The environment – Page 14 – a sibilant intake of breath

Waterloo commits to divestment

The University of Waterloo has joined the set of Canadian schools committing to fossil fuel divestment, specifically with pledges for a “50% reduction in carbon emissions by 2030” and “no material positions in fossil fuel exploration and extraction companies by 2025.”

Cindy Forbes, chair of Waterloo’s Board of Governors, specifically cited the financial case for divestment and argued that it is compatible with fiduciary duty:

To protect our investments, we’re making the decision that we will reduce our exposure to carbon. In doing so we are protecting our primary fiduciary duty to maximise pension fund and endowment returns using measurable science-based targets.

While it contradicts the justice-based framing preferred by most climate activists, purely bottom-line driven divestment arguably has greater potential to spread through the financial system, since the system’s norms heavily emphasize an obligation to reduce risk and maintain profits, whereas commitments to justice and equity are at best controversial.

Dutch court rules that Shell must deeply cut total emissions

In a promising new development in the field of climate change litigation, a Dutch court has ruled that Shell’s climate change mitigation plan was insufficient:

The company must slash its CO2 emissions by 45% by 2030 from 2019 levels, according to a judgment from a district court in The Hague on Wednesday. That includes emissions from its own operations and from the energy products it sells.

…

The Anglo-Dutch company announced plans in September to become a net zero emissions company by 2050, a target that includes emissions from its products. It is currently targeting a 20% reduction in carbon intensity by 2030, and 45% by 2035.

The last part is hugely important and impressive, given how governments usually treat emissions from exported fuel as someone else’s problem. This is a legal recognition that controlling climate change requires limiting the production of fossil fuels.

CBC on the war against the fossil fuel industry

The CBC has two new podcast episodes related to my research. Front Burner has an episode on the movement to divest from the bitumen sands, which tracks the movement’s progression from church groups to universities to major banks and insurers. It notes that only half as many insurers are willing to cover the industry as before the divestment movement began in 2011/12. The second describes Supran and Oreskes’ new analysis of how ExxonMobil has worked to delay climate action and mislead the public, notably by emphasizing consumer responsibility (like the idea of carbon footprints) to try to avoid regulation.

Climate change and human migration

One of the certain consequences of climate change is that it will change the relative prospects and appeal of living in different areas, both in the short-term as acute incidents like wildfires and floods occur and long-term as agricultural productivity, water availability, and sea level shift.

This is a reason why climate justice activists see migrant rights as fundamentally linked to the fight against climate change. Theoretically, it could also be a motivation for conservatives who are skeptical about large-scale and uncontrolled migration to do more about limiting how badly we damage the climate.

The scale of movement driven by climate disasters is already substantial, exceeding the level of internal displacement caused by war according to the Norwegian Refugee Council’s Internal Displacement Monitoring Centre (IDMC).

Even in rich countries, a large scale managed retreat from coastal areas may be forced by storms and rising seas — a development that hasn’t yet percolated into the thinking of citizens and politicians.

The International Energy Agency (IEA) on the carbon bubble

The International Energy Agency has released a report on what would be necessary to achieve a ‘net zero‘ global economy by 2050: Net Zero by 2050 A Roadmap for the Global Energy Sector.

Unsurprisingly, it replicates the carbon bubble / stranded assets argument: “The global pathway to net‐zero emissions by 2050 detailed in this report requires all governments to significantly strengthen and then successfully implement their energy and climate policies. Commitments made to date fall far short of what is required by that pathway.”

It also asserts the basic concept of a contraction and convergence framework for global equity in emission reductions: “advanced economies have to reach net zero before emerging markets and developing economies, and assist others in getting there.”

Most encouragingly, it avoids the assumption that massive carbon removal technologies will be deployed, meaning a net zero pledge based around effective fossil fuel abolition:

Net zero means a huge decline in the use of fossil fuels. They fall from almost four‐fifths of total energy supply today to slightly over one‐fifth by 2050. Fossil fuels that remain in 2050 are used in goods where the carbon is embodied in the product such as plastics, in facilities fitted with CCUS, and in sectors where low‐emissions technology options are scarce.

This is naturally an enormous challenge to the companies and governments choosing to pretend that there will be an easy technological fix which reconciles controlling climate change with continued fossil fuel use.

Unsurprisingly, the CBC describes Canadian reactions to the report as “mixed”.

Polyfluoroalkyl substances (PFAS)

One of the case studies in my M.Phil thesis was persistent organic pollutants (POPs) — a class of mostly pesticides which have been restricted under international law because they harm humans and other species, persist in the environment for long periods, and bioaccumulate in food chains, rising to higher concentrations in each level of predators.

One of the reasons states were motivated to act was because of the strong moral case made by arctic Indigenous peoples, especially the Inuit. Data on the accumulation of POPs in breast milk was especially salient, as discussed in the excellent book edited by David Downie and Terry Fenge: Northern Lights against POPs: Combatting Toxic Threats in the Arctic.

Similar attention is now being directed toward polyfluoroalkyl substances (PFAS), which are also persistent or “forever chemicals” and which have also now been found accumulating in human breast milk.

China emitting over 14 gigatonnes of CO₂ equivalent

In a development that illustrates the global dynamics of climate change China’s emissions now exceed those of the entire developed world put together.

Since at least the 1990s the basic nature of a global deal to control climate change has been clear. States like Canada with the highest historical and per capita emissions need to cut their fossil fuel use dramatically. At the same time, rapidly developing countries need to choose a lower carbon development path than the states that preceded them.

Canada is massively reneging on this deal. We have never hit our climate targets and our leaders continue to act as though continued fossil fuel development can somehow be compatible with climatic stability. We also treat the emissions from the fossil fuels we produce as someone else’s problem, just as we treat the emissions that go into our imports (some of those Chinese emissions are making stuff for the benefit of Canadians, and people in all rich countries).

Persisting with the status quo is a suicide pact, yet states and citizens have not yet displayed the wisdom of recognizing and acting upon that. With so little time left to change course and avert the worst impacts of climate change we cannot keep accepting governments that abstractly promise that emissions will fall in the far future while working in practice largely to protect business as usual.

Open thread: global tax coordination

U.S. Treasury Secretary Janet Yellen has raised the idea of a coordinated global minimum corporate tax, with the aim of disrupting ‘race to the bottom’ dynamics in taxation and the shift of assets to tax havens.

Global coordination is likely a necessary prerequisite to effective wealth taxation.

It could also help to improve the tolerability and effectiveness of carbon taxes, as domestic producers would be less able to use inaction elsewhere as a way to resist decarbonization policy proposals.

Con artists and the Holmes canon

On one of today’s walks I listened to an unusually good episode of the I Hear of Sherlock Everywhere podcast: The Confidence Game.

I ordered Maria Konnikova’s book The Confidence Game: Why We Fall for It… Every Time and will read David Maurer’s 1940 book The Big Con when I go back to visiting libraries.

In addition to the Sherlockian interest, there is a double relevance to climate change politics. Studying persuasion and the influencing of others’ beliefs and behaviours may help inform strategy to help create effective climate change policies, as well as help with understanding how climate change deniers are so persistent and influential.

UBC’s financial analysis of divestment

During the U of T campaign, a validating source like this memo from the University of British Columbia’s Vice-President Finance and Operations would have been amazing for responding to the argument that divestment is financially irresponsible:

Results of Mantle’s analysis (full report attached as Appendix A) indicate that the link between climate change and the financial viability of investment assets is clear. Carbon intensive companies will be exposed to climate related financial risk as the world commits to reduce carbon emissions through regulatory, legal, market or technology shifts away from fossil fuels. Rapidly evolving trends – such as greater corporate disclosure of climate risk, commitment to a “Paris Aligned” future, the acceptance of a “carbon budget” – are greatly increasing the risk in holding shares of companies whose value is derived from the continued growth and expansion of global fossil fuel use.

Seeing the arguments about the carbon bubble from Bill McKibben’s movement-instigating article and our own divestment brief affirmed by university executives and their consultants demonstrates the degree to which the argument against continued investment in fossil fuels is sound, as well as how it has diffused beyond activists into the thinking of decision makers.

Tonight’s thesis reading will be more than unusually encouraging, between this and today’s Supreme Court of Canada ruling on the carbon tax.