Baku, Azerbaijan – Imposing a small tax on seven of the world’s largest oil and gas companies would increase the United Nations Loss and Damage Response Fund by more than 2,000% and help address the costs of extreme weather events, according to a new analysis released today. They say it can happen. Produced jointly by Greenpeace International and Stamp Out Poverty. The groups are calling for a long-term tax on fossil fuel extraction, with annual increases in taxes, taxes on excess profits and other levies.[1][2]
- Taxing ExxonMobil’s 2023 mining could pay for half the cost of Hurricane Beryl.
- Shell’s 2023 extraction could cover much of Typhoon Karina’s damage.
- Taxing TotalEnergies’ 2023 mining volume would cover more than 30 times the 2024 floods in Kenya.
“While oil and gas giants continue to reap exorbitant profits from resource exploitation, the harm caused by the industry’s operations is borne disproportionately by those who did not cause the crisis.” David Hillman, executive director of Stamp Out Poverty, said:. “A climate damage tax, along with other levies on fossil fuels and high-emissions sectors, not only makes polluters pay for their climate impacts, but also supports workers and affected communities in the transition to clean energy, jobs and transportation. I will let you do it. ”
These organizations highlight the financial costs of some of the worst weather events of the year caused by climate change. These include Hurricane Beryl, Hurricane Helen, the heat wave in India in May, Typhoon Carina/Ant, flooding in Brazil in May, and flooding in Kenya and Tanzania in April.[4] The analysis shows that the cost of these extreme weather events totals US$64.6 billion, ranging from US$2.9 billion (Typhoon Karina) to US$25 billion (India’s heat wave).
These costs, which represent only a fraction of the total damage caused by extreme weather events globally, demonstrate the scale of damage to dirty energy companies. The analysis also shows the potential to increase revenue by imposing a Climate Damage Tax (CDT) starting in the first year at US$5 per tonne of CO2 equivalent emitted from the oil and gas the company extracts.[4] The seven oil and gas companies included in the report – ExxonMobil, Shell, Chevron, TotalEnergies, BP, Equinor and ENI – earned nearly $150 billion in revenue last year.
Increasing the CDT rate by $5 per ton per year, plus inflation, would generate hundreds of billions of dollars by the end of the decade, the analysis shows.
A climate damage tax levied on wealthy OECD countries could play an essential role in financing climate action. The tax, which would increase by US$5 per year per tonne of CO2 equivalent based on oil and gas extraction, would raise approximately US$900 billion by 2030 to help governments and communities around the world face increasing climate impacts, especially the poorest. Can support one tier. And the most vulnerable.[5]
“Who should pay? “This is fundamentally a climate justice issue and it is time to shift the financial burden of the climate crisis from the victims to the polluters.” Abdoulaye Diallo, co-executive director of Greenpeace International, said of the Stop Drilling and Start Paying campaign:. “Our analysis reveals the scale of the problem caused by climate loss and damage and the urgent need for innovative solutions to fund it. “We urge governments around the world to adopt climate damage taxes and other mechanisms to generate revenue from the oil and gas industry.”
The call to make climate polluters pay comes after two weeks of protests that sent floods of broken toys, furniture, appliances and other remnants of personal and community tragedies to the offices of TotalEnergies, Eni, Equinor and OMV. . You can find storm-affected areas around the world through the Greenpeace network. Protests by Greenpeace groups and extreme weather survivors took place in Austria, Belgium, France, Italy, Norway, the Philippines, Romania, South Africa and Spain.
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photos and videos Some of the weather phenomena included in the analysis can be found below: Greenpeace Media Library.
reference:
[1] The Loss and Damage Fund was announced at COP27 in Egypt to help developing countries compensate for the effects of natural disasters caused by climate change. Recently renamed the Response Fund for Loss and Damage (FRLD), US$702 million With promised funds. According to calculations by Greenpeace International and Stamp Out Poverty, a climate damage tax on seven major international oil and gas companies would add $15.02 billion in the first year alone, more than 21 times the amount currently committed to the fund. no see.
[2] Paying the price: The economic impact of seven extreme weather events in 2024 proves why climate polluters will have to pay.
[3] Based on 2023 emissions data, the projected climate damage taxes owed by the seven largest oil and gas companies are as follows:
| oil and gas companies | Adjusted profit in 2023 (unit: US$ billions) | Scope 1-3 total projected emissions in 2023 (Mt CO2e) | The estimated climate damage tax payable on emissions in 2023 is US$5 per tonne of CO2e (billions of US dollars). |
|---|---|---|---|
| ExxonMobil | 38.6 | 637.57 | 3.19 |
| husks | 28.3 | 460.17 | 2.30 |
| chevron | 24.7 | 507.24 | 2.54 |
| total energy | 23.2 | 411.92 | 2.06 |
| BP | 13.8 | 375.30 | 1.88 |
| Equinor | 10.4 | 343.31 | 1.72 |
| Annie | 9.2 | 267.74 | 1.34 |
| total | 148.20 | 3,003.24 | 15.02 |
[4] Hurricane Helen | WWA; Typhoon Ant | WWA; Brazil floods | WWA; Heatwave in India | WWA; Kenya floods | WWA; Hurricane Beryl | climate focus
[5] The climate damage tax is a fossil fuel extraction fee applied to the carbon dioxide equivalent (CO2 equivalent) emissions of each tonne of coal, barrel of oil or cubic meter of gas produced. The proposal, supported by more than 100 environmental NGOs, advocates taxing the giant fossil fuel companies that have driven the climate crisis, including ExxonMobil, Shell, TotalEnergies, BP, Chevron, Equinor and Eni, at increasing rates each year. Total revenue was $148.2 billion.
[6] Climate Damage Tax: A Guide to What It Is, How It Works, and Fighting Poverty2024, p. 7.
contact lens:
Laura Bergamo, Communications Activist, Greenpeace Canada [email protected]; +1 438 928-5237
Tal Harris, Global Media Lead – Stop Drilling Start Paying Campaign, Greenpeace International, +41-782530550, [email protected]
Greenpeace International Press Desk, +31 (0) 20 718 2470 (available 24 hours a day); [email protected]
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