As the 2026 Annual General Meeting (AGM) season approaches, activist investors are ramping up their efforts to hold major oil giants accountable for their role in climate change. Among the key players in this battle is the Dutch activist group, Follow This, which is targeting oil majors like Shell and BP with new shareholder resolutions. These resolutions are designed to pressure these companies to provide greater transparency about their business strategies in a world where oil and gas demand is expected to decline.
A Shift in Strategy for Follow This
In the past, Follow This has focused primarily on urging oil companies to adopt stricter emissions reduction targets. However, with investor enthusiasm for such resolutions waning, the group is pivoting. In 2026, it will focus on the financial risks posed by a potential drop in demand for fossil fuels, shifting the narrative from climate action to financial sustainability. This marks a significant change in how environmental issues are being framed in the boardrooms of Big Oil.
According to Follow This founder, Mark van Baal, investors have long been aware of the looming risks of climate change to their portfolios. Yet, many have been reluctant to take significant action for fear of legal repercussions or political fallout, especially in markets like the U.S. where climate change denial is still prevalent in some circles. By emphasizing the financial risks of declining fossil fuel demand, Follow This aims to engage investors on a more pragmatic level, one that addresses their bottom lines.
What Do the Resolutions Demand?
The resolutions, co-filed by Follow This and 23 other institutional investors managing a collective €1.5 trillion ($1.75 trillion) in assets, will be presented at the 2026 AGMs of Shell and BP. The crux of these resolutions is a request for these companies to disclose how they plan to generate shareholder value in scenarios where oil and gas demand decreases, particularly under the International Energy Agency’s (IEA) Stated Policies Scenario (STEPS) and Announced Pledges Scenario (APS).
These scenarios, both of which foresee a future in which fossil fuel use declines, highlight the urgent need for oil companies to rethink their strategies. The resolutions also push for transparency about how Shell and BP plan to adapt their business models to reflect these changing energy dynamics.
Shell and BP’s Response
Both Shell and BP have made public commitments to achieve net-zero emissions by 2050. However, their recent actions suggest that these goals might be more about public relations than actual change. Both companies have scaled back their investments in green energy projects and have refocused their efforts on expanding their core hydrocarbon businesses.
For Shell, the recently appointed CEO Wael Sawan has emphasized the role of Liquefied Natural Gas (LNG) in the energy transition, with forecasts showing a 60% increase in global LNG demand by 2040. Similarly, BP, which announced a significant green strategy overhaul in early 2025, has pledged to increase its investments in oil and gas while scaling down its renewable energy spending.
These shifts in strategy, according to Follow This, are troubling signs that Big Oil is more focused on short-term profit than long-term sustainability. By increasing its financial risk exposure to fossil fuels, these companies may be jeopardizing their future growth prospects in a world that is increasingly moving toward clean energy.
The Role of Investors
The push by Follow This is gaining traction among institutional investors, some of whom are calling for greater transparency from oil companies. For instance, Sara E. Murphy from the Sierra Club Foundation, one of the co-filing investors, stated, “Shareholders are rightly requesting vital transparency from BP on its long-term business strategy.” With analysts predicting a decline in fossil fuel demand, many investors are concerned about BP’s current strategy, which is heavily reliant on growth in the oil and gas sector.
Why This Matters for the Future of Energy
The fossil fuel industry’s role in climate change is undeniable, but it’s equally important to recognize the shifting landscape of energy demand. As nations around the world work to meet their Paris Agreement goals, demand for renewable energy is expected to surge, while the long-term future of oil and gas remains uncertain.
For Big Oil companies, the challenge will be balancing short-term profit with long-term sustainability. As environmental activists like Follow This push for greater accountability, these companies will be forced to confront the reality that fossil fuels might no longer be the answer to their growth challenges.
The 2026 AGM season will likely be a crucial moment in this ongoing battle, as institutional investors, environmental groups, and even employees demand that oil giants reconsider their strategies. The message is clear: If the business model isn’t sustainable in the future, shareholders and activists alike will continue to raise their voices in protest.
