Energy
We can and must adjust to climate change – and not kill billions
From the Frontier Centre for Public Policy
By Paul Driessen and Ronald Stein
The futures of poor developing countries hinge on their ability to harness foundational elements: fuels, electricity, minerals and feed stocks made from fossil fuels and other materials that are the basis for all buildings, infrastructures and other technologies in industrialized countries.
We’ve always done so and have no right to tell others they can’t have modern living standards.
Earth’s climate has changed many times over four billion years, and 99.999% of those changes occurred before humans were on this planet. During that short time, humans adjusted their housing, clothing and agriculture in response to climate changes. Can we now control the climate?
Except for decades-long droughts or massive volcanic explosions that ended some civilizations, humanity generally adjusted successfully – through a Pleistocene Ice Age, a Little Ice Age, a Dust Bowl and other natural crises. Numerous state high temperature records were set in Dust Bowl years.
After putting our current “microsecond” on Earth into its proper perspective, we might therefore ask:
* With today’s vastly superior technologies, why would humanity possibly be unable to adjust to even a few-degrees temperature increase, especially with more atmospheric carbon dioxide helping plants grow faster and better, providing more food for animals and people?
* How dare the political, bureaucratic, academic and media ruling elites – who propagate GIGO computer predictions, calculated myths and outright disinformation – tell us we must implement their “green” policies immediately and universally … or humanity won’t survive manmade climate influences that are minuscule compared to the planetary, solar and galactic forces that really control Earth’s climate?
* How dare those elites tell Earth’s poorest people and nations they have no right to seek energy, health and living standards akin to what developed countries already enjoy?
Scientists, geophysicists and engineers have yet to explain or prove what caused the slight change in global temperatures we are experiencing today – much less the huge fluctuations that brought five successive mile-high continental glaciers, and sea levels that plunged 400 feet each time (because seawater was turned to ice), interspersed with warm inter-glacial periods like the one we’re in now.
Moreover, none of the dire predictions of cataclysmic temperature increases, sea level rise, and more frequent and intense storms have actually occurred, despite decades of climate chaos fearmongering.
Earth continues to experience climate changes, from natural forces and/or human activity. However, adjusting to small temperature, sea level and precipitation changes would inflict far less harm on our planet’s eight billion people than would ridding the world of fossil fuels that provide 80% of our energy and myriad products that helped to nearly double human life expectancy over the past 200 years.
Today, with fuels, products, housing and infrastructures that didn’t even exist one or two centuries ago, we can adjust to almost anything.
When it’s cold, we heat insulated homes and wear appropriate winter clothing; when it’s hot, we use air conditioning and wear lighter clothing. When it rains, we remain dry inside or with umbrellas; when it snows, we stay warm indoors or ski, bobsled and build snowmen.
Climate changes may impact us in many ways. But eliminating coal, oil and natural gas – with no 24/7/365 substitutes to replace them – would be immoral and evil. It would bring extreme shortages of reliable, affordable, essential energy, and of over 6,000 essential products derived from fossil fuels.
It would inflict billions of needless deaths from diseases, malnutrition, extreme heat and cold, and wild weather – on a planet where the human population has grown from 1 billion to 8 billion since Col. Edwin Drake drilled the first oilwell in 1859.
* Weather-related fatalities have virtually disappeared, thanks to accurate forecasting, storm warnings, modern buildings, and medicines and other petroleum-based products that weren’t available even 100 years ago.
* Fossil fuels for huge long-range jets and merchant ships move people, products, food and medications to support global trade, mobility, health and lifestyle choices. Indeed, more than 50,000 merchant ships, 20,000 commercial aircraft and 50,000 military aircraft use fuels manufactured from crude oil.
* Food to feed Americans and humanity would be far less abundant and affordable without the fertilizers, insecticides, herbicides, and tractor and transportation fuels that come from oil and natural gas.
* Everything powered by electricity utilizes petroleum-based derivatives: wind turbine blades and nacelle covers, wire insulation, iPhone and computer housings, defibrillators, myriad EV components and more.
Petroleum industry history demonstrates that crude oil was virtually useless until it could be transformed in refineries and chemical plants into derivatives that are the foundation for plastics, solvents, medications and other products that support industries, health and living standards. The same is true for everything else that comes out of holes in the ground.
Plants and rocks, metals and minerals have no inherent value unless we learn how to cook them, extract metals from them, bend and shape them, or otherwise convert them into something we can use.
Similarly, the futures of poor developing countries hinge on their ability to harness foundational elements: fuels, electricity, minerals and feed stocks made from fossil fuels and other materials that are the basis for all buildings, infrastructures and other technologies in industrialized countries.
For the 80% of humanity in Africa, Asia and Latin America who still live on less than $10 a day – and the billions who still have little to no access to electricity – life is severely complicated and compromised by the hypocritical “green” agendas of wealthy country elites who have benefited so tremendously from fossil fuels since the modern industrial era began around 1850. Before that:
* Life spans were around 40 years, and people seldom travelled more than 100 miles from their birthplaces.
* There was no electricity, since generating, transmitting and utilizing this amazing energy resource requires technologies made from oil and natural gas derivatives.
* That meant the world had no modern transportation, hospitals, medicines and medical equipment, kitchen and laundry appliances, radio and other electronics, cell phones and other telecommunications, air and space travel, central heating and air conditioning, or year-round shipping and preservation of meats, fruits and vegetables, to name just a few things most of us just take for granted.
There are no silver-bullet solutions to save people from natural or man-made climate changes. However, adjusting to those fluctuations is the only solution that minimizes fatalities which would be caused by the callous or unthinking elimination of the petroleum fuels and building blocks that truly make life possible and enjoyable, instead of nasty, brutish and short. The late Steven Lyazi explained it perfectly:
“Wind and solar are … short-term solutions …. to meet basic needs until [faraway Ugandan villages] can be connected to transmission lines and a grid. Only in that way can we have modern homes, heating, lighting, cooking, refrigeration, offices, factories, schools, shops and hospitals – so that we can enjoy the same living standards people in industrialized countries do (and think is their right). We deserve the same rights and lives.
“What is an extra degree, or even two degrees, of warming in places like Africa? It’s already incredibly hot here, and people are used to it. What we Africans worry about and need to fix are malnutrition and starvation, the absence of electricity, and killer diseases like malaria, tuberculosis, sleeping sickness and HIV/AIDS…. We just need to be set free to [get the job done].”
Paul Driessen is senior policy analyst for the Committee For A Constructive Tomorrow (www.CFACT.org), and author of articles and books on environmental, climate and human rights issues.
Ronald Stein is an engineer, senior policy advisor on energy literacy for the Heartland Institute and CFACT, and co-author of the Pulitzer Prize-nominated book “Clean Energy Exploitations.”
Energy
Ottawa’s proposed emission cap lacks any solid scientific or economic rationale
From the Fraser Institute
By Jock Finlayson and Elmira Aliakbari
Forcing down Canadian oil and gas emissions within a short time span (five to seven years) is sure to exact a heavy economic price, especially when Canada is projected to experience a long period of weak growth in inflation-adjusted incomes and GDP per person.
After two years of deliberations, the Trudeau government (specifically, the Environment and Climate Change Canada department) has unveiled the final version of Ottawa’s plan to slash greenhouse gas emissions (GHGs) from the oil and gas sector.
The draft regulations, which still must pass the House and Senate to become law, stipulate that oil and gas producers must reduce emissions by 35 per cent from 2019 levels by between 2030 and 2032. They also would establish a “cap and trade” regulatory regime for the sector. Under this system, each oil and gas facility is allocated a set number of allowances, with each allowance permitting a specific amount of annual carbon emissions. These allowances will decrease over time in line with the government’s emission targets.
If oil and gas producers exceed their allowances, they can purchase additional ones from other companies with allowances to spare. Alternatively, they could contribute to a “decarbonization” fund or, in certain cases, use “offset credits” to cover a small portion of their emissions. While cutting production is not required, lower oil and gas production volumes will be an indirect outcome if the cost of purchasing allowances or other compliance options becomes too high, making it more economical for companies to reduce production to stay within their emissions limits.
The oil and gas industry accounts for almost 31 per cent of Canada’s GHG emissions, while transportation and buildings contribute 22 and 13 per cent, respectively. However, the proposed cap applies exclusively to the oil and gas sector, exempting the remaining 69 per cent of the country’s GHG emissions. Targeting a single industry in this way is at odds with the policy approach recommended by economists including those who favour strong action to address climate change.
The oil and gas cap also undermines the Trudeau government’s repeated claims that carbon-pricing is the main lever policymakers are using to reduce GHG emissions. In its 2023 budget (page 71), the government said “Canada has taken a market-driven approach to emissions reduction. Our world-leading carbon pollution pricing system… is highly effective because it provides a clear economic signal to businesses and allows them the flexibility to find the most cost-effective way to lower their emissions.”
This assertion is vitiated by the expanding array of other measures Ottawa has adopted to reduce emissions—hefty incentives and subsidies, product standards, new regulations and mandates, toughened energy efficiency requirements, and (in the case of oil and gas) limits on emissions. Most of these non-market measures come with a significantly higher “marginal abatement cost”—that is, the additional cost to the economy of reducing emissions by one tonne—compared to the carbon price legislated by the Trudeau government.
And there are other serious problems with the proposed oil and gas emissions gap. For one, emissions have the same impact on the climate regardless of the source; there’s no compelling reason to target a single sector. As a group of Canadian economists wrote back in 2023, climate policies targeting specific industries (or regions) are likely to reduce emissions at a much higher overall cost per tonne of avoided emissions.
Second, forcing down Canadian oil and gas emissions within a short time span (five to seven years) is sure to exact a heavy economic price, especially when Canada is projected to experience a long period of weak growth in inflation-adjusted incomes and GDP per person, according to the OECD and other forecasting agencies. The cap stacks an extra regulatory cost on top of the existing carbon price charged to oil and gas producers. The cap also promises to foster complicated interactions with provincial regulatory and carbon-pricing regimes that apply to the oil and gas sector, notably Alberta’s industrial carbon-pricing system.
The Conference Board of Canada think-tank, the consulting firm Deloitte, and a study published by our organization (the Fraser Institute) have estimated the aggregate cost of the federal government’s emissions cap. All these projections reasonably assume that Canadian oil and gas producers will scale back production to meet the cap. Such production cuts will translate into many tens of billions of lost economic output, fewer high-paying jobs across the energy supply chain and in the broader Canadian economy, and a significant drop in government revenues.
Finally, it’s striking that the Trudeau government’s oil and gas emissions cap takes direct aim at what ranks as Canada’s number one export industry, which provides up to one-quarter of the country’s total exports. We can’t think of another advanced economy that has taken such a punitive stance toward its leading export sector.
In short, the Trudeau government’s proposed cap on GHG emissions from the oil and gas industry lacks any solid scientific, economic or policy rationale. And it will add yet more costs and complexity to Canada’s already shambolic, high-cost and ever-growing suite of climate policies. The cap should be scrapped, forthwith.
Authors:
Economy
COP 29 leaders demand over a $1 trillion a year in climate reparations from ‘wealthy’ nations. They don’t deserve a nickel.
COP 29 is calling for over $1 trillion in annual climate reparations
- A major theme of COP 29 is that the world should set a “New Collective Quantified Goal” wherein successful nations pay poor nations over $1 trillion a year to 1) make up for climate-related harm and 2) build them new “green energy” economies. In other words, climate reparations.¹
- What would $1 trillion a year in climate reparations mean for you and your family?Assuming the money was paid equally by households considered high income (>$50 per day), your household would have to pay more than $5,000 a year in climate reparations taxes!²
- Climate reparations are based on two false assumptions:1. Free, wealthy countries, through their fossil fuel use, have made the world worse for poor countries.
2. The poor world’s main problem is dealing with climate change, which wealth transfers will help them with.
But free, fossil-fueled countries have made life better for poor countries
- Free, wealthy countries, through their fossil fuel use, have not made the world worse for poor countries—they have made it far, far better.Observe what has happened to global life expectancies and income as fossil fuel use has risen. Life has gotten much better for everyone.³
- The wealthy world’s fossil fuel use has improved life worldwide because by using fossil fuel energy to be incredibly productive, we have 1) made all kinds of goods cheaper and 2) been able to engage in life-saving aid, particularly in the realms of food, medicine, and sanitation.
- Without the historic use of fossil fuels by the wealthy world, there would be no super-productive agriculture to feed 8 billion humans, no satellite-based weather warning systems, etc. Most of the individuals in poor countries would not even be alive today.
Free, fossil-fueled countries have made the poor safer from climate
- The wealthy world’s fossil fuel use has been particularly beneficial in the realm of climate.Over the last 100 years, the death rate from climate-related disasters plummeted by 98% globally.
A big reason is millions of lives saved from drought via fossil-fueled crop transport.⁴
- The “climate reparations” movement ignores the fact that the wealthy world’s fossil fuel use has made life better, including safer from climate, in the poor world.This allows it to pretend that the poor world’s main problem is dealing with rising CO2 levels.
The poor world’s problem is poverty, not rising CO2 levels
- The poor world’s main problem is not rising CO2 levels, it is poverty—which is caused by lack of freedom, including the crucial freedom to use fossil fuels.Poverty makes everything worse, including the world’s massive natural climate danger and any danger from more CO2.
- While it’s not true that the wealthy world has increased climate danger in the poor world—we have reduced it—it is true that the poor world is more endangered by climate than the wealthy world is.The solution is for the poor to get rich. Which requires freedom and fossil fuels.⁵
Escaping poverty requires freedom and fossil fuels
- Every nation that has risen out of poverty has done so via pro-freedom policies—specifically, economic freedom.
That’s how resource-poor places like Singapore and Taiwan became prosperous. Resource-rich places like Congo have struggled due to lack of economic freedom.
- Even China, which is unfree in many ways (including insufficient protections against pollution) dramatically increased its standard of living via economic freedom—particularly in the realm of industrial development where it is now in many ways much freer than the US and Europe.
- A crucial freedom involved in rising prosperity has been the freedom to use fossil fuels.Fossil fuels are a uniquely cost-effective source of energy, providing energy that’s low-cost, reliable, versatile, and scalable to billions of people in thousands of places.⁶
- Time and again nations have increased their prosperity, including their safety from climate, via economic freedom and fossil fuels.Observe the 7X increase in fossil fuel use in China and India over the past 4 decades, which enabled them to industrialize and prosper.⁷
- For the world’s poorest people to be more prosperous and safer from climate, they need more freedom and more fossil fuels.The “climate reparations” movement seeks to deny them both.
- The wealthy world should communicate to the poor world that economic freedom is the path to prosperity, and encourage the poor world to reform its cultural and political institutions to embrace economic freedom—including fossil fuel freedom.Our leaders are doing the opposite.
Climate reparations pay off dictators to take away fossil fuel freedom
- Instead of promoting economic freedom, including fossil fuel freedom, wealthy climate reparations advocates like Antonio Guterres are offering to entrench anti-freedom regimes by paying off their dictators and bureaucrats to eliminate fossil fuel freedom.This is disgusting.⁸
- The biggest victim of “climate reparations” will be the world’s poorest countries, whose dictators will be paid off to prevent the fossil fuel freedom that has allowed not just the US and Europe but also China and India to dramatically increase their prosperity.
- The biggest beneficiary of “climate reparations” will be China, which is already emitting more CO2 than the US and Europe combined. (Though less per capita.)While we flagellate and cripple ourselves, China will use fossil fuels in its quest to become the world’s superpower.⁹
- The second biggest beneficiary of “climate reparations” will be corrupt do-gooders who get to add anti-fossil-fuel strings to “reparations” dollars and dictate how it’s spent—which will surely include lots of dollars for unreliable solar panels and wind turbines made in China.
Leaders must reject reparations and champion fossil fuel freedom
- We need leaders in the US and Europe who proudly:1. Champion the free world’s use of fossil fuels as an enormous good for the world, including its climate safety.
2. Encourage the poor world to embrace economic freedom and fossil fuels.
Tell your Representative to do both.
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1 Scientific American – COP27 Summit Yields ‘Historic Win’ for Climate Reparations but Falls Short on Emissions Reductions
Phys.org – COP29 climate finance deal ‘must cover loss and damage,’ experts urge
COP29 official website – Fund for responding to Loss and Damage ready to accept contributions
2 Global population was about 8.02 billion in 2023.
About 7% of world population are considered high income, which translates into about 562 million individuals. Considering 3 people per average household in high income households, this translates into about 187 million households.
Pew Research – Are you in the global middle class? Find out with our income calculator
$1 trillion per annum paid by 187 million households means the average household would pay about $5,300 per year.
3 Maddison Database 2010 at the Groningen Growth and Development Centre, Faculty of Economics and Business at University of Groningen
4 UC San Diego – The Keeling Curve
For every million people on earth, annual deaths from climate-related causes (extreme temperature, drought, flood, storms, wildfires) declined 98%–from an average of 247 per year during the 1920s to 2.5 in per year during the 2010s.
Data on disaster deaths come from EM-DAT, CRED / UCLouvain, Brussels, Belgium – www.emdat.be (D. Guha-Sapir).
Population estimates for the 1920s from the Maddison Database 2010, the Groningen Growth and Development Centre, Faculty of Economics and Business at University of Groningen. For years not shown, population is assumed to have grown at a steady rate.
Population estimates for the 2010s come from World Bank Data.
5 UC San Diego – The Keeling Curve
Data on disaster deaths come from EM-DAT, CRED / UCLouvain, Brussels, Belgium – www.emdat.be (D. Guha-Sapir).
Population estimates come from World Bank Data.
6 Our World in Data – Energy Production and Consumption
7 BP – Statistical Review of World Energy
8 UN News – ‘Pay up or humanity will pay the price’, Guterres warns at COP29 climate summit
9 Our World in Data – Annual CO₂ emissions from fossil fuels, by world region
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