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fossil fuel capitalism

Oil well clean-up can create jobs; but not the way Alberta spent Green Recovery funding

By Elizabeth Perry - Work and Climate Change Report, July 15, 2021

The Big Cleanup: How enforcing the Polluter Pay principle can unlock Alberta’s next great jobs boom was released in June by the Alberta Liabilities Disclosure Project . It makes thirteen recommendations, including the creation of an independent, non-profit Reclamation Trust to wind down end-of-life companies and use their remaining revenue to fund the cleanup of their wells. The report states that implementing all its recommendations will create 10,400 jobs and generate $750 million in wages, and contribute nearly $2 billion Alberta’s Gross Domestic Product annually for the next 25 years. The report also includes new calculations and analysis on the growing crisis of Alberta’s oil and gas well liabilities, stating that the average projected cost of cleaning up Alberta’s over 300,000 unreclaimed oil and gas wells is $55 billion dollars, with the top 20 Alberta municipalities alone facing $34 billion in cleanup liabilities in their boundaries.

In April 2020, the government of Canada announced its Covid-19 Economic Response Plan, including $1.72 billion directed toward the cleanup of inactive and abandoned oil and gas infrastructure across the western provinces. $1 billion of this funding was directed to Alberta. Dianne Saxe, the former Environmental Commissioner of Ontario, had been one of the early critics of this program, for example in “Canada’s murky bail-out deal for oil and gas will cost us all” ( National Observer, April 21). In early July, a further evaluation was published by Oxfam Canada, the Parkland Institute, and the Corporate Mapping Project : Not Well Spent: A review of $1-billion federal funding to clean up Alberta’s inactive oil and gas wells . The report finds some alarming failures on many fronts – including that the program is not tracking methane emissions, so it is impossible to determine the emissions reduction impact. Author Megan Egler also cautiously argues that the public funds were used to accomplish what industry should have been responsible for, according to a polluter pays principle.

One of the stated goals of Alberta’s $1 Billion Site Rehabilitation Program (SRP) was to create 5,300 jobs. However, Not Well Spent states: “ If this is met, funding of $1billion will create 5,300 jobs at $188,680 per job. This is $41,800 more per job than money injected into the industry through the Orphaned Well Association to do similar work in 2018. There has been no clear explanation from the Government of Alberta why the public dollars to create one job are higher in the SRP program.” The report also notes that 23% of the total amount of funds disbursed went to only five companies out of the 363; only 10% was allocated to clean-ups on Indigenous lands. The author makes recommendations for improvement in future funding, to ensure better accountability and transparency, which would be more consistent with a “polluter pays” objective.

Iranian Oil Workers Organize the Country’s Biggest Strikes since the Iranian Revolution

By Maryam Alaniz and Salvador Soler - Left Voice, July 15, 2021

For almost a month, Iranian oil workers, along with workers in other industries, have organized demonstrations and wildcat strikes in response to a dire economic and health crisis accentuated by U.S. sanctions.

A nationwide strike by Iranian oil and gas workers on fixed-term contracts — which started a day after the June 18 Iranian presidential elections — has spread to 112 oil, gas, and petrochemical companies in at least eight of the provinces that house Iran’s main oil and gas centers. The strikes are the biggest workers’ protest since the oil workers’ strikes in late 1978, which brought the U.S.-backed shah’s regime to its knees.

The widespread demonstrations underscore the growing economic pressures placed on a country that is living under crippling U.S. sanctions and that is facing a fifth wave of the pandemic. In the past month more than 120,000 mostly temporary and contract workers have taken part in the strike. They have refused to work and joined rallies and hunger strikes outside Iran’s strategic refineries and power plants.

These workers’ demands include an increase in wages as inflation rises, wages that are paid on time, and back pay. Many workers complain that they haven’t been paid in months. The workers are also demanding better working conditions, improved health and safety standards, and freedom of association and protest. Their main demands, however, are to end contract employment, to ban the firing of workers, to reinstate the 700 protesting workers who were recently fired, and to abolish special economic zones, which allow employers to skirt labor protections.

The workers have also called for independent organizations of the working class across all sectors of labor. Since independent unions are not recognized in Iran, the wildcat strike action is coordinated by strike committees, including the Council for Organizing Contract Oil Workers’ Protests, which organizes 41,000 contract workers in the oil industry. The workers, mainly contracted scaffolders, fitters, welders, and electricians, have announced that they will not return to work unless their demands are met.

The growth of strikes by oil and petrochemical workers — the beating heart of the country’s economy and the clerical government’s main source of foreign exchange — has led many to believe that these strikes could become a turning point in the history of workers’ protests and strikes against the ayatollahs’ regime, installed more than four decades ago.

The expansion of these strikes, which recently grew to include the militant workers of the Haft Tappeh Sugarcane Factory, can have a rapid and paralyzing effect in all parts of the country, bringing solidarity from other industrial branches in the face of the country’s deep economic crisis, caused not only by the U.S. imperialist blockade but also by the repressive regime, which represents the interests of Iran’s ruling elite.

Though the Iranian regime is known to crack down hard on protesters, workers are now entering the national scene more prominently and using methods like wildcat strikes. As a result, the use of conventional methods of repression is thrown into question. Furthermore, dissatisfied workers in the energy sector represent a threat of a much higher, given that hydrocarbons are the government’s main economic artery and that petroleum workers have played a historic role in the country’s politics.

At the same time, the rapid spread of workers’ strikes across Iran, coinciding with the election of a new government in Iran, has made it more likely that strikes will spread to other sectors of labor and trade unions. This further complicates the unstable situation in the Middle East, where a revolting sector of working youth has played an active and important role on the streets in recent years and has been joined by an increasingly dynamic labor movement, like the Iranian one, that is gaining experience in struggle and organization.

The current strike in many ways continues a monthlong wave of strike action by more than 10,000 workers that took place in the South Pars oil and gas fields last summer. The 2020 strike action forced employers to improve wages and living conditions, but one year later, as the social crisis in Iran has deepened and a new administration is preparing to take power, the strikes have expanded in both scope and scale.

Read the rest here.

Power, Workers, and the Fight for Climate Justice

By Tara Olivetree (Ehrcke) - Midnight Sun, July 12, 2021

Power

Who has more power than Shell Oil? This is one of the first questions a climate activist should ask themselves, because without finding an answer, we can’t win.

The power of the fossil fuel industry is massive. Fossil fuel companies are worth at least $18 trillion in stock equity, which represents about a quarter of total global stock markets. These vast resources and their outsized share of the world economy allow the industry to continually assert their interests, no matter the destruction this entails. They do so through any means available, of which there are many.

The notorious work of Exxon in first understanding, and then deeply misrepresenting, the science on climate change is one example. After generously funding its own climate research, and being told explicitly in 1977 that global warming due to the burning of fossil fuels was likely to lead to a two- to three-degree increase in global temperatures, Exxon embarked on an industry-wide quest to promote doubt in the science. This lengthy “fake news” campaign cost millions of dollars, and arguably set back the climate movement by decades.

However, the power of the fossil fuel industry goes well beyond the manipulation of global public thought. From the time of the industrial revolution in the 19th century, the history of modern capitalism has been replete with wars fought over fossil fuels. These have served to maintain strategic interests and, just as importantly, the profits of fossil fuel companies. A map of twentieth-century imperial conquest would show the disproportionate number of wars waged in the Middle East, where the world’s largest and cheapest oil deposits lie. As Alan Greenspan, a former chair of the US Federal Reserve, stated about one of these wars: “I am saddened that it is politically inconvenient to acknowledge what everyone knows: the Iraq war is largely about oil.”

How, then, do we go about exerting equivalent force, in order to dismantle the fossil fuel industry within the limited timeline outlined by scientists, while at the same time building an equitable, habitable, and just society?

There are a number of competing answers to this question. 

Industrial Consumption: A largely invisible yet decisive underlying cause of the crisis

By Justiça Ambiental! and WoMIN - World Rainforest Movement, July 9, 2021

Industrial consumption is an intrinsic aspect of capitalist’s logic of increasing accumulation. It is also an underlying cause of the current crisis, which is being reinforced by initiatives promoting a ‘green’ label for the same production chains. This article highlights the voices of Justiça Ambiental! in Mozambique and the African ecofeminist alliance WoMIN.

This article highlights the voices of two organizations: Justiça Ambiental! (JA!) in Mozambique, which is accompanying the struggles in Cabo Delgado against the extraction of offshore and inland gas deposits; and WoMIN, an African ecofeminist alliance that works with movements of women and communities impacted by mining activities.

The world is in the midst of a serious and manifold crisis, one that brings together concerns over environmental devastation, climate chaos, loss of biological diversity, large-scale deforestation, social inequality, food insecurity, increasing poverty levels, and the concentration of power and land into fewer hands. And the list could go on and on. Industrial consumption is a vital aspect of what is driving this crisis, that is, an underlying cause. These are causes that operate on a global scale and consist of economic, political and social components that influence each other.

It is important to remark that the term industrial consumption should be understood not as the individual act of consuming, but rather as a consequence of the systemic logic of the capitalist economy of ever increasing accumulation. That means that each company, in order to make more profits, needs to grow and, in many cases, produce more and promote bigger and new markets for expansion; but to produce more, a company also needs to consume more resources (particularly energy, land and water).

Massive amounts of energy, from different sources, are distributed to industries to feed their production chains. Thousands of hectares of fertile land are turned into cash crops for industrial purposes. Mines and industrial plantations around the world siphon off and pollute enormous amounts of already scarce water sources. (1) Land is increasingly under the control of fewer individuals. Each day, enormous quantities of herbicides, insecticides, fungicides and fertilizers are produced and used by tree plantation companies and other agribusiness sectors. Minerals and fossil fuels continue to be extracted and transported across the globe via long and frequently militarized corridors of pipelines, waterways and roads. Ports, airports, highways and storage units are constantly being built and expanded to facilitate faster and cheaper connections between industries and markets. And so on. This systemic logic of ever-increasing production and consumption reinforces, at the same time, models of structural oppression, racism and patriarchy.

Industrial consumption, by and large, is now being reinforced by official and corporate initiatives trying to promote a new ‘green’ label for the same economic model. The targets set by companies and governments to reduce pollution, deforestation and biodiversity loss are mostly presented next to economic packages endorsing economic growth, free trade and globalized capitalism. And what does this mean? Basically, more industrial consumption and production. Likewise, the so-called ‘green’ or ‘low carbon’ economy is being promoted alongside market-based policies that pretend to offset the pollution and destruction that is intrinsic to such an economic model. In a nutshell, the so-called ‘transition’ aims to maintain and allow the same economic model that is actually driving the crisis to continue uninterrupted.

A Plan for Coal Workers as the Industry Declines

Two Years After a Huge Refinery Fire in Philadelphia, a New Day Has Come for its Long-Suffering Neighbors

By Daelin Brown - Inside Climate News, July 5, 2021

The petroleum smell is gone, the benzene emissions are being monitored and residents in nearby neighborhoods of color feel they’re finally being heard.

Dorthia Pebbles inhaled harmful pollutants and smelled noxious odors from the Philadelphia Energy Solutions Refinery for years when she would leave her rowhome on Hoffman Street to walk to the corner store.

After losing family members to cancer, she and her neighbors who lived across the street from the massive South Philadelphia refinery, once the largest on the East Coast, couldn’t help but conclude that its emissions were giving them asthma and threatening their health in even more serious ways. But no one from the refinery or the city ever gave them any information, or seemed to care.

Then one night in June 2019, the refinery exploded, creating a whole new set of hazards and issues for the neighbors to wrestle with.

“The most recent explosion woke us up out of our sleep,” said Pebbles. “But hearing that it will not be a refinery anymore is good. A lot of people ended up with cancer from the neighborhood.”

Two years after the explosion, Pebbles and other nearby residents said in interviews that relations with the site’s new owner, Hilco Redevelopment Partners, which bought the 1,300-acre property in bankruptcy court last year, have improved and led to talks involving cleanup of the site and jobs.

What Might an Ecosocialist Society Look Like?

By David Klein - System Change not Climate Change, June 27, 2021

Why can’t the problems that ecosocialism would solve also be remedied within the current global capitalist system?

Before describing possible features of a future ecosocialism, it is worthwhile to consider why such a system is even needed. Why can’t the problems that ecosocialism would solve also be remedied within the current global capitalist system? Part I of this essay addresses that question by summarizing recent scientific reports on the state of the climate and extent of the ecological crisis; reviewing available methods and technologies that could be used to address the climate and ecological crises; and briefly describing capitalism’s structural inability to provide solutions at the scale of the crises. Part II then takes up the subject of the title, ecosocialism, along with strategies to move in that direction. 

Part I: Context and Background

The threat to life on Earth posed by the climate and ecological crises can hardly be overstated. A 2019 Nature article warned that up to a million species of plants and animals are on the verge of extinction, and a United Nations study the same year identified global warming as a major driver of wildlife decline. Much of the devastation to date was catalogued in the 2020 WWF Living Planet report, which recorded a 68 percent decline in the population of vertebrates around the world, in just the past five decades. More succinctly, scientists report that Earth is experiencing a sixth mass extinction. (The previous mass extinction, 66 million years ago, ended the dinosaurs).

The scale of the environmental crisis is unprecedented in human history. At stake are human civilization and billions of lives. An article last year in Proceedings of the National Academy of Sciences predicted that for every additional 1̊C rise beyond the 2019 global average, a billion people will be forced to abandon their locations or endure insufferable heat. The paper warns that under a scenario of increasing emissions, areas now home to a third of the world’s population could experience the same temperatures as the hottest parts of the Sahara within 50 years. 

Summing up the findings of some 150 scientific studies, a 2021 paper authored by 17 scientists warned that the “scale of the threats to the biosphere and all its life forms –- including humanity –- is in fact so great that it is difficult to grasp even for well-informed experts.” Adding further urgency, 101 Nobel laureates released an open letter in April 2021 in which they wrote, “We are seized by the great moral issue of our time: the climate crisis and commensurate destruction of nature.” The laureates called for a worldwide fossil fuel non-proliferation treaty

Global heating is driven by greenhouse gases in the atmosphere, and yet emissions continue at high levels despite the chorus of promises by “climate leaders” in governments. In 2020 global emissions decreased by a meager 5.8 percent due to Covid-19 lockdowns, but they were already on the rebound by the end of the year. For the current year, 2021, the International Energy Agency (IEA) forecasts the second largest annual increase in history of greenhouse gas emissions, as global economies recover from the Covid-19 recession. In May 2021 a record-breaking monthly average concentration of 419 parts per million (ppm) of CO2 was measured in Mauna Loa, Hawaii, breaking the previous May 2020 record of 417 ppm. 

The drivers of ecocide, more generally, include not only climate change, but also habitat destruction, toxic dumping, plastic pollution in the oceans, radiation poisoning, and other customary byproducts of the global capitalist economy. All of this destruction continues unabated despite the flood of warnings from scientists, lobbying by environmental activists, and even warnings from institutions deeply rooted in the capitalist economy. 

Consider, for example, that in May 2021 the IEA released an unprecedented call to the world to rapidly reach zero emissions in its report, Net Zero by 2050: A Roadmap for the Global Energy Sector. Widespread news coverage and expressions of optimism followed. Yet from February to the end of April 2021, the Biden administration approved nearly 1200 drilling permits on federal lands, along with more than 200 offshore permits, and defended in court the ConocoPhillips Willow project in Alaska, which is expected to emit 260 million metric tons of CO2 during the next 30 years, the equivalent of 66 coal-fired plants. And Biden is far from alone among world leaders in his support of fossil fuel expansions.

The Red Deal: Indigenous Action to Save our Earth

By Susan Rosenthal - The Bullet, June 23, 2021

Indigenous people have been fighting to survive for centuries. Recently, their struggles have become more militant, more global, and less isolated, aligning with other anti-racist and anti-colonial movements, and leading the environmental movement.

The growing challenge that Indigenous people pose to capitalist rule can be measured by the increasing use of military force to suppress their rebellions and by the targeted murders of Indigenous activists.

In Canada, the portion of Indigenous people incarcerated in federal facilities rose from under 18 per cent in 2001 to over 30 per cent in 2020. Indigenous women are just 4 per cent of the Canadian population, yet form an astonishing 42 per cent of all female prisoners in federal custody.

Imprisoning an adult in Canada costs about $10,000 per month, a minuscule sum compared with the profits that flow from exploiting Indigenous lands. Speaking for all capitalists, the president of Brazil remarked, “Where there is Indigenous land, there is wealth underneath it.”

All Hands on Deck: An assessment of provincial, territorial and federal readiness to deliver a safe climate

By Nichole Dusyk, Isabelle Turcotte, Thomas Gunton, Josha MacNab, Sarah McBain, Noe Penney, Julianne Pickrell-Barr, and Myfannwy Pope - Pembina Institute, July 22, 2021

Unlocking a prosperous future for all will require bold, ambitious action on climate from governments across Canada.

To measure readiness to act on climate, Pembina Institute in collaboration with Simon Fraser University’s School of Resource and Environmental Management assessed the performance of provinces, territories, and the federal government on 24 policy indicators across 11 categories. The indicators represent foundational climate policies and measures to reduce emissions in key sectors of the economy. Governments were invited to review the accuracy and completeness of the data and summary for their region prior to publication.

The assessment shows that there have been important examples of climate leadership and success across the country. Yet, progress made — for example with economy-wide carbon pricing and the phase-out of coal-fired electricity — has been offset by emissions increases elsewhere. In particular, emissions from transportation and oil and gas production have been on a steady upward trajectory since 2005. As a result, Canada’s overall greenhouse gas (GHG) emissions have dropped by only 1% between 2005 and 2019. Modelling that includes the federal climate policy published in December 2020 shows a national emissions reduction of 36% below 2005 levels by 2030 — still short of the federal government’s commitment to reduce emissions by 40-45% by 2030.

Read the Report (PDF).

From Black Lung to BlackRock: Striking Alabama Coal Miners Protest Wall St. Financiers of Warrior Met

Kim Kelly interviewed by Amy Goodman and Juan González - Democracy Now, June 22, 2021

More than a thousand coal miners at Warrior Met Coal are now in the third month of their strike in the right-to-work state of Alabama. The miners walked off the job on April 1 after their union, the United Mine Workers of America, called the first strike to hit the state’s coal mining industry in four decades. Workers are fighting for improvements to wages and benefits after they agreed to drastic cutbacks in 2016, when Warrior Met Coal took control of the mines after the previous company went bankrupt. Today a group of striking mine workers traveled from Alabama to Wall Street to protest the investment firms backing Warrior Met. “These are the companies that fund Warrior Met and allow Warrior Met to pay their executives millions of dollars a year, while the miners, the workers themselves who are creating that value, are struggling to get by on sometimes as little as $22 an hour,” says labor journalist and organizer Kim Kelly.

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