Publication de la Commission Climat et Finance Durable : résolutions climatiques

The AMF issued a prss release, informing that the Climate and Sustainable Finance Commission (CCFD) has released a position paper on climate resolutions, which outlines how members would like to see dialogue on climate issues in the General Assembly.
The CCFD is made up of financial market players, companies, academics, experts, and representatives of civil society and helps the AMF carry out its regulatory and supervisory missions related to sustainable finance. The position paper does not commit the AMF, and the views expressed are exclusively those of the CCFD and not necessarily representative of the institutions to which its members belong.
The CCFD notes that an evolution of the regulatory and legislative framework in France to facilitate the submission of climate resolutions is necessary. The topic of climate change impacts ecosystems and humanity as a whole, and similar changes have already been made by financial regulators in the US. In France, the AMF is the most relevant body to regulate the admissibility of shareholder resolutions due to its deep knowledge of the functioning of financial markets and its actors. This requires strengthening the AMF’s human resources to assume this mission. While climate change is not the only urgent issue, resolutions on climate change are crucial for the dialogue between shareholders and to realize sustainability goals. The authors suggest a partnership vision of corporate governance on sustainability issues.
The CCFD proposes the following resolutions:
With regard to climate resolutions proposed by shareholders at company general meetings, these should be prioritized, the powers of the AMF in case of a rejection of such a climate resolution should be increased, and the recourse to the commercial court should be facilitated. The AMF would regulate and control the rejection of a shareholder resolution. If the commercial court rejects the company’s request, the resolution would automatically be included on the agenda and submitted to a vote at the next general meeting. The AMF would ensure compliance with this new provision and good communication with the market.
With regard to resolutions at the initiative of companies in order to validate their climate strategy with their shareholders („Say on Climate“), the French law is evolving to make it mandatory for companies to submit their climate strategy and decarbonization plan to a shareholder vote. The CCFD recommends that the Say on Climate be mandatory for all companies subject to the CSRD and that a resolution on climate strategy and decarbonization plan be submitted to shareholders at least every three years. The content of the resolution should include publishing greenhouse gas emissions, reduction objectives, investment expenses, operational expenses, scenarios, alignment with a 1.5-degree trajectory, carbon capture contribution, use of carbon offsets, and climate-related governance, strategy, risk management, metrics, and objectives in line with Task Force on Climate Related Financial Disclosures (TCFD) standards. If the resolution is rejected or contested, the company should consult with shareholders and propose a new strategy at the next annual general meeting.