Caging & extinguishing the fossil dragon: the case for nationalization
Three stories from just the last week have finally convinced me that bringing fossil industries under full democratic control is unavoidable for the effective and rapid decarbonisation of the global economy.
Story 1: the case of Norway’s partial divestment
To great news fanfare and rejoicing from climate activists, Norway’s sovereign wealth fund stated it was divesting from oil & gas. But, big caveat, major fossil companies like Shell, BP, Total, Exxon and Norway’s own Equinor are exempt from this divestment.
The stated reason that this continued investment is necessary?
In case that logic is hard to follow, it amounts to this: because these companies already have large investment, and might, who knows, one day, shift some of that investment to renewables, they should keep it. It’s like letting bank robbers keep their loot in case, one day, who knows, they might decide to deposit it back in your account. It’s much less of an argument, and much more of a capitulation.
Story 2: BP and its aggressive right to fart
This story broke just yesterday, an immense scoop from Unearthed.
Despite presenting itself as a leader on reducing methane emissions, BP secretly and successfully lobbied the Trump administration to roll back regulations on methane reductions. Again, we see the corruption, capture and capitulation of the public state to private fossil fuel interests.
Story 3: nationalizing being used to prop up failing coal
As bad as the previous two stories were, this third tops the heinous charts for me. In Wyoming, faced with economically failing coal power plants, the legislature is forcing utility companies to buy the plants and then purchase their (more expensive) electricity, rather than just letting them go bust.
And Wyoming is not alone: Montana is said to be following close behind. So apparently public control of the energy sector through forced buy-outs is perfectly fine — as long as its in the interests of the dirtiest industry in existence.
Conclusion? Nationalize, control, bring down.
This day last week, I thought nationalizing fossil industries was a nice idea, but probably optional, and that we could achieve rapid decarbonization by focusing on divestment, #KeepItInTheGround protests and legislation, and lawsuits. My mind is now made up that nationalization is a key goal in and of itself:
- It would prevent arguments like Norway’s Sovereign Wealth Fund on eventual renewable investment, and focus direct investment in those sectors.
- It would prevent the immense private profits and ensuing corruption these industries trail around them like the scent of death itself, and hence would enable effective air pollution and emissions regulation.
- It would allow the rapid disintegration of these empires, and the shifting of their assets and retraining of their workforce to clean & green sectors, as part of a Green New Deal.
I’m sort of convinced too?! How can I learn more?
Three brilliant women are far ahead in thinking and writing about this topic: Kate Aronoff, Carla Skandier, and Johanna Bozuwa. Go read their work & follow them on twitter! The Next System Project at the Democracy Collaborative seems to be the main hotbed of this kind of thinking, so you might want to support them & check them out as well.
2 caveats and a post-scriptum
Caveat 1: I am still afraid nationalizing could mean that the state would be captured by these industries, rather than the other way around. However, strong democratic governance, and the movement for planetary survival, mean that this eventuality is less likely than it ever has been. And let’s face it: our states are already captured — nationalization is a way to kneecap private profits and bring the decision-making out into the open.
Caveat 2: “but it will never happen, so we can’t campaign for it or wait for it in order to push for decarbonization!” No one is talking about waiting for nationalization to happen in order for other tactics and strategies of the climate movement to be put into play. The goal here is to make nationalization an overt plank of party platforms and other campaigns, in order to kick-start an open debate on the size and role of these industries in our present and (quite possibly irretrievably harmed by them) future. This campaigning and debate, by themselves, will be hugely effective in bringing these industries under public scrutiny and control.
Post-script: By fossil industries that deserve nationalization, I of course mean the oil/gas/coal/shale/tar sands/utilities/refineries etc, but ALSO adjacent industries of fossil capitalism: automotive and aviation. They are all really really big, really really harmful, quite profitable, and have benefited from corruption and public weakness for the better part of a century now. Time for their winning (and our losing) streak to end.
