Shell’s former chief executive was handed a 52% pay rise in his final year in charge after soaring oil and gas prices helped the company to record profits.
Ben van Beurden, who stepped down at the end of last year, was paid a total of £9.7million for 2022, including cash and share bonuses worth £7.5million.
His package rose from £6.3million in 2021.
The 64-year-old's annual bonus was based on Shell’s financial, operational and safety performance, as well as its progress moving towards cleaner energy.
The company’s profits more than doubled to a record £33billion last year on the back of climbing oil and gas prices, which surged last year in the wake of Russia’s invasion of Ukraine.
The pay committee said Shell had delivered cash flow from operations of $68billion (£57billion) - well above its threshold for “outstanding performance” of $45billion (£37billion).
Record profits
The Telegraph says the FTSE 100 company’s record profits last year triggered criticism at a time when households were struggling with record high energy bills.
Shell's pay committee said: “It is worth repeating that the committee has long had a policy of not adjusting remuneration measures to take account of changes in energy prices.”
More than one-third of the chief executive’s annual bonus depended on financial performance, while another 35% was based on operational performance, 15% was on energy transition and 15% on safety.
Mr van Beurden was succeeded in January by Wael Sawan, the former head of Shell's gas and renewables business.
Mr Sawan was appointed on a salary of £1.4million - although performance-related payments can often add to the overall pay package considerably.
Mr van Beurden's salary was £1.4millin in 2022.
Pay package
Dean Bruckner, policy director at the UK Shareholders' Association, which campaigns for shareholders' rights, said he had concerns that Mr van Beurden's pay package looked "indefensible".
He told the BBC that pay settlements such as this risk bringing "the corporate world into disrepute".