Investors who are members of the Interfaith Center on Corporate Responsibility say they are are making headway working with oil and gas companies to build support for strong environmental regulations for natural gas production.
The Interfaith Center has commended Shell, ExxonMobil and BP for making public commitments to support the need for stringent regulations to control methane emissions. The center is lobbying 30 oil and gas companies to support environmental regulations that are now in place. The federal Environmental Protection Agency has proposed rolling back methane emissions regulations.
Sixty-one signers, mostly institutional investors, are part of the effort to retain emissions standards. The signers, who have a total of $1.9 trillion in assets under management, include church organizations, environmental organizations and funds, and the New York City Comptroller's Offce and the Maryland State Treasurer.
The members of the Interfaith Council, a nonprofit organization based in New York City that uses shareholder advocacy to work for social change, said public endorsements from industry leaders, such as those at the three oil and gas companies, “send a strong signal to the EPA that its proposals to roll back current methane regulations are seen as ultimately harmful, not only to the environment, but to the long-term sustainability and competitiveness of the natural gas industry.”
Cutting methane emissions is a way to reduce greenhouse gas emissions. According to a recent Intergovernmental Panel on Climate Change report, “countries will not be able to limit global warming to 1.5 degrees Celsius above pre-industrial levels, which is considered by some scientists and policymakers to be the safe limit of climate change, without immediate and rapid reductions in a wide range of greenhouse gases, including methane.”
The Interfaith Council members said strong federal methane regulations are critical to slowing catastrophic global warming. Methane is a byproduct of the process of extracting natural gas, which is seen as a transition fuel between oil and cleaner types of energy production.
In their work with oil and gas producers, Interfaith Council members said, “Strong and fair methane regulations create a more stable environment by leveling the playing field among U.S. oil and gas companies. Further, as the U.S. is a net exporter of natural gas, and as an increasing number of other countries adopt legislation and policies to address climate change, sound methane regulation preserves the industry’s global competitiveness.”
In a letter sent to 30 oil and gas companies and signed by 61 investors, the investors warned that the elimination of the regulations now in place would be detrimental to the environment and to the companies. Shell, ExxonMobil and BP have complied so far by publicly declare their support for continued EPA regulations and their opposition to the elimination of direct regulation of methane emissions.