ExxonMobil cannot decide whether it favors climate policies or opposes them. In the new “Lessons from Europe” chapter of its Global Outlook, Exxon argues that the EU’s high-regulation approach to decarbonization has driven up costs, dented investment, and eroded public support—warnings the company says U.S. policymakers should heed as they debate climate and trade rules. The Financial Times reports:
“Under Europe’s decarbonisation approach: Industrial production, a critical sector in Europe’s economy, is declining. Energy prices in heavy industry and commercial transportation are rising. As a result, public support for lower emissions technology needed to reach EU climate goals is wavering,” Exxon said.
Exxon has consistently lobbied against European regulations in the climate and sustainability area, arguing that it threatens to undermine the continent’s competitiveness and entangle US companies in bureaucracy that erodes their global competitiveness.
Darren Woods, Exxon chief executive, last month called for US President Donald Trump to use trade talks with Brussels to fight a European directive requiring non-EU companies to ensure their supply chains do not harm the environment or human rights.
Hypocritically, Woods had previously expressed support for the Paris Agreement, opposing President Trump’s efforts to remove the US from the pact. In response, NLPC pointed out that support for the Paris Agreement is antithetical to Exxon’s primarily oil focused business, and called for Woods to resign from his positions as Chair and CEO of the company.
Under Woods’s leadership, Exxon has wasted shareholder resources on unprofitable carbon capture projects. It appears he has no substantive position on climate policies other than chasing handouts that depend on which way the political winds blow. That’s no way to run a multinational energy business. NLPC will continue to push Exxon to replace Woods and restore consistent hydrocarbon-friendly leadership.
