Which Corporations Are The Worst Polluters?

The world's most polluting companies are responsible for driving the climate emergency that threatens humanity. According to various reports, just 20 to 100 companies have been responsible for 35% to 71% of global greenhouse gas emissions since 1988. These companies are mostly fossil fuel producers, and their investors could play a key role in tackling climate change. ExxonMobil, Shell, BP, and Chevron are among the highest-emitting investor-owned companies. The top polluters spend millions lobbying governments and presenting themselves as eco-friendly, while the fashion, agriculture, food retail, and construction industries also contribute significantly to global emissions.

Oil and gas companies

The oil and gas sector's activities, particularly in the United States, have severe consequences for air quality and public health. A study by the School of Public Health at Boston University, the University of North Carolina Institute for the Environment (UNC-IE), PSE Healthy Energy, and the Environmental Defense Fund found that pollutants from US oil and gas production, such as nitrogen oxide, fine particulate matter (PM2.5), and ozone (O3), led to approximately 7,500 premature deaths, 410,000 asthma attacks, and 2,200 new cases of childhood asthma in 2016. The health impacts were not limited to areas with high oil and gas production but also extended to densely populated cities with minimal gas activity, demonstrating the far-reaching effects of this industry's pollution.

Some of the notable oil and gas companies that have been linked to substantial emissions include Aramco, which has been associated with 4.5% of annual global emissions. Other major polluters within the industry include Marathon Petroleum, Phillips 66, Valero Energy, Exxon Mobil, Peabody Energy, and Chevron. These companies have faced scrutiny for their environmental practices and their impact on climate change.

While some oil and gas companies have started to invest in renewable energy projects and carbon capture technologies, critics argue that the pace of change and the sums involved are insufficient. There is a growing sentiment that these companies should be held more accountable for their environmental impact, and the public and political debate is shifting towards focusing on corporate responsibility rather than solely on individual actions to address climate change.

Investor-owned companies

Several investor-owned companies are major contributors to global pollution and greenhouse gas emissions. A 2021 study by the Carbon Disclosure Project (CDP) revealed that 100 companies, including investor-owned entities, are responsible for 71% of global GHG emissions since 1998. This highlights the significant role of companies and their investors in addressing climate change.

Among the top investor-owned polluters, Chevron consistently ranks high on the list. Other prominent names include ExxonMobil, BP, and Shell, with these four companies being responsible for over 10% of the world's carbon emissions since 1965. These companies have been identified as some of the highest-emitting investor-owned entities since 1988, according to the CDP report.

The Carbon Majors Database project by CDP aims to improve transparency among fossil fuel producers and educate investors about the emissions associated with their holdings. The project focuses on the carbon emissions resulting from the extraction and supply chain of fossil fuels, including oil, natural gas, and coal. It is important to note that the emissions attributed to these companies are not only from their direct operations but also from the use of their products, such as petrol, jet fuel, and natural gas.

The role of investors in tackling climate change is crucial, as highlighted by Charlie Kronick, senior programme advisor at Greenpeace UK. Investors have a choice to either manage the decline of the oil industry by reinvesting in sustainable industries or risk holding on to their fossil fuel investments as the world transitions to clean energy. Michael Brune, executive director of the Sierra Club, also emphasizes the moral and economic risks of investing in fossil fuels.

While individual actions are important, addressing the emissions produced by these investor-owned companies and their products is essential to combat climate change effectively. The transition to a sustainable economy relies on investors making informed decisions and urging companies to disclose their climate risks.

State-owned companies

A 2017 report by the Guardian, in collaboration with the Climate Accountability Institute, revealed that just 25 corporate and state-owned entities were linked to over half of global industrial emissions since 1988. This highlights the significant role these state-owned companies play in climate change. ExxonMobil, Shell, BP, and Chevron are among the highest-emitting investor-owned companies, while Saudi Aramco, the state-owned Saudi oil and gas giant, is the biggest emitter of greenhouse gases in the fossil fuel sector.

India's state-owned coal company, Coal India, is the world's single largest generator of coal-based pollution, closely followed by China's state-owned Shenhua Group, according to 2015 data. China's coal industry as a whole is the world's biggest source of greenhouse gas production and supply, responsible for more than 14% of human-caused greenhouse gas emissions between 1988 and 2015. These state-owned companies have a massive impact on the environment and contribute significantly to climate change.

In addition to the energy sector, state-owned companies in other industries also contribute to pollution. For example, the German multinational pharmaceutical and chemical company, Bayer, became the world's largest supplier of agricultural chemicals after its acquisition of Monsanto. These chemicals are a key source of nonpoint water pollution, impacting rivers and coastal ecosystems. Similarly, the Chinese-owned Swiss company Syngenta is one of the largest producers and suppliers of pesticides and herbicides, which also contribute to water pollution.

While state-owned companies have been implicated in causing significant pollution, it is important to recognize that individual actions and consumption habits also play a role in driving demand for certain products and industries. However, the influence and scale of these state-owned entities cannot be understated, and addressing their environmental impact is crucial in the fight against climate change.

Electricity suppliers

Another report from 2020 by the Political Economy Research Institute (PERI) at the University of Massachusetts Amherst found that nearly 6 billion metric tons of CO2 emissions were produced by 100 companies or entities in the US in 2020 alone. Over half a billion metric tons of those emissions came from facilities owned by just ten companies, many of which supply electricity for utilities, including Vistra Energy, Duke Energy, Southern Company, and Berkshire Hathaway.

The burning of fossil fuels, such as coal, oil, and biomass, releases harmful pollutants into the air, including sulfur dioxide, nitrogen dioxide, carbon monoxide, and mercury, as well as hazardous pollutants that can cause cancer and other health problems. These emissions are particularly harmful to people living near power plants but can also impact health hundreds of miles downwind.

To address these issues, the United States has laws in place, such as the Clean Air Act, which regulates air pollutant emissions from power plants. The U.S. Environmental Protection Agency (EPA) administers this act and sets emissions standards for power plants through various programs like the Acid Rain Program. While these measures have helped reduce emissions, the electricity sector remains a significant contributor to pollution, and a transition to zero-emission sources of electricity is advocated by organisations like the American Lung Association.

Top polluters

The world is facing a "climate catastrophe" as nations struggle to reduce their greenhouse gas emissions. The top 20 global climate polluters, dominated by China, India, the United States, and the European Union, were responsible for 83% of emissions in 2022. China, the largest climate polluter, accounted for nearly 30% of global emissions, driven by its extensive use of coal. The United States, while ranking lower in overall emissions, has higher per capita emissions, with the average American producing nearly twice as much climate pollution as the average person in China.

Fossil fuel companies have been identified as major drivers of the climate crisis, with investor-owned corporations such as Chevron, Exxon, BP, and Shell contributing to more than 10% of the world's carbon emissions. State-owned companies, such as Saudi Aramco, have also played a significant role, producing 4.38% of global carbon dioxide and methane emissions. These companies have been accused of ignoring the threat of climate change and continuing to promote the use of fossil fuels.

The energy sector, including electricity generation, transportation, and manufacturing, is the largest contributor to greenhouse gas emissions, representing 76% of global emissions in 2019. Transportation alone accounts for 15% of global greenhouse gas emissions, with almost all (95%) of its energy derived from petroleum-based fuels. The buildings sector contributes 6% of emissions, including energy generation and fuel burning for heat and cooking.

To address the climate crisis, global initiatives such as the Paris Climate Agreement and legislative measures like the Carbon Border Adjustment Mechanism (CBAM) in Europe and the Inflation Act in the US aim to reduce emissions and promote sustainable practices. However, the success of these efforts relies on the collective action of individuals, companies, and countries to transition to a low-carbon economy and achieve carbon neutrality.

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