As You Sow has similar agreements with Wells Fargo, Goldman Sachs and Bank of America. The 2020 shareholder decision with JPMorgan Chase, which asked the bank to measure, disclose and reduce emissions in line with the Paris targets, received a small majority of investors. To date, Bank of America and Citigroup and Morgan Stanley have committed to measuring and disclosing EMISSIONS funded by PCAF. „It is fair to think that an important part of the business world in the United States would prefer to be the United States in the Paris Agreement,“ said Robert Perciasepe, former deputy administrator of the Environmental Protection Agency and president of the nonprofit Center for Climate and Energy Solutions. Businesses have also strengthened and advocated for competitiveness. A group of large state-owned companies and CEOs recently signed two letters asking President Trump to stay in the Paris climate accord for reasons of competitiveness, job creation and risk management for businesses. These are followed by hundreds of others, including coal and energy companies, which began shortly after the fall elections. Finally, municipalities, businesses and investors expressed their support in a letter entitled „We Are Still In.“ What about the impact of the U.S. withdrawal on companies, investors and other countries? Some developing countries may wish to follow this example, happy to apologize for leaving the agreement and paying the perceived burden. It should be noted, however, that during the initial Paris negotiations in 2015, countries agreed not only to limit the temperature increase to „well below 2 degrees Celsius“ but also to „continue their efforts to limit it to 1.5 degrees Celsius above pre-industrial levels – a more ambitious goal that aims to bring more countries into the agreement rather than less. Some argue that China could adopt U.S. renewable energy and play a decisive role in the Paris climate agreement if it continues its current path. China`s coal consumption has declined over the past three years; it closed small inefficient coal mines, although it continued to invest in its renewable energy sector, both for the domestic market and for export.
As You Sow, a non-profit organization that promotes environmental and social corporate responsibility through shareholder representation, coalition formation and innovative legal strategies, raised the critical issue of measuring, disclosing and reducing investor-funded issues in a shareholder decision filed last year with Morgan Stanley and four other major banks. The group was able to withdraw its proposal following an agreement in which the company agreed to evaluate the methods of measuring its financed emissions in order to continue aligning its portfolio with the Paris agreement. To put it simply, very little changes. Already, countries` current commitments are not enough for global warming to move from pre-industrial levels to less than 2 degrees Celsius, the stated target of the agreements said. We recognize the potential risk of other countries withdrawing from the agreement, but no one has said so yet, while Europe and China are doubling. Indeed, President Trump`s decision departs from what many companies and investors have recently reported. In addition, we reaffirm our view that most sectors are currently driven by economics and technology rather than politics. An exit from the agreement will take several years. Given that the United States has already ratified the Paris Agreement, it would take four years to formally withdraw from its commitment, unless the United States completely leaves the 1992 treaty establishing the United Nations Framework Convention on Climate Change (UNFCCC), which would likely not take into account the united States` commitments on these two agreements in one year.
President Trump`s option is unclear. Despite the President`s assertion that the current terms of the Paris Agreement are unfair to U.S. companies, we believe that the agreement was deliberately designed as s