BP chief Bob Dudley paid €13m in 2018 amid concerns

Energy major’s board used ‘discretion’ in light of shareholder worries over pay

British Petroleum (BP) chief executive Bob Dudley: The oil and gas company’s profits doubled to a five-year high last year. Photograph: Eric Piermont/ AFP/ Getty

British Petroleum (BP) chief executive Bob Dudley: The oil and gas company’s profits doubled to a five-year high last year. Photograph: Eric Piermont/ AFP/ Getty

 

British Petroleum (BP) chief executive Bob Dudley was paid $14.7 million (€13 million) in 2018, a level that would have been $2.7 million higher had the energy major’s board not again used its “discretion” to limit awards amid persistent shareholder concerns over high pay.

The oil and gas company’s profits doubled to a five-year high last year as the company returned to growth after a bruising oil price crash that roiled the sector and as BP’s business recovered after the Deepwater Horizon disaster.

But BP’s remuneration committee decided to keep in place a 2017 policy imposing more stringent performance targets relating to operating cash flow, project delivery and safety standards, amid ongoing scrutiny of executive pay.

This adjustment reduced the chief executive’s 2018 incentive pay by about $1.5 million and further $1.1 million was taken off after a voluntary decision by Mr Dudley to accept a reduced share payout under a long-term incentive plan.

Even so, Mr Dudley’s 2017 remuneration was revised up to $15.1 million from $13.4 million reported previously due to changes in BP’s share price. – Copyright The Financial Times Limited 2019