Assess Feasibility of Adopting Quantitative Renewable Energy Goals
RESOLVED: Shareholders request that Rockwell Automation, Inc. (the Company) senior management, with oversight from the Board of Directors, issue a report on climate change mitigation strategies, assessing the feasibility of adopting quantitative, company-wide goals for increasing the Company's use of renewable energy. The report should also evaluate any other measures deemed prudent by senior management to substantially reduce the Company's greenhouse gas (GHG) emissions and the climate change risks associated with the use of fossil fuel-based energy. The report should be issued at reasonable cost within one year of Rockwell Automation 's 2020 annual meeting of shareholders and omit proprietary information.
Supporting Statement: By assessing the feasibility of establishing goals to increase renewable energy usage and by evaluating other measures to reduce GHG emissions and climate risk, Rockwell Automation could prepare to take steps to reduce its emissions of the greenhouse gases contributing to climate change.
The Intergovernmental Panel on Climate Change estimates that a 4.•5% reduction in anthropogenic GHG emissions globally is needed (from 2010 levels) by 2030 to avoid the most extreme impacts of climate change (Global Warming of J .5 degrees C, IPCC, Oct 2018). Assessing the feasibility of clean energy goals and other GHG-reducing measures could serve as a practical step towards aligning the Company's business operations with global efforts to limit climate change. This could help insulate the Company from regulatory uncertainty and also position Rockwell Automation as a company contributing to climate solutions.
Fortuitously, many major companies are finding that GHG-reducing measures are practical and cost-effective. As costs have fallen, carbon-free, renewable energy sources like wind and solar have become, in many markets , the least expensive source of electricity . According to the 2019 Sustainable Energy in America Factbook (Bloomberg ) "at $27-61/MWh without accounting for tax credits, onshore wind is cheaper than new gas-fired plants for bulk electricity generation in most areas of the U.S.'' Likewise, Lawrence Berkeley National Laboratory reported in 2018 that commercial and industrial customers paid just $25 per MWh saved for investments to improve energy efficiency.
Although our company offers technologies to renewable energy developers, its website (accessed August 3, 2019) is silent on its own specific, measurable plans to use renewable energy or increase energy efficiency, giving investors little information about the Company's future plans in this area. As such, Rockwell Automation lags behind industry peers such as Autodesk, Cummins, Kohler, Ingersoll Rand, Xylem, and others that participate in large scale renewable electricity projects, as well as the over 190 leading global companies publicly committed to going 100% renewable. (the full list is available at http://there100.org/)
Accordingly, we urge Rockwell Automation to emulate the best climate risk mitigation practices utilized by its corporate peers and to study the feasibility of adopting long-term clean energy sourcing goals.