Climate Policy Engagement Analysis
Climate Lobbying Overview: Fortescue is strategically engaged with climate change policy and displays supportive positions on greenhouse gas targets and standards, carbon taxes and levies and renewable energy. The company also strongly advocates for government policy to support the rapid phase-out of fossil fuels and to facilitate the development of green hydrogen for use in hard-to-abate sectors.
Top-line Messaging on Climate Policy: Fortescue is supportive of ambitious climate action in its top-line messaging. The company emphasized the need to prioritize support for the Paris Agreement’s more ambitious 1.5°C temperature goal in its September 2024 Climate Transition Plan. In addition, Fortescue’s Executive Chairman, Andrew Forrest, has consistently advocated in support of achieving 'real zero’ emissions globally by 2040, for example in a November 2024 Annual General Meeting address. Fortescue likewise called for Australian policymakers to increase the ambition of government regulation on climate change in a May 2024 consultation submission.
Engagement with Climate-Related Regulations: Fortescue displays supportive engagement on greenhouse gas targets and standards, carbon taxes and renewable energy. The company advocated for Australia to adopt a 2035 emissions reduction target of “more than 75 per cent below 2005 levels”, and for this to be achieved without carbon offsets or carbon capture and storage, in its May 2024 submission to the Climate Change Authority’s consultation on setting Australia’s 2035 target. Fortescue also advocated for the introduction of a greenhouse gas fuel standard and a carbon levy for the maritime sector in a November 2024 joint letter. The company has also consistently supported the objectives of Australia’s Capacity Investment Scheme in accelerating investment in renewable energy generation and the country's 82% 2030 renewable energy target, for example, in a May 2024 consultation submission.
Positioning on Energy Transition: Fortescue is strongly supportive of the energy transition. The company has consistently advocated for the introduction of fossil fuel phase-out dates, including the phase out of coal by 2030, for example, in a May 2024 consultation submission. As reported in a November 2024 WA Today article, Executive Chairman Andrew Forrest likewise endorsed the Fossil Fuel Non-Proliferation Treaty, stating that “the only solution that can bring our energy costs down and decarbonise the planet at the same time is to stop burning fossil fuels.” Fortescue likewise actively supports the transition towards renewable energy and an increased role for green hydrogen in hard-to-abate sectors. In its May 2024 submission to Australia’s Electricity and Energy Sector Plan Discussion Paper, the company advocated for the Plan to support the full and rapid decarbonization of the power sector, while also calling for the expansion of Australia’s Hydrogen Headstart and hydrogen production tax credit initiatives to support the growth of the green hydrogen sector.
However, Fortescue appears to adopt less supportive positions on the United States’ clean hydrogen tax credit under the Inflation Reduction Act. In a July 2023 joint industry letter, Fortescue appeared to advocate for weaker implementation guidelines around the clean hydrogen tax credit, advocating against stringent additionality, hourly matching, and deliverability requirements. Such requirements would ensure that hydrogen is produced in the same hours when clean energy is being generated, from new clean resources within the same region as the hydrogen facility.
Industry Association Governance: Fortescue published an annual review of its industry association memberships in August 2024. In its review the company notes that it has found partial alignment with the Association of Mining and Exploration Companies and the Chamber of Minerals and Energy of Western Australia due to their advocacy positions on climate policy. Fortescue likewise identifies partial alignment with the Australian Pipelines and Gas Association and the South Australian Chamber of Mines and Energy, however it does not clearly attribute this partial alignment to differences in climate positions. All four associations have engaged in advocacy promoting a prolonged role for fossil gas in the energy mix in 2023-24.
InfluenceMap collects and assesses evidence of corporate climate policy engagement on a weekly basis, depending on the availability of information from each specific data source (for more information see our methodology). While this analysis flows through to the company’s scores each week, the summary above is updated periodically. This summary was last updated in Q4 2024.