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Article XI

Big Oil Changes Tune on Global Warming...But Can We Trust 'Em?

by: Lowell

Wed Feb 11, 2009 at 19:18:16 PM EST


At first glance, this would appear to be encouraging news.

Confronted with a sharp change of priorities in Washington, international oil executives are expressing an eagerness to work with President Obama to fashion new policies to tackle global warming.

At an industry conference here this week, the executives struck a conciliatory tone on how to limit the emissions that are contributing to climate change, with many of them sounding like budding conservationists as they stressed energy efficiency and the need to develop renewable fuels.

Believe it or not, one of ExxonMobil's top executives is even backing a carbon tax, "while criticizing a so-called cap-and-trade approach."   And Dan Yergin of Cambridge Energy Research Associates says that the oil companies "are not arguing about basic philosophy anymore, but about practical steps."

It all sounds good, so why aren't I getting too excited?  Mainly, because looking at these companies behavior - including funding global warming deniers - I don't trust 'em as far as I can throw 'em.  In addition, I worry that the involvement of oil companies in fashioning measures to tackle global warming will simply water them down until they're worthless, sort of like Virginia House Republicans just did to the smoking ban. Still, I admit to a bit of optimism that Big Oil might really be seeing the political writing on the wall.  Should I be optimistic, or is Big Oil simply putting out public relations talking points here?  What do you think?

Lowell :: Big Oil Changes Tune on Global Warming...But Can We Trust 'Em?
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Beyond talking points (0.00 / 0)
I think it is more than just talking points.  The industry sees action on climate change in the US as inevitable with the change in administration.  So, they are naturally trying to shape the outcome of legislation and regulation on this topic.  Though each industry is taking different paths.

They are, of course, going to try and balance addressing environmental concerns with cost/economic growth.  So, I imagine you and environmental groups will still be at odds with them.  Basically, I think it hard to get you on the same page.  If you are looking at the cost of an environmental catastrophe projected at some point in the future (even if you are discounting that to its present value), your analysis then concludes that all our effort must be put into this one problem.  That entails some industries immediately winding down their operations or making massive capital investments.  They, again of course, are not including the cost of this projected environmental catastrophe in their calculations.  And I don't know that companies really project out that far (say 15 to 20 years).  The further out you get the less certain the outcomes become; thus, the less useful the projection.  


As long as Big Oil continues to stall (0.00 / 0)
and also to fund global warming deniers, it's gonna be kinda hard for environmentalists to get on "the same page" with them. :)

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