The AES Corporation

InfluenceMap Score
D+
Performance Band
51%
Organisation Score
53%
Relationship Score
Modifications to InfluenceMap Scoring
Sector:
Utilities
Head​quarters:
Arlington, United States of America
Wikipedia:

Climate Lobbying Overview: The AES Corporation (AES) appears to be engaging on climate policy with mixed positions, with strong opposition to greenhouse gas emission standards and some support of renewable energy policy. The company has not disclosed in detail on its efforts to influence climate legislation.

Top-line Messaging on Climate Policy: AES has communicated little top-line messaging on climate policy since 2018. In 2018, AES was fully transparent on the science of climate change. The company appears to support urgent climate action in line with IPCC recommendations, noting in 2018 the scientific consensus that current climate policies are insufficient to hold warming under 2 degrees.

Engagement with Climate-Related Regulations: In 2020, a spokesperson for the AES subsidiary AES Gener which operates in South America noted support for renewable energy legislation on the condition that it does not hinder innovation. CEO Andres Gluski also appeared to support renewable energy targets in India in 2019 while emphasizing the importance of updating the grid to meet the goals of the policy. In 2018, AES lobbied against the Federal Energy Regulation Commission’s Minimum Price Offer Rule, a policy which appeared to attempt to limit the ability of non-incumbent renewable energy providers to compete in the PJM wholesale electricity market.

In 2020, evidence suggests that AES Gener supported Chile’s national energy efficiency legislation on the condition that it allows for economic growth and showed mixed support for renewable energy sources. In 2018, it also recommended certain parts of the Regional Greenhouse Gas Initiative (RGGI) cap and trade program for potential replication at the national level, and appears supportive of RGGI in its comments on the Minimum Offer Price Rule. However, in that same year, AES supported the repeal of the Clean Power Plan and its replacement with the weaker Affordable Clean Energy (ACE) Rule. AES has also opposed a numerical standard for emissions in the ACE rule in 2018, and in 2019, supported weaker reporting requirements for GHG regulations for electric generating units, making it potentially easier for corporations to evade the requirements.

Positioning on Energy Transition: AES Corporation is strongly committed to the expansion of energy storage to facilitate the widespread adoption of renewable power. CEO Andres Gluski, for example, spoke out in 2019 on the “wider era of firm renewables” (a term describing the combination of renewables and storage). Gluski has been outspoken in 2018 about the demise of coal power in the U.S., noting in 2019 the potential for countries around the world to become 100% renewable “with a great deal of energy storage.” However, AES has envisioned a long-term role for natural gas in the energy mix, including through infrastructure buildout in 2019 in the United States, in 2018 in Central America, and in 2019 in Asia. In addition, AES subsidiary Dayton Power and Light (DP&L) lobbied in 2019 for HB 6 in Ohio, which revoked existing renewable energy and energy efficiency standards. DP&L was initially against HB 6 in 2019 given concerns for customer rate increases and the bill’s energy efficiency program changes, but changed its position the next month after lawmakers added subsidies to support the company’s coal plants.

Industry Association Governance: AES Corporation is a member of the Edison Electric Institute and Business Roundtable, two trade associations which have begun to demonstrate a positive shift on climate policy following historically mixed positions. AES does not disclose efforts to influence the positions of its trade associations.

QUERIES
DATA SOURCES
Main Web Site Social Media CDP Responses Legislative Consultations Media Reports CEO Messaging Financial Disclosures EU Register
Communication of Climate Science
2 NS NA NS NS 1 NS NA
Alignment with IPCC on Climate Action
1 NS NA NS NS NS NS NA
Supporting the Need for Regulations
NS NS NA NS NS NS NS NA
Support of UN Climate Process
NS NS NA NS NS NS NS NA
Transparency on Legislation
-1 NA -2 NA NA NA NA NA
Carbon Tax
NS NS NS NS NS NS NS NA
Emissions Trading
NS NS NS 1 NS NS NS NA
Energy and Resource Efficiency
1 NS NS 0 -2 NS NS NA
Renewable Energy
NS NS NS 1 0 1 NS NA
Energy Transition & Zero Carbon Technologies
1 1 NS 0 0 0 NS NA
GHG Emission Regulation
NS NS NS -1 NS NS NS NA
Disclosure on Relationships
0 NA -1 NA NA NA NA NA
Strength of Relationship
STRONG
 
 
 
 
 
 
 
WEAK
 
45%
 
45%
 
73%
 
73%

How to Read our Relationship Score Map

In this section, we depict graphically the relationships the corporation has with trade associations, federations, advocacy groups and other third parties who may be acting on their behalf to influence climate change policy. Each of the columns above represents one relationship the corporation appears to have with such a third party. In these columns, the top, dark section represents the strength of the relationship the corporation has with the influencer. For example if a corporation's senior executive also held a key role in the trade association, we would deem this to be a strong relationship and it would be on the far left of the chart above, with the weaker ones to the right. Click on these grey shaded upper sections for details of these relationships. The middle section contains a link to the organization score details of the influencer concerned, so you can see the details of its climate change policy influence. Click on the middle sections for for details of the trade associations. The lower section contains the organization score of that influencer, the lower the more negatively it is influencing climate policy.