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Shell’s Church Shareholders Asked to Support Greater Accountability

Churchgoers with shares in multinational Royal Dutch Shell are being asked to support a resolution to make the company more socially responsible.

by Maria Mackay
Posted: Saturday, January 21, 2006, 18:22 (GMT)
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Churchgoers who hold shares in oil giant Royal Dutch Shell are being asked to support a proposal to make the company for accountable.

A resolution is expected to be brought forward soon by the Ecumenical Council for Corporate Responsibility (ECCR) calling for greater responsibility to the company’s 2006 Annual General Meeting.

ECCR voiced concern over the impact of Shell operations on some its ‘frontline’ communities, or those living in close contact with these operations, saying it ‘merits urgent attention’.

The local communities and environment close to Shell facilities in the Niger Delta region of Nigeria, County Mayo in Ireland and on Sakhalin Island off the coast of Russia warrant particular concern, according to ECCR.

The ECCR resolution calls for “a major improvement in Shell’s performance in terms of community and stakeholder consultation, risk analysis, and social and environmental impact analysis.”

Christian Aid brought forward criticism of the UK and Netherlands-based oil multinational in 2004 for failing to prevent and clean up oil spills.

The Christian charity also criticised Royal Dutch Shell for dividing communities around its Delta operations.

In its special report, Behind the Mask, Christian Aid called on Shell to take greater responsibility of the localities in which it operates, urging the company to set up ‘arms-length funding’ of community development projects.

“Some of those shouting the loudest about their corporate virtues are also among those inflicting continuing damage on communities where they work - particularly poor communities,'” said Andrew Pendleton, senior policy officer at Christian Aid and author of the report at the time of its release in 2004.

“Legally binding regulation is now needed to lessen the devastating impact that companies can have in an ever-more globalised world.'”

Christian Aid also called on the oil giant to develop a more prompt response to environmental problems.

The ECCR is a Christian Aid Partner that works to promote shareholder activism in the UK churches.



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