Capitalism can't solve climate change because publicly traded companies must satisfy their shareholders — typically institutional investors — resulting in a focus on maximizing short-term gains at the expense of long-term planning for both the company and the environment.
https://www.bp.com/en/global/corporate/news-and-insights/press-releases/growing-shareholder-value-a-reset-bp.html
https://www.bp.com/en/global/corporate/news-and-insights/press-releases/growing-shareholder-value-a-reset-bp.html
Comments
- Denny Green
Right?
Sarcasm expressed if not implied.
Oil and gas companies currently still make profits but that'll change this and next decade as their customer base dries up.
And most renewables generators would not manage without state subsidy.
This is why it's new companies delivering on transition rather than incumbents.
How come I keep hearing this?
I keep hearing FF companies run fully on their earnings and renewables barely creep along with the crutch of taxpayer money.
So there's an inherent conflict of interest between the way money is made and social/environmental concerns.
Was thinking just that as I read this BBC article on how energy prices are set in UK. Prices based on oil price, even if only small % of supply, customers charged for any green levies, money funnelled to shareholders rather than new infrastructure.
https://www.transportationandclimate.org/
#EconomicBlackout
https://ThePeoplesUnionUSA.com
Shareholders: But we are going to retire in 5 years and we need to maximize our gains.
These timelines don't line up, and that's an inherent problem for capitalism.
Fossil fuel company senior management bonuses and stock options incentivise the <10 year profit maximisation more directly.
When I worked for a certain intl env consulting co, they had sn internal aggressive 15% growth mandate. PMs had to make quarterly growth targets that lined up w that or their jobs
It was also one of the reasons I quit.
And if the co is profitable, why not keep it and let it grow? Their profits are yours, unless you fund their R&D
I think only a mass buy out scheme like that will work, as they have proved they would prefer global fascism to ending their business model.
They can’t be trusted. They are not their word.
He needs to intervene and take board control.
If fossil fuel company strategies don’t reconcile with stranding assets then the company itself will end up stranded.
The US did something similar with SO2 and it worked very well.