THE BANK OF NOVA SCOTIA | Advisory vote on environmental policies at The Bank of Nova Scotia

Status
Filed
AGM date
Previous AGM date
Proposal number
5
Resolution details
Company ticker
BNS
Lead filer
Mouvement d'éducation et de défense des actionnaires (MÉDAC)
Resolution ask
Adopt or amend a policy
ESG theme
  • Environment
ESG sub-theme
  • Climate change
Type of vote
Shareholder proposal
Filer type
Shareholder
Company sector
Financials
Company HQ country
Canada
Resolved clause
Be it proposed that the Bank adopt an annual advisory voting policy regarding its environmental and climate (say on
climate) objectives and action plan.
Supporting statement
The most recent Banking on Climate Chaos20 report reveals that the five largest banks in Canada have provided nearly
US$104 billion in financing to the fossil fuel industry in 2023. The breakdown is as follows: Royal Bank: US$28.2 billion; Bank of
Nova Scotia US$29.3 billion; Toronto-Dominion Bank US$20.3 billion, Bank of Montreal, US$15.8 billion and Canadian Imperial
Bank of Commerce, US$15.5 billion.
According to Alex Walker of the group Environmental Defense, by continuing to direct billions in fossil fuels, Canadian banks risk
exposure to stranded assets. A stranded asset is an investment that loses its value before the end of its useful life due to the
impact of changes in society21.
Add to this dismal record that, according to a Bloomberg NEF report published in December 2023, the country’s banks rank
among the worst of the 100 worst banks when it comes to the share of funding allocated to low-carbon energy sources22.
In addition to the reputational risks that come with such investments, Canadian banks are also exposing their shareholders to the
possibility of significant stranded asset risks, which could lead to a sharp decline in the value of their shares.
It is therefore appropriate for shareholders to be able to express their views on the environmental guidelines taken by the Bank.
This proposal has garnered significant support in the past, receiving 12.87% of votes in favor, and as such, we are retabling it for
consideration.

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