University Will Vote Its ExxonMobil Shares In Favor of Shareholder Environmental Proposal
Santa Monica, CA — Bowing to concerns voiced about the university’s ties to oil giant ExxonMobil, Stanford University today said it will vote its Exxon shares against the company’s management and in favor of a shareholder environmental proposal.
The Foundation for Taxpayer and Consumer Rights (FTCR) said the decision was the only appropriate action following criticism of Exxon‘s influence over the industry funded Global Climate and Energy Program at Stanford. FTCR challenged the institution to continue to assert its academic integrity and independence by renegotiating the GCEP deal and taking control of the research agenda and any discoveries made.
The Foundation noted that ExxonMobil, which has run TV and newspaper ads touting its ties to Stanford to “greenwash” itself, cites GCEP as a reason for shareholders to vote against the environmental proposal.
According to Exxon‘s proxy statement:
“ExxonMobil worked to establish and is providing $100 million to Stanford University‘s Global Climate and Energy Project — a pioneering climate and energy research effort — to accelerate development of commercially viable energy technologies that can lower GHG emissions on a broad scale.”
“Stanford was one of the first big extension campuses of Big Oil U,” said John M. Simpson, an FTCR advocate. “It’s refreshing to see them finally listening to their alumni and others concerned about ExxonMobil’s blatant abuse of the school’s image as a leading research institution.”
Set up in 2002, Stanford’s GCEP is governed by a management committee comprised of the sponsors, Exxon, General Electric, Schlumberger and Toyota. The university doesn’t even have a vote. The corporate committee can decide what discoveries merit seeking a patent. Exxon and fellow corporate sponsors get exclusive rights for five years to patented discoveries made by the project’s researchers. Chief sponsor ExxonMobil has free rein to publicize the Stanford connection for corporate “greenwashing.”
“It’s bad enough what impact the deal has had on Stanford,” said Simpson. “What’s even more worrying is that it can become the model for other Big Oil U extension campuses like UC Berkeley and UC Davis.”
Berkeley is in the midst of negotiating a half-billion-dollar deal with British oil giant BP to create the Energy Biosciences Institute on Campus. UC Davis‘ Bioenergy Research Group is funded by $25 million from Chevron.
Concern about ExxonMobil’s abuse of its ties to the GCEP prompted philanthropist Steve Bing to recall a planned $2.5 million gift to the university. He had already donated $22.5 million. ExxonMobil is the largest donor to GCEP with $100 million.
Shareholder resolution No. 15 is sponsored by the Sisters of St. Dominic of Caldwell, NJ and 41 co-filers. It asks the ExxonMobil board to set goals for reducing greenhouse gas emissions from both its operations and products. The resolution will be considered at the annual meeting on May 30.
“Maybe Stanford was mostly worried about losing more donations,” said Simpson. “Whatever the reason, it’s good to see the university do the right thing. For the students’ and faculty’s sakes, I challenge the university to keep it up.”
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The Foundation for Taxpayer and Consumer Rights is a nonprofit, nonpartisan consumer advocacy group based in Santa Monica, CA. Check our websites www.consumerwatchdog.org and www.oilwatchdog.org.
