“IMAGINING OTHER…”
Protecting
the Planet
(a WEA course)
Week
7: Alternative approaches/strategies for solving environmental problems
LINKS:
Protecting
the Planet 1: Introduction (Week 1) Protecting
the Planet 2: key industries (Week 2) Protecting
the Planet 8: species decline (Week 3)
Protecting
the Planet 3: cases and solutions
(Week 4) Protecting
the Planet 6: global warming (Week 5)
Protecting
the Planet 7: effects of global warming (Week 6) [Economics
(Week 8) being written]
Protecting
the Planet 9: energy policies (Week 9) Protecting
the Planet 10: the movement (Week 10)
Protecting
the Planet Various Updates (alphabetical list of topics).
Week
4 SUMMARY
Introduction:
The kind of
practical solution that anyone recommends for a particular environmental
problem will depend on their view of the nature and causes of
the problem. Sometimes commentators have been influenced by their political views,
which are usually classified as varying from the right to the left wing.
However, many would argue that nowadays views on the environment do not fit
into this traditional spectrum.
It might be more
helpful to classify the views as ranging from ‘conservative’,
‘minimalist’ or ‘reformist’, through to the ‘radical’ argument
that the whole economic and industrial system needs changing. In ‘green’ language
this is the difference between ‘light green’ and ‘dark
green’ – and we will explore this further when we look at different
environmental philosophies.
I have listed 12
different strategies:
1. #pro-market ‘leave
it to the market’: (voluntary) - once a phenomenon hits someone’s pocket they
will start paying to prevent it. The competitive market is the best way to
produce new technologies to deal with environmental problems. Example: carbon
trading - #Kyoto Protocol
But: what
if a problem is too expensive? Won’t profit come first? Functional vs intrinsic
values. Growth is the problem. New technologies can bring new problems!
2. New #technology which
arises from the market
3. #self-regulation: #social
responsibility of business:
good business is good for business. Consumer pressure can bring change.
#Sustainability
But: how
to persuade companies to be caring of the environment? ‘Sustainable’ can come
to mean nothing. The ‘real world’... #social
responsibility of business updates
4. #green consumer:
essential to get public support. Note: carbon footprint, eco-housing, #divestment from fossil fuel investments. But: should
consumer have so much responsibility? How to motivate people?
5. #pressure groups:
[civil society] the way to persuade companies [and government]? But: commercialism,
consumerism, capitalism are the real problems?
6. Political #parties e.g. greens: to get elected and change
legislation. But: a slow process?
7. #government (and local government)
regulations, laws: most effective? But: still need to motivate
people, and some will resent government intervention. Also governments can be
manipulated by commercial/industrial interests. Such legislation is restricted
to each country, while many problems are international, so:
8. #lobbying: by business and industry:
‘dark money’ used to influence government
9. #changing the economy: changing the economic system – 9.1socialism. Also
9.2 the de-growth argument. 9.3 #Green New Deal
10. #intergovernmental:
international and inter-governmental bodies: e.g. WHO, IPCC can play very
useful role. But: can be weaker than national governments, and
can also suffer from mistrust.
11. #international
civil society: Naomi Klein argues these are the only way forward: we have
to engage people and bypass corporations. But: may still need
national or inter-governmental legislation to be effective?
12. #power: the
‘power and systems approach’ (How Change Happens’ (OUP 2016) Duncan Green).
Other bookmarks:
#three Rs: reduce recycle re-use
NOTES
1. THE PRO-MARKET VIEW ON ENVIRONMENTAL
DAMAGE, AND NEW TECHNOLOGY
There have always been those who
believe so strongly in the market that they would leave all these problems
alone, provided the market is made as free as possible. The argument goes that
once a phenomenon hits someone’s pocket they will start paying to prevent it.
If another producer comes up with a product that is more environmentally
friendly (and not more expensive!) then the public will start buying that
product instead. Competition will make producers change their ways.
This view is also based on hostility to
regulations: government interference is bad for business, it is argued. (And we
can see how popular this view is at present!)
It seems to me
that this will work provided producers are not able to escape the cost to them
of pollution etc (which takes us back to the question of ‘externalities’ or
‘residuals’. Surely regulations brought in by central or local government
(fines for pollution or CO2 emissions) may be necessary before producers act?
Adair Turner, former director general of the CBI, believes that environmental
restrictions and economic and industrial growth are compatible
(Simon Caulkin, Observer 31/8/2003).
This view also assumes profitable
growth is compatible with a healthy environment...
I have commented
on the problem of market values already (does ‘nature’ have value only in its
usefulness to us (*), or is it intrinsically valuable?),
There is a worrying (in my opinion) trend towards such concepts as ‘ecological services’ (i.e. what nature does for us), ‘green
infrastructure’ (measuring the ‘multiple benefits’ of e.g. green spaces to the
community) in discussions about planning. These concepts do at least
acknowledge that the natural environment is valuable, but they go too far, in
my view, towards counting the value only in so far as it benefits us.
I have also made
the observation that we do not seem to deal with problems until they cause us
noticeable damage. But this is precisely how the pro-market viewpoint deals
with problems: why should we spend money unnecessarily on
putative problems, when once a phenomenon hits someone’s pocket they will start
paying to prevent it?
2. NEW TECHNOLOGY ARISES
FROM THE MARKET
A parallel view
to this stresses that it is only as a result of the market and
competition that we are come up with new technologies at all. If
we could not make money out of something, would we bother with trying to make
it? Consequently, the best way to deal with the negative consequences of
industrial and technological growth is to try to find new and better (i.e. more
energy efficient, less polluting, less wasteful) technologies.
However, Adair
Turner, former director general of the CBI, believes that environmental
restrictions and economic and industrial growth are compatible (Simon Caulkin,
Observer 31/8/2003).
There is also the argument (says
Freedland, Guardian 05.12.07) that capitalism is best at innovating. For
example, we now can have a meter to show how much energy a household is using…
promoted by SEED: social environmental enterprise + design.
We also need to
be looking for technologies that will help to clear up pollution, otherwise how
are we going to do it? And after all, money can be made from clearing up a
mess! Witness the discussion of how it is the Chinese who are processing most
of Britain’s recyclable domestic waste.
(Update)
July 2019. Hi-tech
way of dealing with climate change: spraying trillions of tonnes of snow over
west Antarctica... Not a serious idea, but shows how extreme this kind of
‘solution’ actually is
The Kyoto Protocol and ‘carbon trading’ as an example of a market-based approach
to the problem of global warming:
To solve the
problem of getting international agreement on reducing carbon dioxide (and
other greenhouse gases), the Kyoto protocol
(which came into force as a legally binding international treaty in February
2005) endorsed the idea of “carbon trading”.
I shall take this
as an example of a market-based approach, although it also depends on
international governmental agreement. At first sight it looks like an attempt
to put a value on “externalities” – but it is a money value, and then the
inevitable happens, i.e. if any reduction in pollution occurs it will be
because it makes economic sense to the country concerned, not because of any
intrinsic value in reducing pollution. Also I am concerned that desire for
profit will mean the scheme is used for profit rather than to reduce pollution.
(I will try to explain this below)
Under the scheme,
each country is given a target amount of permitted emissions, and these are expressed
as “credits”. If a country manages to reduce its emissions beyond the target,
it will have credits in hand that it can “sell” to another country that is
likely to exceed its target. If it goes over that figure, it can “buy” excess
credits from elsewhere, but if it still fails to meet its target there will be
fines, in proportion to the excess that it produces. (See the Guardian, Life,
Kyoto Issue, 3/2/2005). The country concerned will also have to
explain to the other parties why it has failed, and it then may be excluded
from the trading agreement. It is hoped that with this mix of ‘negative’ and
‘positive’ incentives countries will reduce their output of greenhouse gases –
though whether it will bring about enough of a reduction is but one of the big
questions that critics raise (not to mention the fact that the United States,
responsible alone for 36% of the industrialised world’s emissions, refused to
join up!).
There are now
trading schemes that are up and running – for example the European trading
Scheme – where millions of tonnes of carbon dioxide are traded each month. In
fact, it looks as if banks and others (including Enron, before it collapsed!)
are interested in how they can make money from buying and selling pollution
credits. If this happens, I am not sure what will become of the original
purpose of the scheme. However, the hope is that as governments make their
targets more stringent, it will be cheaper to reduce emissions than to
buy credits. But this obviously depends on governments being strict,
and to date what we have observed is the British government backtracking and
reducing pressure on industry. Not only this, but governments have
to set targets for particular companies – and this has not been thought through
carefully or fairly, according to some critics (Ian Sample, loc cit).
In October 2017,
Adam Vaughan (23rd Oct, Guardian) says: ‘Two of Britain’s
biggest energy companies have called on Philip Hammond [the chancellor] to
strengthen a carbon tax – the carbon price floor. The government the carbon
price floor, the minimum price for greenhouse gases emitted by power
generators, would be frozen until 2020. SSE and Drax ask: ‘We urge you to
ensure the UK has a robust and strong carbon price.’ Without a
commitment to a strong carbon price, coal could enjoy a last hurrah in the
early 2020s. (Energy-intensive industries such as chemicals want to see it
abolished or watered down). Introduced in 2013 the carbon price floor
was a key factor in coal power generation plunging by two-thirds last
year. (See also notes week 7)
More optimistic
observers (e.g. Michael Meacher, the former Environment minister, Guardian
9/2/05) stress that at least we are getting international agreement – “at least
an enforceable goal has been set on which to build”.
In 2007 Jonathan Freedland,
(Guardian 05.12.07) noted that there is much cash now in the carbon
cap-and-trade market: it grew x 3 last year, and is now worth at least $30
bn. My concern is that the whole thing has become a way of speculating
to make money, rather than a way to reduce carbon emissions.
Also, opponents
who believe the underlying problem is industrial growth, not just the
increasing production of greenhouse gases, will not see much benefit from this
treaty. It is all very well being a “realist”, as Michael Meacher
is, (Guardian 9/2/05: “at least an enforceable goal has been set on which
to build”), but if as much damage has been done to the environment as some
scientists claim, then surely the time has come for something more drastic?
Here is John
Gummer, former secretary of state for the environment, arguing that free
markets are the only real way to stop global warming:
‘Conservatives
cannot properly be climate deniers. At the heart of their political stance is a
desire to hand on something better to the future than they have received from
the past. Now that climate science is so clear, a recognition of the duty to
act to protect the next generation follows naturally. Of course, Conservatives
have been somewhat cautious. Constitutionally they don’t chase after novelty,
and it’s in their character to question fashionable theories.’ He goes on to
say that it is no surprise that Margaret Thatcher, as a Conservative and a
scientist was committed to fighting climate change. ‘She would have had little
patience with mealy-mouthed politicians who refuse to act ‘because the jury is
still out’. It isn’t, and she knew it – and that made her the first leader of a
major economy to commit to the Rio Earth Summit.’
He makes a strong
attack on Trump’s distorted markets, ‘that allow coal owners to make profits
while the community pays the cost of the consequent pollution, ill-health and
climate change; the market that enables American cotton farmers to damage land
and air while driving poor African producers out of business on the back of US
subsidies worth more than the value of their crops, etc...
However, he
weakens his case, it seems to me, by insisting that ‘Today’s consumers must be
charged for the real costs of the products they buy... solving these
existential problems [slag heaps, air pollution, flooding] needs the strongest
of forces and therefore the most efficient of markets where real costs are
charged to customers and companies make real profits.’
Other arguments
that oppose the pro-market position should be noted:
(i) the market
may throw up new technology, but there is always the possibility that this is
accompanied by new problems. For example, when nuclear power was first put into
operation, enthusiasts told us we would have virtually free electricity.
Experience has thrown up the incredible difficulty and cost of disposing of
waste, and the likelihood that cancers have been caused. Now the whole
viability of nuclear power is in doubt.
Another example
would be how automation was supposed to bring more leisure time, but in
practice has meant that we all work harder because the technology enables us to
do more. With BSE and CJD we “discovered” some unforeseen
consequences of intensive meat production. After all this, isn’t the public
right to be wary of new technology having as yet unknown harmful consequences?
It is surely little wonder that there is uncertainty about GM crops, mobile
phones and radiation from radio masts.
(ii) as the
market works on the basis of risk-taking to make a profit, how likely is it
that money will be found to deal with very expensive environmental problems? We
have noted already that insurers do not have a bottomless purse when it comes
to the likely consequences of climate change. Nuclear power, too, would not
survive without enormous government subsidy. In fact nuclear power has probably
only been worked on because of its connection with bombs. I would maintain that
the market can not deal with nuclear power, and that to hand such a dangerous
and costly industry over to “free market” forces would not only be dangerous –
experience has shown (in this country at least) that a buyer is unlikely to be
found.
(iii) inequalities across the globe
must be considered, and market forces are not good at this. See also A Gore p
253 for comparative figures on CO2 emissions world-wide.
3. SELF-REGULATION BY BUSINESS AND INDUSTRY
Amongst those in
business who accept that the dangers of climate change are real, there is still
disagreement over the extent to which regulation is necessary. Elkington and Hailes in their
best-selling “Green Consumer Guide” (1988), represented the
view that business would “green” itself – as a result of market
forces, and consumer pressure. They argued for
“bridge-building” between business and environmental groups, and they set out a
number of criteria that consumers could use in order to make their purchases
environmentally sound – which would then put pressure on business to meet this
demand.
An argument that
was common when ‘corporate social responsibility’ became more accepted
was: ‘good business is good for business’. And it is not too
difficult to envisage business realising the benefits of environmental
consciousness, and such slogans as - “reduce,
recycle, re-use” (the 3 Rs) are attractive to businesses if explained
in such a way that they realise they might gain from adopting them!
This position
differs from the entirely pro-market view given above, since Elkington and
Hailes recognise the need for some sort of outside pressure on firms in order
to produce “green business”. However, this is a
very mild form of pressure, and often takes the form of providing “consultancy”
over environmental issues – whilst building on public alarm over the
environment.
In fact, John
Elkington himself has become a consultant for “sustainable
business”, and other environmental campaigners have decided that if you
can’t beat them you should join them! For example, Jonathan
Porritt (formerly of Friends of the Earth) is now chair of the
government’s Sustainable Development Commission, and runs Forum for the Future,
a “charity working closely with business”.
‘Sustainability’ is frequently used as a way of describing a
process that is environmentally friendly. Surely all businesses should be
‘sustainable’ – i.e. so that there is no danger of running out of some vital
resource, or source of energy. However, it has a deeper meaning if we consider
the UN definition (Stockholm Conference 1972, and the 1992 Earth Summit Rio
Declaration): ‘development that meets the needs of the present without
compromising the ability of future generations to meet their own needs’
In other words we should not pass on to
our descendants a world which has a worse standard of living or quality of life
than what we have now. This formulation gives an ethical underpinning to
something that other wise appears to be based on self-interest (for business at
least).
I am not
convinced that Elkington and Hailes’s argument makes sense: their optimistic
view that business is becoming green seems to have little foundation, given the
track record of most business in relation to the environment, (as argued
above).
It is also hard
to see how links between business and environmental groups can be made, since
(see next point) environmental groups are often based on a radical philosophy
that is not compatible with traditional business methods and values. Moreover,
it is not clear to me where consumer pressure will come from – except, as
argued above, when consumers are faced with some sort of threat as a result of
environmental degradation (by which time it may be too late).
Personally I
would apply this argument even to some of the new “green businesses” (see www.GreenBusiness.net) – are these businesses supplying real
needs in an environmentally friendly way, or are they simply pushing their way
into a “niche market”? (This is much the same argument that I rehearsed
concerning Body Shop, in my Corporate Social Responsibility notes: CSR Chapter 1).
Take “Red
Jellyfiish” as advertised on the above (American) website: its main activity is
selling posters and e-cards with themes about nature – “every purchase helps
the environment” presumably by donations from the proceeds to environmental
protection groups. You can also click on one of the advertisements appearing on
the site and a similar donation is made (out of the money paid by the
advertisers presumably). I need hardly say that posters are hardly a basic
need, and all sorts of question come to mind about the ecological costs of
producing them!
A good example of environmental
awareness: National Trust HQ, Swindon: photovoltaic cells, woollen carpets
from NT’s own sheep, recycling. Reduced running costs by £550,000.
Since the 1980s we have seen the growth of “social enterprises”,
which have environmental considerations as part of their goals – and which seem
to have adopted Elkington’s triple bottom line (see below link). These will be dealt with separately, as
they are not primarily concerned with the environment. See my notes:
Corporate Social Responsibility Chapter 8 : Inequality - Social Enterprise link
Elkington (1997)
writes of seven “sustainability revolutions” that he believes
must take place to reach sustainable business. These include
changes in the approach to markets, values, transparency, life-cycle
technology, and governance.
He describes the
series of events that have changes our awareness of the environment – in a
similar way that I did at the start of this section – identifying three “waves”
of sustainability, with peaks and troughs for each. For Elkington, the
formation of Friends of the Earth and Greenpeace (1970s),
the disasters at Bhopal and Chernobyl (1980s),
public battles over environmental issues such as Brent Spar and Shell
in Nigeria (1990s), together with the more recent BSE “mad
cow” disease etc, and the current phenomenon of globalisation, have all helped
us move towards sustainability by convincing business that it must
do something. Now, he says, business must be aware of the “triple bottom line” – economic, environmental
and social, but this will not be really effective until it is “built into”
corporate agendas from the moment a new business is set up.
I am not
convinced that Elkington and Hailes’s argument makes sense: their optimistic
view that business is becoming green seems to have little foundation, given the
track record of most business in relation to the environment, (as argued in
relation to the coal, oil and nuclear industries).It is also very reminiscent
of John Humble’s (1973) argument, referred to in my Corporate Social
Responsibility notes (Chapter 1, link) and it seems to me to be just as
over-optimistic, and lacking in grounds and evidence of actual change inside
corporations.
Writers like
Elkington are fond of inventing colourful terminology to describe the different
business practices they observe with regard to CSR. Thus there are “corporate
locusts” (who devour the environment rapidly), “corporate caterpillars”
(slowly munching away!), “corporate butterflies” (like Body Shop, with
some CSR but many limitations) and finally “corporate honey-bees” who
are fully sustainable. He even acknowledges that “corporate butterflies” have
an impact on consumers that is out of proportion to their small economic role.
How he then can be optimistic and not see the world as nearly over-run by
swarming corporate locusts I do not know!
There are, then,
serious weaknesses in the argument that business is becoming sustainable.
Predictions of how the “big picture” is changing – large-scale
historical predictions - are fun to draw up, but time has an even funnier habit
of proving them wrong! (Burnham, Heilbronner, Marcuse, Marx – their names are
legion). One would have thought that after the incredibly complex and
supposedly scientific predictions of Marx were demonstrated to be seriously
wrong, social scientists would be a bit more humble and recognise the
unpredictability of history. This is not to say that we should not say how
we wish the world to become – but it seems to me that the
basis for these arguments have to be ethical not pseudo-scientific.
It is also hard
to see how links between business and environmental groups can be made, since
(see next point) environmental groups are often based on a radical philosophy
that is not compatible with traditional business methods and values. Moreover,
it is not clear to me where consumer pressure will come from – except, as
argued above, when consumers are faced with some sort of threat as a result of
environmental degradation (by which time it may be too late).
This of course
leaves the final doubt: to what extent is a business that boasts of its
environmental credentials simply indulging in clever PR or ‘Greenwash’!?
Another serious
weakness in these arguments about sustainability is that they do not address
current inequalities and power structures across the world: to ask the Indians
and the Americans at the same time to be “sustainable” is to maintain the gross
inequalities (See Corporate Social Responsibility Chapter
7 and Chapter 8) and that were touched on above with
regard to carbon emissions. It is surely impossible to expect Americans to give
up their way of life altogether, and if carbon reduction is achieved we can be
sure it will be done by new and cleaner technology. On the other hand, what do
we say to third world countries about their environmental impact? Are they to
be denied the standard of living of the developed world?
Finally, I would
question whether ‘sustainability’ and ‘growth’ can go together – remember the
‘limits to growth’ and the dangers of ‘exponential growth’ in a world where
there are such limits. (See supplementary notes at the end
and: ‘Sustainability and ‘sustainable growth’ by Olivia Hanks
– Norwich Radical... )
https://thenorwichradical.com/2016/12/02/sustainable-growth-the-myth-and-the-paradox/
‘Labour MEP David Martin, was author of
a European Committee on International Trade document celebrating
climate change as creating “new opportunities for the economic development of
the Arctic”.
The comment, spotted and lambasted by Green MEP Molly Scott
Cato, might seem extreme in its suicidal logic: we’re burning down
the house, but look, we can use the newly exposed rafters for more firewood!
Yet such statements are the logical conclusion
when economic growth is viewed as the goal of all human activity. They lead on
naturally from support for wasteful and destructive infrastructure projects
like Hinkley Point, Trident and any number of ill-conceived road schemes on the
grounds that these projects will provide jobs. This is the Labour position from
which the party will have to free itself before it can have anything meaningful
to say about climate change.
It has been known to us for decades now
that there are limits to the growth of an economy based on the extraction of
fossil fuels and minerals. At first, the focus was on the finite nature of the
planet’s resources: the economist and philosopher Kenneth Boulding famously
observed in 1973 that “anyone who believes exponential growth can go on forever
in a finite world is either a madman or an economist.”
Supporters of the pro-growth status quo
have come up with a phrase to reduce their cognitive dissonance: ‘sustainable
growth’. The use of the word ‘sustainable’, with its association with the green
movement, makes this phenomenon sound ideal to the appearance-conscious
capitalist: we can keep building and burning all we like, with a friendly nod
to the treehuggers. But, lest we forget, ‘sustainable’ means ‘can be
maintained’ – maintained indefinitely. Political and business
documents are littered with examples of the word ‘sustainable’ achieving
nothing but a warm sense of satisfaction for those involved. The second point
of the trade committee document states that “any current and new economic
activity should be carried out in a sustainable way in order not to undermine
the Arctic’s natural heritage”. The idea that profiting from the melting
of the Arctic by extracting oil and gas reserves which can be burned to further
melt the Arctic can be done “in a sustainable way” would be laughable if it
weren’t so frightening. It simply doesn’t make any sense. But it doesn’t have
to make sense – it just has to include the magic word ‘sustainable’, and then
all will be well.
When we go back to thinking about what
growth actually is, we quickly realise that the idea of it as a) a goal and b)
sustainable doesn’t make sense in any field. Whether it’s an ecosystem, the
human body, or a friendship group, for example, any system regulates itself so
that it can continue to function – it doesn’t expand indefinitely. Growth is
the means by which a system reaches the optimum size for its function.
Yet when it comes to the economy, we
have stopped speaking of growth as a means to ends we might once have considered
its functions: better health, prosperity or quality of life. Growth itself has
become the goal; and if growth is the goal, then the economy will never reach a
size that is ‘big enough’ – it will always demand more resources. That cannot
be sustainable.
We are able to mentally project the
upward curve of growth endlessly into the future because we view time as a
straight line. We can rely on fossil fuels only if we have this linear view of
time, since each fuel can be used only once – an extreme example being
fracking, where wells are exhausted and abandoned almost immediately as
companies move on to new sites, ignoring the obvious snag that the Earth’s land
doesn’t actually stretch on for ever. The linear model of time allows us to
imagine a future onward march in which we discover ever more resources and
solutions to the problems we are creating today; an upward curve which allows
us to predict only a continuation of that curve. This leads to a dangerous
reliance on future technology, as found in the belief that geoengineering will
save us from climate change – releasing us from any obligation to change our
high-carbon way of life today.
Societies with a more cyclical
understanding of time, like Native American and many African cultures, would
feel this to be a nonsense: our ways of living must be such that recurrence is
possible. Sustainability is fundamentally circular, as proponents of the circular economy understand.
Societies like ours, with a linear view
of time, may be more inclined to focus on the short term because it’s all we
can see; we talk of ‘future generations’, but it is a fairly abstract concept.
If, however, we understand time as cyclical, in some sense we are future
generations too.
We cannot rebuild our entire way of
thinking on a cyclical model (regardless of what a
recent Hollywood offering might have you believe). What we can do is
try to learn from cultures which think in different ways; learn from natural
systems, which embody real, eternal sustainability in ways we are at risk of forgetting;
and in fact, while we’re at it, maybe abandon the word ‘sustainable’ to its
bland corporate fate. It is so ubiquitous that it is a dead term: we no longer
think about what it means. A new word is needed. How about ‘cyclical’?’
See also:
Comments on report by Sustainable
Development Commission at: http://www.guardian.co.uk/world/2009/mar/30/g20-sustainable-development-commission
Update: Examples of Corporate
Social Responsibility/irresponsibility!
Feb
2007. Christian Aid report, by Andrew
Pendleton 190207: only 16 of top 100 meet govt guidelines on greenhouse gas
emissions – almost 200m tonnes missing from annual reports. Top 100 produce
12-15% of our emissions. True figures should be 67% higher..
June
2007. Shell: sponsored conference on the environment, but
still burning flares in Nigeria, working on tar sands
in Canada (carbon-intensive) i.e. spending more on fossil fuels and
PR instead of green action. Criticised by FOE, Green Party; Lucas said business
is always asking for the lowest possible denominator on environmental measures.
But Ken Livingstone defended business: working with EDF, British Gas: it is
government that is holding things back. No new technology needed, just
political will – need £15 carbon tax on air tickets. G 120607
June 2007. Consumers International and Accountability (includes
National Consumer Council and Which) report, June 2007, says 40%
distrust business claims about the environment, and 50% not sure. 60% believe
scientists, 50% believe pressure groups. Family and friends are also trusted
more than business or politicians. Only 17% trust the media… Director of
Accountability: Philip Monaghan (international non-profit making body). [Terry
Macalister, Guardian 19.06.07.] Survey of consumers’ actions shows 60% often
reduce energy use, nearly 50% bought energy-reducing light bulbs, but
complaints about cost of environment-friendly products, and 1/3 “confused”.
Nov
2007. ...airlines resist plan to include
them in emissions targets!! IATA says 170 countries oppose the proposals to
make flights in and out of EU subject to caps that apply to power stations etc.
(see above on carbon caps). America’s ICAO also opposes caps – says we
need a global rather than regional system, and Europe should have a
single sky agreement rather than trading. (Guardian 19.11.07 Financial).
British steelmakers also want an opt-out.
20th Aug. 2019. The Business Roundtable (BRT) lobby group has
drawn up a new definition of the ‘purpose of a corporation’ (in 1970 Milton
Friedman said ‘The social responsibility of a corporation was to increase
increase its profits.’). Now the company’s purpose is ‘improving our society.’
Big
business bosses signing up to the change by the influential Business Roundtable
(BRT) lobby group include Jeff Bezos, the founder and chief executive of Amazon
(and the world’s richest person), the Apple boss, Tim Cook, and Jamie Dimon,
chairman and CEO of Wall Street bank JPMorgan.
Instead
of focusing solely on “shareholder primacy” (making as much money as possible
for investors) the businesspeople have now pledged to “lead their companies for
the benefit of all stakeholders – customers, employees, suppliers, communities
and shareholders”.
The
wording of the BRT’s statement is similar to Senator Warren’s
proposed accountable
capitalism
act,
which would require corporations to be responsible to all “including employees,
customers, shareholders and the communities in which the company operates”.
“It
could not be clearer, business as usual is not working,” [Jeremy] Corbyn said
last year. “And when the rules of the game are not working for the overwhelming
majority, the rules of the game need to change.”
Albert
Bourla, chief executive of pharmaceutical company Pfizer, said he was proud to be
among the signatories to “commit to lead their companies for the benefit of all
stakeholders”. Bourla, who recently took over as CEO, is in line to collect
total pay of $16.2m.
The
BRT’s new statement of purpose reads: “Americans deserve an economy that allows
each person to succeed through hard work and creativity and to lead a life of
meaning and dignity. We believe the free-market system is the best means of
generating good jobs, a strong and sustainable economy, innovation, a healthy
environment and economic opportunity for all.”
The
bosses of eight of BRT’s member companies did not sign up to the new
principles. The companies that declined are Alcoa, Blackstone, GE, Kaiser
Permanente, NextEra, Parker Hannifin and State Farm.
The
five new principles at a glance:
·
Delivering value to our customers
·
Investing in our employees. This starts with
compensating them fairly. We foster diversity and inclusion, dignity and
respect
·
Dealing fairly and ethically with our suppliers
·
Protecting the environment by embracing sustainable
practices
·
Generating long-term value for shareholders
(Simon
Goodley, Rupert Neate)
20th Jan 2020. Zoe Wood: Sainsbury’s, Lego and H&M are among the
businesses to make a prestigious A-list of companies that are deemed to be at
the forefront of the charge to tackle the “existential” climate crisis.
The list is compiled by non-profit group CDP which
scores companies based on the environmental data they voluntarily disclose
on its platform. Just 2% of the 8,000 companies it scores made the A-list, with
Nestlé, Unilever, BT and Walmart among the 179 to make the cut. A focus on the
climate emergency was not at the expense of business success, CDP said, with
companies on the A-list also outperforming peers on the stock market by 5.5% a
year.
The company also has an
F-list for companies that did not submit a response for climate change in 2019
– with Amazon and Facebook among the 9,225.
Dexter Galvin, CDP’s
global director of corporations and supply chains, said the A-list were
“blazing a trail for others to follow”. He said: “Other companies should look
to these leaders for inspiration and learn from them.”
“The latest science
says we need global emissions to urgently peak and start declining by 7.6% a
year to avoid the worst impacts of the climate crisis,” continued Galvin.
“Companies can and should become part of the solution rather than part of the
problem.”
With the financial
performance of companies on the A-list better than their rivals, Galvin said
this demonstrated that “leading on climate action is good business in today’s
economy” and would be “essential business in tomorrow’s economy”.
4.
THE GREEN CONSUMER: CHANGING LIFESTYLE
Many of those
concerned about the environment would feel that it is worthwhile adopting
a green lifestyle: for some, this can also put pressure (see
next point) to make business and industry “behave better”. However, of course, your
lifestyle is your individual choice and may have no effect on
society whatsoever. Hence, I would see green lifestyles or
green consumerism as belonging to the “light green” or
‘conservative’ or ‘minimalist’ end of the environmental movement (although some
individuals might adopt a very deep green lifestyle – vegan, anti-car, etc). I
will deal with the “dark green” approach later.
The “light green”
position is that capitalism can be reformed – and that it is our responsibility
as consumers and businesses to find ways of doing the least damage possible to
the environment. We can do this by adopting a green lifestyle.
Thus, as with
Elkington and Hailes’s “green consumerism”, what we are given is guidelines
for us to modify our purchasing behaviour. There is little explanation as to
what will motivate us to do this however. The most widespread guideline to
environmental impact is the “carbon footprint”: for those who wish to
minimise their “carbon” impact, it is possible to measure how much carbon (i.e.
fossil fuels) we have used each day in various activities (from boiling a
kettle to leaving the computer on standby, or from driving some miles in a car,
to travelling by air). Once we know how big our “carbon footprint” is, we can
all take steps to reduce it.
The same
procedure can be used for whole businesses or nations. This is sometimes called
“carbon accounting”. If we go beyond only thinking about fossil fuels,
and include other impacts on the environment, we can identify an “ecological
footprint” for each of us (or, again, for a given business, industry, or
nation).
Whilst these
measurements produce some interesting information, and can be used to “shame”
excessive polluters, there are obvious limitations with this approach. First,
do companies or nations feel “shame”?! Or are they only concerned about their
wealth or their power?
Second, there is
an underlying drive for growth that still has to be dealt
with: to significantly reduce all our ecological footprints would surely
require a re-structuring of whole economies and societies?
This is even more
obvious if, thirdly, we consider the inequalities that exist between the
developed and less-developed world: the main polluters are countries like the
US, and they should surely have to reduce their footprints first and further
than the rest – but how is this to be done? Incidentally,
the US produces about 19 tonnes of carbon dioxide per capita per
year, as against 9 for Britain, and 1 for India, and the US
accounts for 25% of the world total.
On the other hand,
leading a green lifestyle within developed countries is increasingly feasible –
for example, houses that are
sustainable and have nearly no environmental impact (Passivauhs) have been
designed and built, according to Steve Rose, the Guardian 29/11/2004.
(see www.earthship.com or www.lowcarbon.co.uk).
They are “heated by the sun, generate electricity from solar and wind energy,
use rainfall, process their own sewage through plant beds which also produce
bananas all year round”. They also can be built using waste such as old car
tyres.
There are many green products (the
Ecover range for example) on the market; there is more interest in organic
gardening, including composting food waste; you can buy cosmetics and clothing
made from hemp – which is more environmentally friendly for developing
countries to grow (see www.thtc.co.uk for the Hemp Trading
Company, or www.motherhemp.com),
and you can even arrange to have a green funeral: www.naturaldeath.org.uk! Re-usable
water bottles (see www.sigg.com)
are made by a Swiss company sustainably, and free from phthalates and
Bisphenol-A (which can leach out in landfills).
On the other hand,
Phillip Inman (Observer Business 22nd Jan 2017) warns: ‘Urging
people to stop consuming stuff in order to slow the rate of climate change is a
gambit that is doomed to fail.’ Expecting people to put off buying things
‘isn’t going to happen’... It’s not for nothing that economists base their
assumptions on populations having unlimited wants... Consumption is how most
people measure progress...’ He then quotes the extraordinary figures for people
flying out of the three big London airports: City – 4.3 million in
2015; Heathrow – 75 million; Gatwick – over 40 million; and even Stansted –
22.5 million. So we can’t stop people flying, but aircraft should be made
cleaner. And he ends up advocating electric vehicles.
However, Andrew
Simms, in a G2 supplement on global warming (19th Jan 2017)
points out: 70% of all flights by UK residents are accounted for by
just 15% of the population.
March 2015: The Guardian has started a
campaign to get investments taken away from the fossil fuel industry. The hope
is that shareholder pressure can force dirty industries to change approach and
shift to renewables. Not only does coal not have a future, it is a threat to
other sectors in which companies invest, says Brynn O’Brien of the Australasian
Centre for Corporate Responsibility (14th May below).
Here is a link to
a piece about the Gates Foundation, which gives a lot of money to charity etc,
and Bill Gates has said that climate change is the most serious problem we
face, and yet the foundation invests heavily in oil and mining: http://www.theguardian.com/environment/2015/mar/19/gates-foundation-has-14bn-in-fossil-fuels-investments-guardian-analysis
July
2019. The British government has spent £680m of its
foreign aid budget on fossil fuel projects since 2010. The amount has increased
since 2015 according to Cafod (Catholic development agency). The amount spent
on renewables has also increased, but the government needs to stop funding
greenhouse gas generation abroad.
Jan 2020. Half of UK universities – 78
out of 154 public universities - have now signed up to divest from fossil fuels
– People and Planet campaign: ‘these companies can play no productive role in
solving the climate crisis. In the past
year some have pledged to divest completely, but others (e.g. Cambridge)
haven’t. Guardian last year revealed that 20
fossil fuel companies are linked to a third of all greenhouse gas emissions.
15th Jan 2020. (Joanna Partridge) Black Rock,
the world’s largest fund manager, has announced it is to put sustainability at
the heart of its investment decisions. Boss Larry Fink said the climate
emergency is altering how investors view companies’ long term prospects. ‘We
are on the edge of a fundamental reshaping of finance.... In the near future –
and sooner than most anticipate – there will be a significant reallocation of
capital.’
However, XR said
it would make little difference... ‘Black Rock remains waist-deep in fossil
fuel investments and the world’s top backer of companies that destroy the
Amazon rainforest and ignore the rights of indigenous people.’
The announcement
was welcomed by some groups – such as the Sunrise Project, which supports
climate crisis campaign groups. But she agreed the company remisn one of, if
not the, largest investor in fossil fuels.
Black Rock also
joined Climate Action 100+ - a pressure group of large asset managers.
Competitors such as Vanguard and State Steel Global Advisors have not followed
Black Rock’s lead in joining the group.
14th May 2020: (Ben Butler, Adam Morton)
Norwegian state fund sells coal stakes. One of the world’s biggest sovereign
wealth funds – the Government Pension Fund Global - is moving to reduce
involvement in fossil fuels. It manages $1.1tn assets and sold its stake in
AGL, an Australian energy firm which owns several power stations. It also
struck off Glencore from its permitted investments list. It also put BHP on an
observation list.
The fund owns an
estimated 1.5% of shares listed on the global stock exchange – it has assets
from the Norwegian North Sea Oil bonanza.
The Australasian
Centre for Corporate Responsibility said this divestment showed that AGL and
BHP are ‘well behind the times’.
June
2020. From https://www.edie.net/news/9/Report--Global-carbon-budget-will-be-exhausted-in-15-years-without-fossil-fuel-finance-overhaul/
Without drastic action from banks, policymakers
and regulators, the world risks becoming stuck in a "climate finance doom
loop", whereby financial systems support the organisations contributing
most to environmental changes which undermine their very security.
That is according to a new report from NGO Finance Watch, which
describes its mission as ensuring that finance serves society.
The report highlights the fact that any new fossil fuel
production projects are, by their nature, incompatible with the Paris
Agreement’s 1.5C trajectory, but that oil and gas firms globally have received
a total of $2.7trn (£2.1trn) in public and private finance since the Agreement
was ratified in 2015. Statistically, the vast majority of this funding will not
have gone towards low-carbon activities.
These
investments, coupled with slow changes to policy, have put the world on track
to exceed the global carbon budget through to 2100 within 15 years, Finance
Watch concludes, echoing the UN’s recent
assertation that the global temperature increase is likely to
exceed 3C by mid-century.
Such
an increase in temperature and a depletion of the carbon budget would result in
“unpredictable” and escalating risks to financial stability at a national and
international level, Finance Watch warns. Risks noted include stranded assets, physical damage from more frequent natural
disasters and extreme weather events and increased numbers of environmental and
ethical lawsuits.
“Finance both enables devastating climate change and will itself
be devastated by climate change,” the report summarises.
5. PRESSURE GROUPS: ‘pressure groups’: the way to persuade companies?
- based on the
belief that (a) businesses need pressurizing into protecting the environment
and (b) not all consumers are environmentally aware, nor does everyone want to
be actively involved
- work by raising
public (and companies’) awareness of environmental issues, and by e.g.
‘shaming’ a company (coke bottles. Tate and oil company sponsorship)
- can promote
environmental awareness by snappy slogans e.g. ‘reduce, re-use recycle’...
- can work with
local councils and government (by putting pressure on MPs)
BUT
- again, may be
fighting a losing battle against commercialism, consumerism, capitalism.
- can companies be
‘shamed’?
- will not change
the nature of capitalism, and this is not enough if you believe that
environmental damage comes from deep aspects of society and the economy
But: commercialism,
consumerism, capitalism are the real problems? Can companies be ‘shamed’? And how do you get companies or industry to
do something that will reduce their profits or even make them lose money?
6. POLITICAL PARTIES (to be dealt with
later) political parties e.g. greens: to get
elected and change legislation. But: a slow process?
A party like the Greens in
the UK puts up candidates for elections to local and national
government. At the same time it works to change public opinion. As a party that
wants to be in power (whether locally through councillors, or nationally as
MPs) it has to have a set of policies that cover not just the environment but
other issues such as the economy, jobs, health, transport, even defence.
For some Greens (as will be seen) all
these issues are inter-connected, and a Green philosophy or politics will have
something to say about all of them.
The main problem with working to gain
power is that it is a slow process (the Green Party still has only one MP,
though it has quite a few councillors and some MEPs). In this country the two
main parties seem to monopolise the political process and it is very hard to
replace them (see the history of the SDP, and the Liberals!).
7. GOVERNMENT REGULATING THE
MARKET: regulations and laws: most effective?
Clearly, if we regard environmental problems as
serious and as affecting many aspects of our lives, then government legislation
appears to be essential. There are many regulations and standards designed to
protect the environment, and covering all the areas we have touched on: air
quality, water quality, waste, clean-up laws, chemical safety etc. In planning,
an Environmental Impact Assessment must be carried out before a proposal can be
accepted. Water resources, forestry, wildlife and plants can all be protected
by legislation. They are based on such principles as ‘sustainable development’.
‘The right to development must be fulfilled so as to equitably meet
developmental and environmental needs of present and future generations.’ Note
the word equitably...
The precautionary approach was adopted at the Rio
Declaration (1992): ‘Where there are threats of serious or irreversible damage,
lack of full scientific certainty shall not be used as a reason for postponing
cost-effective measures to prevent environmental degradation.’
Other principles, such as ‘the polluter pays’,
‘prevention’, and ‘transboundary responsibility’ are a part of environmental
legislation. (Wikipedia)
Of course, there are many limitations to
the role of government: legitimacy (does the public accept what a
government decrees?), transparency (can we see what is being proposed and
why?), accountability (will the government answer questions about its policies
and listen to objections?), democracy (does the government represent what the
people want, or is it subject to particular interests?), and corruption (has
the government been ‘bought off’ in some way?).
But: even
if government intervention is the only way to deal with a problem, the public
still needs to be ‘brought on-side’, and some will resent any kind of
government intervention.
Also governments can be
manipulated by commercial/industrial interests, see George Monbiot’s
article about Liam Fox and his network of contacts and lobbyists, and ‘dark money’ (Guardian...:
A
recent article from Unearthed (Greenpeace): https://unearthed.greenpeace.org/2018/12/19/liz-truss-dark-money-think-tanks-koch-brexit/
‘Dark money is the term used in the US
for the funding of organisations involved in political advocacy that are not
obliged to disclose where the money comes from. Few people would see a tobacco
company as a credible source on public health, or a coal company as a neutral
commentator on climate change. In order to advance their political interests,
such companies must pay others to speak on their behalf.
Soon after the second world war, some
of America’s richest people began setting up a network of thinktanks to
promote their interests. These purport to offer dispassionate opinions on
public affairs. But they are more like corporate lobbyists, working on behalf
of those who fund them.
We have no hope of understanding what
is coming until we understand how the dark money network operates. The
remarkable story of a British member of parliament provides a unique insight
into this network, on both sides of the Atlantic. His name is Liam Fox.
Six years ago, his political career seemed to be over when he resigned as
defence secretary after being caught mixing his private and official interests.
But today he is back on the front bench, and with a crucial portfolio:
secretary of state for international trade.
In 1997, the year the Conservatives lost
office to Tony Blair, Fox, who is on the hard right of the Conservative party,
founded an organisation called The Atlantic Bridge. Its patron was Margaret
Thatcher. On its advisory council sat future cabinet ministers Michael Gove,
George Osborne, William Hague and Chris Grayling. Fox, a leading campaigner for
Brexit, described the mission of Atlantic Bridge as “to bring
people together who have common interests”. It would defend these interests
from “European integrationists who would like to pull Britain away
from its relationship with the United States”.
The diplomatic mission Liam Fox
developed through Atlantic Bridge plugs him straight into the
Trump administration
Atlantic Bridge was later
registered as a charity. In fact it was part of the UK’s own dark money
network: only after it collapsed did we discover the full story of who had
funded it. Its main sponsor was the immensely rich Michael Hintze, who worked
at Goldman Sachs before setting up the hedge fund CQS. Hintze is one of the
Conservative party’s biggest donors. In 2012 he was revealed as a funder of the
Global Warming Policy Foundation, which casts doubt on the science of climate
change. As well as making cash grants and loans to Atlantic Bridge,
he lent Fox his private jet to fly to and from Washington.
Another funder was the pharmaceutical
company Pfizer. It paid for a researcher
at Atlantic Bridge called Gabby Bertin. She went on to become
David Cameron’s press secretary, and now sits in the House of Lords: Cameron
gave her a life peerage in his resignation honours list.
In 2007, a group called the
American Legislative Exchange Council (Alec) set up a sister organisation, the
Atlantic Bridge Project. Alec is perhaps the most controversial
corporate-funded thinktank in the US. It specialises in bringing together
corporate lobbyists with state and federal legislators to develop “model
bills”. The legislators and their families enjoy lavish hospitality from the
group, then take the model bills home with them, to promote as if they were
their own initiatives. Alec has claimed that more than 1,000 of its bills are
introduced by legislators every year, and one in five of them becomes law. It
has been heavily funded by tobacco companies,
the oil company Exxon, drug companies and Charles and David Koch –
the billionaires who founded the first Tea Party organisations. Pfizer, which
funded Bertin’s post at Atlantic Bridge, sits on Alec’s corporate
board. Some of the most contentious legislation in recent years, such as state
bills lowering the minimum wage, bills granting corporations immunity from prosecution
and the “ag-gag” laws – forbidding people to investigate factory farming
practices – were developed by Alec.
To run the US arm
of Atlantic Bridge, Alec brought in its director of international
relations, Catherine Bray. She is a British woman who had previously worked for
the Conservative MEP Richard Ashworth and the Ukip MEP Roger Helmer. Bray has
subsequently worked for Conservative MEP and Brexit campaigner Daniel Hannan.
Her husband is Wells Griffith, the battleground states director for Trump’s
presidential campaign.
Among the members
of Atlantic Bridge’s US advisory council were the
ultra-conservative senators James Inhofe, Jon Kyl and Jim DeMint. Inhofe is
reported to have received over $2m in campaign finance from coal and oil
companies. Both Koch Industries and ExxonMobil have been major donors.
Kyl, now retired, is currently acting
as the “sherpa” guiding Jeff Sessions’s nomination as Trump’s attorney general
through the Senate. Jim DeMint resigned his seat in the Senate to become
president of the Heritage Foundation – the thinktank founded with a grant from
Joseph Coors of the Coors brewing empire, and built up with money from the
banking and oil billionaire Richard Mellon Scaife. Like Alec, it has been
richly funded by the Koch brothers. Heritage, under DeMint’s presidency, drove
the attempt to ensure that Congress blocked the federal budget, temporarily
shutting down the government in 2013. Fox’s former special adviser at the
Ministry of Defence, an American called Luke Coffey, now works for the
foundation.
The Heritage Foundation is now at
the heart of Trump’s administration. Its board members, fellows and staff
comprise a large part of his transition team. Among them are Rebekah Mercer,
who sits on Trump’s executive committee; Steven Groves and Jim Carafano (State
Department); Curtis Dubay (Treasury); and Ed Meese, Paul Winfree, Russ Vought
and John Gray (management and budget). CNN reports that “no
other Washington institution has that kind of footprint in the
transition”.
Trump’s extraordinary plan to cut
federal spending by $10.5tn was drafted by the Heritage Foundation, which
called it a “blueprint for a new administration”. Vought and Gray, who
moved on to Trump’s team from Heritage, are now turning this blueprint
into his first budget.
This will, if passed, inflict
devastating cuts on healthcare, social security, legal aid, financial
regulation and environmental protections; eliminate programmes to prevent
violence against women, defend civil rights and fund the arts; and will
privatise the Corporation for Public Broadcasting. Trump, as you follow this
story, begins to look less like a president and more like an intermediary,
implementing an agenda that has been handed down to him.
In July last year, soon after he became
trade secretary, Liam Fox flew to Washington. One of his first stops was a
place he has visited often over the past 15 years: the office of the Heritage
Foundation, where he spoke to, among others, Jim DeMint. A freedom of
information request reveals that one of the topics raised at the meeting was
the European ban on American chicken washed in chlorine: a ban that producers
hope the UK will lift under a new trade agreement. Afterwards, Fox
wrote to DeMint, looking forward to “working with you as the new UK government
develops its trade policy priorities, including in high value areas that
we discussed such as defence”.
How did Fox get to be in this position,
after the scandal that brought him down in 2011? The scandal itself provides a
clue: it involved a crossing of the boundaries between public and private
interests. The man who ran the UK branch
of Atlantic Bridge was his friend Adam Werritty, who operated
out of Michael Hintze’s office building. Werritty’s work became entangled with
Fox’s official business as defence secretary. Werritty, who carried a business
card naming him as Fox’s adviser but was never employed by the Ministry of
Defence, joined the secretary of state on numerous ministerial visits overseas,
and made frequent visits to Fox’s office.
By the time details of this
relationship began to leak, the charity commission had
investigated Atlantic Bridge and determined that its work didn’t
look very charitable. It had to pay back the tax from which it had been
exempted (Hintze picked up the bill). In response, the trustees shut the
organisation down. As the story about Werritty’s unauthorised involvement in
government business began to grow, Fox made a number of misleading statements.
He was left with no choice but to resign.
When Theresa May brought Fox back into
government, it was as strong a signal as we might receive about the intentions
of her government. The trade treaties that Fox is charged with developing set
the limits of sovereignty. US food and environmental standards
tend to be lower than Britain’s, and will become lower still if Trump
gets his way. Any trade treaty we strike will create a common set of standards
for products and services. Trump’s administration will demand that ours are
adjusted downwards, so that US corporations can penetrate our markets
without having to modify their practices. All the cards, post-Brexit vote, are
in US hands: if the UK doesn’t cooperate, there will be no trade
deal.
In April 1938, President Franklin
Roosevelt sent the US Congress the following warning: “The liberty of a
democracy is not safe if the people tolerate the growth of private power to a
point where it becomes stronger than their democratic state itself. That, in
its essence, is fascism.” It is a warning we would do well to remember.’
Update: April 2nd, Observer,
Carole Cadwalladr: ‘Dark money’ is posing a threat to the integrity of British
elections, warn data experts. Our electoral laws are lagging behind the
technological developments. The media policy project at the LSE warns ‘there is
a real danger we are heading down the US route where whoever spends
the most money is most likely to win.’ My point is that what applies to lobby
groups influencing elections also applies to large companies such as pesticide
manufacturers, who can use their financial resources to influence public
opinion and that of ministers etc.
The UN has criticised pesticide
manufacturers for perpetuating the myth that their products are essential to
prevent hunger in the world:
9. CHANGING THE ECONOMIC SYSTEM.
9.1 Socialism?
Believing that only limited change can
be brought about by or within capitalism prompts some to turn to the state, or
to international bodies with the power to regulate and control business. Socialists
often make the assumption that with state control, or workers’
control, we will automatically adopt greener industrial practices. There is
a questionable logic at work here: state ownership does not necessitate care
for the environment, and in fact could be carried out in a manner that is
totally un-ecological – as was seen in the former Soviet union, which turned
out to be (along with communist East Europe) one of the world’s worst
polluters. (Conversely, it is possible to take measures to protect the
environment without at the same time converting to socialism. Andre Gorz (1987)
recognised this when he wrote of the danger of “eco-fascism”).
Those such as
Gorz who want to maintain a link between
socialism and ecology need to “add” something (in ‘socialism’) to the idea
of common or state ownership as promoting equality. It could be argued, for
example, that planning the economy must involve long-term
perspectives, which in turn must mean ecological sensitivity.
Gorz (1994) argues for an “eco-social rationality”, but the
strongest point he makes is that this rationality is quite incompatible
with capitalism’s drive for growth and profit and its creation of never-ending
needs (see on the consumer in Corporate Social Responsibility Chapter 5 - marketing link). Where his thinking
is lacking is on how to implement this eco-social rationality, and he even
seems to have made socialism less important than ecology in some of his
writings.
Having said this,
there still remains the further, real/practical problem for “traditional”
socialists that most of the experiments that have been carried out so far with
state planning have led to an unaccountable bureaucracy. This
might be, as many believe, because “power corrupts” or, more subtly because
planning came to be regarded as a specialised activity, in which the amateur
public could not be involved. Another way of putting this is that the problem
is ‘technocracy’ – rule by technocrats, or by technology itself!
9.2 Notes on ‘Sustainability and
‘sustainable growth’ by Olivia Hanks – Norwich Radical:
https://thenorwichradical.com/2016/12/02/sustainable-growth-the-myth-and-the-paradox/
‘Labour
MEP David Martin, was author of a European Committee on International Trade
document celebrating climate change as creating “new opportunities for
the economic development of the Arctic”.
The
comment, spotted and lambasted by Green MEP Molly Scott Cato, might seem
extreme in its suicidal logic: we’re burning down the house, but look, we can
use the newly exposed rafters for more firewood!
Yet
such statements are the logical conclusion when economic growth is viewed as
the goal of all human activity. They lead on naturally from support for
wasteful and destructive infrastructure projects like Hinkley Point, Trident
and any number of ill-conceived road schemes on the grounds that these projects
will provide jobs. This is the Labour position from which the party will have
to free itself before it can have anything meaningful to say about climate
change.
It
has been known to us for decades now that there are limits to the growth of an
economy based on the extraction of fossil fuels and minerals. At first, the
focus was on the finite nature of the planet’s resources: the economist and
philosopher Kenneth Boulding famously observed in 1973 that “anyone who
believes exponential growth can go on forever in a finite world is either a
madman or an economist.”
Supporters
of the pro-growth status quo have come up with a phrase to reduce their
cognitive dissonance: ‘sustainable growth’. The use of the word ‘sustainable’,
with its association with the green movement, makes this phenomenon sound ideal
to the appearance-conscious capitalist: we can keep building and burning all we
like, with a friendly nod to the treehuggers. But, lest we forget,
‘sustainable’ means ‘can be maintained’ – maintained indefinitely.
Political and business documents are littered with examples of the word
‘sustainable’ achieving nothing but a warm sense of satisfaction for those
involved. The second point of the trade committee document states that “any
current and new economic activity should be carried out in a sustainable way in
order not to undermine the Arctic’s natural heritage”. The idea that
profiting from the melting of the Arctic by extracting oil and gas reserves
which can be burned to further melt the Arctic can be done “in a sustainable
way” would be laughable if it weren’t so frightening. It simply doesn’t make
any sense. But it doesn’t have to make sense – it just has to include the magic
word ‘sustainable’, and then all will be well.
When
we go back to thinking about what growth actually is, we quickly realise that
the idea of it as a) a goal and b) sustainable doesn’t make sense in any field.
Whether it’s an ecosystem, the human body, or a friendship group, for example,
any system regulates itself so that it can continue to function – it doesn’t
expand indefinitely. Growth is the means by which a system reaches the optimum
size for its function.
Yet
when it comes to the economy, we have stopped speaking of growth as a means to
ends we might once have considered its functions: better health, prosperity or
quality of life. Growth itself has become the goal; and if growth is the goal,
then the economy will never reach a size that is ‘big enough’ – it will always
demand more resources. That cannot be sustainable.
We
are able to mentally project the upward curve of growth endlessly into the
future because we view time as a straight line. We can rely on fossil fuels
only if we have this linear view of time, since each fuel can be used only once
– an extreme example being fracking, where wells are exhausted and abandoned
almost immediately as companies move on to new sites, ignoring the obvious snag
that the Earth’s land doesn’t actually stretch on for ever.
The
linear model of time allows us to imagine a future onward march in which we
discover ever more resources and solutions to the problems we are creating
today; an upward curve which allows us to predict only a continuation of that
curve. This leads to a dangerous reliance on future technology, as found in the
belief that geoengineering will save us from climate change – releasing us from
any obligation to change our high-carbon way of life today.
Societies
with a more cyclical understanding of time, like Native American and many
African cultures, would feel this to be a nonsense: our ways of living must be
such that recurrence is possible. Sustainability is fundamentally circular, as
proponents of the circular economy understand.
Societies
like ours, with a linear view of time, may be more inclined to focus on the
short term because it’s all we can see; we talk of ‘future generations’, but it
is a fairly abstract concept. If, however, we understand time as cyclical, in
some sense we are future generations too.
We
cannot rebuild our entire way of thinking on a cyclical model (regardless of
what a recent Hollywood offering might have you believe). What we can
do is try to learn from cultures which think in different ways; learn from
natural systems, which embody real, eternal sustainability in ways we are at
risk of forgetting; and in fact, while we’re at it, maybe abandon the word
‘sustainable’ to its bland corporate fate. It is so ubiquitous that it is a
dead term: we no longer think about what it means. A new word is needed. How
about ‘cyclical’?’
See also:
Comments on report by
Sustainable Development Commission at: http://www.guardian.co.uk/world/2009/mar/30/g20-sustainable-development-commission
See Richard Murphy
blog... (emails)
25th
March 2020, Letter from Colin Hines, Convener, UK Green New Deal Group: NB the coronavirus pandemic is raging at this
point in time...
Larry Elliott
correctly identifies the wartime scale of responses to the coronavirus as
signalling the jettisoning of obsolete economic theory (The coronavirus is leading to a whole new way of economic thinking,
22 March). It already involves bypassing deficit handwringing as well as
massive Bank of England spending using quantitative easing, with its first-step
e-printing of £200bn. Once QE and government spending are – hopefully –
providing adequate resources for the health service, and the necessary financial
cushion for businesses and workers, it will be time to urgently consider what
lessons can be learned to tackle the other all-pervasive threat to our future –
the climate emergency.
Central bankers used
“bankers’ QE” to help tackle the 2008 financial crisis and are now turning to
“coronavirus QE”. While working to bring this latest threat to human health
under some degree of control, it is time to also plan for “green QE” to fund a
global green new deal to transform the health of the planet. In the UK this
would involve the Bank of
England e-printing hundreds of billions of pounds. A new national
investment bank would issue bonds that would be bought using QE and the money
used to fund a green and decentralised infrastructure programme. This could
include a decades-long, multi-skilled initiative involving energy refits of all
30 million UK buildings, a shift to localised renewable energy and food
production, and the building of local transport and flood defence systems. The
last war led to the NHS; this one must result in a green new deal.
Finally, governmental legislation is
restricted to each country, while many problems are international, so:
10. International
and inter-governmental bodies: e.g.
WHO, IPCC can play very useful role. But: can be weaker than
national governments, and can also suffer from mistrust. For example, the role
of the IPCC (Intergovernmental Committee on Climate Change) has been
controversial: even though it has drawn on an enormous body of expertise, it
has been challenged over global warming (see Global
Warming).
May 2020. Europe: https://meta.eeb.org/2020/05/20/eu-plans-to-restore-the-balance-between-people-and-nature/
- European Environment Bureau. ‘Long-awaited plans to boost biodiversity and set a new direction
of travel for Europe’s food and farming system were presented, including some
impressive targets and significant funding for nature protection and
restoration.
As the corona crisis continues, an increasing number of scientists are warning about the links between biodiversity loss,habitat destruction,unsustainable agriculture
and current and future threats to human
health.
Targets: to reduce pesticides in Europe by 50% each year.
Summary of international agreements on climate change:
1992: Earth Summit, or Rio: agreed a Convention on Climate Change
11. International civil
society organisations: Naomi Klein argues these are the only way
forward: we have to engage people and bypass corporations. But: may
still need national or inter-governmental legislation to be effective? This is
another radical approach, and I will deal with it later.
- hidden
power (what goes on behind the scenes)
- hidden
power (what goes on behind the scenes)
Green quotes Jo Rowlands
(Questioning Empowerment, Oxfam 1997) who classifies power as follows:
- power within (personal
self-confidence, sense of rights etc)
- power with (collective
power)
- power to (effective
choice, capability to decide actions and carry them tou)