Management, BP is expected to boost oil and gas spending to maintain current production levels. The concerned investors argue that scaling back climate goals could expose BP to long-term financial risks as global energy markets shift toward renewables. They also want more transparency on fossil fuel investments to ensure alignment with the Paris Agreement’s climate goals.

What’s Next?

BP hasn’t offered shareholders a vote on its climate strategy since 2022 when 88% supported its emissions reduction plan. With new changes imminent, the investors are demanding a vote at BP’s 2025 annual meeting. Meanwhile, Elliott is pushing for a “fundamental pivot” — not necessarily increasing oil and gas output but optimising capital allocation, reducing costs, and selling off non-core assets.

The Takeaway

BP’s leadership faces a balancing act: satisfy Elliott’s demands for higher returns while maintaining credibility with long-term investors focused on sustainability. Next week’s investor day could set the tone for BP’s future — and test how much influence shareholders really have when climate commitments and financial performance collide.