Fossil Fuel Industry Feasted on COVID-19 Relief Programs, Report Reveals
By Bret Wilkins
In a year in which the United States has already suffered 16 climate-driven extreme weather events causing more than $1 billion in economic damages, and as millions of American workers face loss of essential unemployment benefits due to congressional inaction, a report published Monday reveals the Trump administration has given fossil fuel companies as much as $15.2 billion in direct relief — and tens of billions more indirectly — through federal COVID-19 recovery programs since March.
The report by BailoutWatch, Public Citizen, and Friends of the Earth — titled Bailed Out and Propped Up —tracks taxpayer funds flowing to fossil fuel companies since pandemic-related bailouts began. It found a total of $110 billion in direct and indirect benefits went to 66 companies, including between $10.4 and $15.2 billion in direct disbursements to coal, oil, and gas companies that are largely responsible for the worsening climate emergency.
Here's a breakdown, according to the report:
- At least $5.5 billion went to 70 money-losing polluters via the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
- $582 million in direct, subsidized loans were approved for 37 mid-sized fossil fuel and related companies through the Federal Reserve's Main Street Lending Program.
- $4.3 to $9.1 billion in forgivable loans went to at least 25,931 companies through the Small Business Administration's Paycheck Protection Program.
- At least 229 oil and gas companies received waivers for fees normally paid to drill on public land — giveaways that cost the government a minimum of $4.5 million in lost revenue, and likely far more.
The report found that five fossil fuel companies — Diamondback Energy, EOG Resources, Marathon Petroleum, Phillips 66, and Valero — received more than 10% of the $110 billion in direct benefits, including tax refunds, and indirect support through the issuance of bonds, even if they were losing money. Reassured by the Fed's actions, private investors purchased more fossil fuel bonds, generating some $100 billion in additional indirect benefits.
BREAKING: The fossil fuel industry has received up to $15,000,000,000 in direct COVID relief since bailout programs… https://t.co/znbkDW2f0M— Public Citizen (@Public Citizen)1606143418.0
"When the pandemic hit last spring, Trump's corporate cronies made sure the fossil fuel industry was able to squeeze whatever favors they could out of the resulting economic rescues," wrote Alan Zibel, research director of Public Citizen's Corporate Presidency Project and a co-author of the report. "The Biden administration and the next Congress will have a golden opportunity to ensure our efforts to rescue the economy no longer benefit the very companies most responsible for the devastation caused by climate change."
Christopher Kuveke, a BailoutWatch analyst and a co-author of the report, added that "the fossil fuel industry took advantage of the pandemic to put their hands out for help escaping a financial mess of their own making, and their allies in the federal government rode to the rescue."
"By artificially delaying the industry's inevitable decline at taxpayers' expense, the government has made it that much harder to make the necessary transition to clean energy sources," he added.
The report comes just after members of Congress headed home on vacation without having passed a new coronavirus relief bill, and as millions of Americans face the grim prospect of losing essential unemployment benefits as the CARES Act is set to expire at the end of the year.
Last week, Rep. Alexandria Ocasio-Cortez (D-N.Y.) excoriated Senate Majority Leader Mitch McConnell (R-Ky.) on the floor of the House of Representatives, accusing him of "abandoning our people."
"While... thousands of people in Texas lined up for food lines... hospitals no longer have beds to house the sick... [and] 30 million Americans are on the brink of eviction, [McConnell] dismissed the Senate," said Ocasio-Cortez. "Every single day, when we go back to our communities, people are asking us, 'Where is there going to be help? Is there going to be a second stimulus check? Are we going to get the resources that we need?"
Climate activists and many economists argue that giving money to those most culpable for carbon emissions is the exact opposite of what governments should be doing. One economist says that instead of selling fossil fuel bonds, governments should be promoting "Green Climate Bonds."
"With a mere fraction of the Covid-19 recovery funds, central banks could support climate protection," wrote World Future Council chief economist Matthias Kroll last week. He continued:
The price for coping with the systemically relevant climate crisis... appears almost to be a bargain: with a fraction of the funds used to overcome the Covid-19 crisis (or the banking crisis of 2008), the central banks could trigger investments in climate protection of a magnitude that would make the 1.5°C target [under the Paris agreement] achievable. The central banks would not even need to create additional money for this. It would be sufficient to replace expiring assets from previous purchase programs with new types of "Green Climate Bonds."
A May 2020 study by the World Future Council estimated the cost of a global "climate bailout" at a relatively modest $175 million per year, resulting in a one-third reduction in worldwide carbon emissions by the end of the decade.
"We need to start thinking about how to practically finance a Green New Deal and a swift transition to 100% renewable energy, and central banks should start playing a proactive role," wrote Kroll. "Let's treat the climate emergency as what it is, and let's bail out the climate, too!"
Reposted with permission from Common Dreams.
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EcoWatch Daily Newsletter
By Jeff Masters
The American Society of Civil Engineers (ASCE) gave America's infrastructure a C- grade in its quadrennial assessment issued March 3. ASCE gave the nation's flood control infrastructure – dams and levees – a D grade. This is a highly concerning assessment, given that climate change is increasingly stressing dams and levees as increased evaporation from the oceans drives heavier precipitation events.
Figure 1. Debris fills the Feather River from the damaged spillway of California's Oroville Dam, the nation's tallest dam, after its near-collapse in February 2017. The Oroville incident forced the evacuation of nearly 190,000 people and cost $1.1 billion in repairs. California Department of Water Resources
Figure 2. The L-550 levee on the Missouri River overtopping during the spring 2011 floods. USACE
By Jacob Carter
On Wednesday, the Department of the Interior (DOI) announced that it will be rescinding secretarial order 3369, which sidelined scientific research and its use in the agency's decisions. Put in place by the previous administration, the secretarial order restricted decisionmakers at the DOI from using scientific studies that did not make all data publicly available.
Science Rising at Interior<p>The rescinded secretarial order is not the only notable victory we have seen from the DOI recently. The Biden administration has moved swiftly to <a href="https://www.nytimes.com/2021/03/02/climate/biden-interior-department-haaland.html" target="_blank">restore consideration of climate change</a> in its decisions, <a href="https://www.nationalgeographic.com/environment/article/biden-expected-to-reverse-trump-order-to-shrink-utah-national-monuments" target="_blank">reverse assaults on our public lands</a>, and <a href="https://www.audubon.org/news/biden-halts-trump-rule-gutted-landmark-bird-protection-law" target="_blank">taken actions to protect our nation's wildlife</a>. These decisions, unlike many made at the DOI over the past four years, have been informed by science—and President Biden's pick to lead the DOI, Representative Deb Haaland of New Mexico, has <a href="https://www.cnn.com/2021/02/22/politics/haaland-confirmation-remarks/index.html" target="_blank">promised in her confirmation hearing</a> to continue to make decisions that are guided by science.</p><p><strong>Saving Migratory Birds</strong></p><p>One of the parting gifts of the prior administration was a <a href="https://blog.ucsusa.org/jacob-carter/outgoing-administration-gave-thumbs-up-to-migratory-bird-massacre-its-time-to-reverse-the-damage" target="_blank">reinterpretation of a long-standing rule that protected migratory bird species</a>. For decades, the <a href="https://www.fws.gov/birds/policies-and-regulations/laws-legislations/migratory-bird-treaty-act.php" target="_blank" rel="noopener noreferrer">Migratory Bird Treaty Act</a> (MBTA) had protected migratory bird species, which are in decline in the US, by allowing the DOI to fine industries that failed to take proper precautions to protect migratory birds. For example, <a href="https://www.fws.gov/birds/bird-enthusiasts/threats-to-birds/entrapment-entanglement-drowning.php#:~:text=An%20estimated%20500%2C000%20to%201,trays%2C%20and%201%25%20spills." target="_blank" rel="noopener noreferrer">not placing proper netting over oil pits</a>, which can result in the death of migratory birds. The rule, however, was reinterpreted by the prior administration such that industries could only be fined if bird deaths were "intentional" and not if they occurred incidentally due to a lack of precautions.</p><p>The prior administration, in its final days, also <a href="https://www.motherjones.com/environment/2021/03/endangered-species-recovery-interior-deb-haaland/" target="_blank" rel="noopener noreferrer">eliminated protections for the northern spotted owl</a>, which is currently listed by the Fish and Wildlife Service (FWS) as a threatened species. More than 3 million acres of the owl's habitat were removed from protection to pave way for timber harvesting. Susan Jane Brown, a staff attorney at the Western Environmental Law Center, <a href="https://www.nytimes.com/2021/03/02/climate/biden-interior-department-haaland.html" target="_blank" rel="noopener noreferrer">stated that she had received</a> "…several calls from wildlife biologists who are in tears who said, 'Did you know this is happening? The bird won't survive this."</p><p>The Biden administration, following the best available science, has delayed the implementation of both rules.</p><p><strong>Restoring Public Lands</strong></p><p>In 2017, two national monuments, Bears Ears and Grand Staircase-Escalante of Utah, <a href="https://www.nytimes.com/2017/12/04/us/trump-bears-ears.html" target="_blank" rel="noopener noreferrer">were reduced in size by some two million acres</a>, the largest reduction of federal land protection in our nation's history. Later, <a href="https://www.nytimes.com/2018/03/02/climate/bears-ears-national-monument.html" target="_blank" rel="noopener noreferrer">internal emails at the DOI</a> would show that these actions were not a product of following the best available science, and were instead guided by a push to exploit oil and natural gas deposits within the boundaries of the protected land. In particular, the decision did not consider the archaeological importance of the protected lands or their cultural heritage. Sidelining these facets of this decision is likely what <a href="https://www.motherjones.com/environment/2021/02/biden-orders-review-of-trumps-assaults-on-americas-natural-treasures/?utm_source=twitter&utm_campaign=naytev&utm_medium=social" target="_blank" rel="noopener noreferrer">prompted a review of the reductions</a> by the Biden administration.</p>
Bringing Science Back Across the Administration<p>Beyond the Interior department, the Biden administration has taken quick steps to bring science back to the forefront of decisionmaking across the federal government. In January, President Biden signed a <a href="https://www.whitehouse.gov/briefing-room/presidential-actions/2021/01/27/memorandum-on-restoring-trust-in-government-through-scientific-integrity-and-evidence-based-policymaking/" target="_blank" rel="noopener noreferrer">presidential memo</a> to strengthen scientific integrity and evidence-based decisionmaking. The memo, among many other positive steps for science, has initiated a review process on scientific integrity policies that should be finalized toward the end of the year. Given the <a href="https://www.ucsusa.org/resources/attacks-on-science" target="_blank" rel="noopener noreferrer">unprecedented number of times we documented political interference in science-based decision-making processes</a> over the past four years, such a review, and the subsequent recommendations arising from it, are clearly warranted.</p><p>The Biden administration also has formed multiple scientific advisory groups to help make choices informed by the best available science to protect public health and our environment. This includes advisory groups on critical issues such as <a href="https://www.whitehouse.gov/briefing-room/presidential-actions/2021/01/27/memorandum-on-restoring-trust-in-government-through-scientific-integrity-and-evidence-based-policymaking/" target="_blank" rel="noopener noreferrer">scientific integrity</a>, <a href="https://www.whitehouse.gov/briefing-room/press-briefings/2021/02/10/president-biden-announces-members-of-the-biden-harris-administration-covid-19-health-equity-task-force/" target="_blank" rel="noopener noreferrer">COVID-19</a>, and <a href="https://www.americanprogress.org/issues/green/reports/2021/02/04/495397/mapping-environmental-justice-biden-harris-administration/" target="_blank" rel="noopener noreferrer">environmental justice</a>. The administration also is moving quickly to <a href="https://www.npr.org/sections/biden-transition-updates/2020/12/17/938092644/biden-to-pick-north-carolina-regulator-michael-regan-to-lead-epa" target="_blank" rel="noopener noreferrer">appoint qualified leaders</a> at science-based agencies and has asked the heads of agencies to expeditiously establish scientific integrity officials and chief science officers.</p><p>In addition to rescinding the secretarial order at DOI, the Biden administration has also rescinded several other anti-science actions taken over the past four years. Among the <a href="https://www.whitehouse.gov/briefing-room/presidential-actions/2021/02/24/executive-order-on-the-revocation-of-certain-presidential-actions/" target="_blank" rel="noopener noreferrer">many anti-science executive orders reversed by President Biden are </a>an order that directed agencies to arbitrarily cut their advisory committees by one-third and another that required agencies to cut two regulations for every new regulation they issued.</p><p>There has been a lot of progress for science-based decisionmaking over the past six weeks, with more expected as qualified individuals are appointed to head science-based agencies. And yet we know through our research that <a href="https://www.sciencepolicyjournal.org/uploads/5/4/3/4/5434385/berman_emily__carter_jacob.pdf" target="_blank" rel="noopener noreferrer">every administration has politicized science-based decisionmaking to some extent</a>.</p><p>We will continue to watch, demand, and ensure that science guides the critical decisions being made by the Biden administration. Our health, our environment, and our safety depend on it.</p><p><em><a href="https://blog.ucsusa.org/author/jacob-carter#.YED_bRNKjt0" target="_blank">Jacob Carter</a> is a research scientist for the Center for Science and Democracy at the Union of Concerned Scientists.</em></p><p><em>Reposted with permission from the <em><a href="https://blog.ucsusa.org/jacob-carter/science-wins-at-the-interior-department" target="_blank">Union of Concerned Scientists</a>.</em></em></p>
At first glance, you wouldn't think avocados and almonds could harm bees; but a closer look at how these popular crops are produced reveals their potentially detrimental effect on pollinators.
Migratory beekeeping involves trucking millions of bees across the U.S. to pollinate different crops, including avocados and almonds. Timothy Paule II / Pexels / CC0<p>According to <a href="https://www.fromthegrapevine.com/israeli-kitchen/beekeeping-how-to-keep-bees" target="_blank">From the Grapevine</a>, American avocados also fully depend on bees' pollination to produce fruit, so farmers have turned to migratory beekeeping as well to fill the void left by wild populations.</p><p>U.S. farmers have become reliant upon the practice, but migratory beekeeping has been called exploitative and harmful to bees. <a href="https://www.cnn.com/2019/05/10/health/avocado-almond-vegan-partner/index.html" target="_blank">CNN</a> reported that commercial beekeeping may injure or kill bees and that transporting them to pollinate crops appears to negatively affect their health and lifespan. Because the honeybees are forced to gather pollen and nectar from a single, monoculture crop — the one they've been brought in to pollinate — they are deprived of their normal diet, which is more diverse and nourishing as it's comprised of a variety of pollens and nectars, Scientific American reported.</p><p>Scientific American added how getting shuttled from crop to crop and field to field across the country boomerangs the bees between feast and famine, especially once the blooms they were brought in to fertilize end.</p><p>Plus, the artificial mass influx of bees guarantees spreading viruses, mites and fungi between the insects as they collide in midair and crawl over each other in their hives, Scientific American reported. According to CNN, some researchers argue that this explains why so many bees die each winter, and even why entire hives suddenly die off in a phenomenon called colony collapse disorder.</p>
Avocado and almond crops depend on bees for proper pollination. FRANK MERIÑO / Pexels / CC0<p>Salazar and other Columbian beekeepers described "scooping up piles of dead bees" year after year since the avocado and citrus booms began, according to Phys.org. Many have opted to salvage what partial colonies survive and move away from agricultural areas.</p><p>The future of pollinators and the crops they help create is uncertain. According to the United Nations, nearly half of insect pollinators, particularly bees and butterflies, risk global extinction, Phys.org reported. Their decline already has cascading consequences for the economy and beyond. Roughly 1.4 billion jobs and three-quarters of all crops around the world depend on bees and other pollinators for free fertilization services worth billions of dollars, Phys.org noted. Losing wild and native bees could <a href="https://www.ecowatch.com/wild-bees-crop-shortage-2646849232.html" target="_self">trigger food security issues</a>.</p><p>Salazar, the beekeeper, warned Phys.org, "The bee is a bioindicator. If bees are dying, what other insects beneficial to the environment... are dying?"</p>
Six major U.S. electricity utilities will collaborate to build a massive EV charging network across 16 states, they announced Tuesday.
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