But Exxon didn't tell the truth. A Yale study published last fall in the Proceedings of the National Academy of Sciences showed that money from Exxon and the Koch Brothers played a key role in polarizing the climate debate in this country.
The company's sins -- of omission and commission -- may even turn out to be criminal. Whether the company "lied to the public" is the question that New York Attorney General Eric Schneiderman decided to investigate last fall in a case that could make him the great lawman of our era if his investigation doesn't languish. There are various consumer fraud statutes that Exxon might have violated and it might have failed to disclose relevant information to investors, which is the main kind of lying that's illegal in this country of ours. Now, Schneiderman's got backup from California Attorney General Kamala Harris, and maybe -- if activists continue to apply pressure -- from the Department of Justice as well, though its highly publicized unwillingness to go after the big banks does not inspire confidence.
Here's the thing: all that was bad back then, but Exxon and many of its Big Energy peers are behaving at least as badly now when the pace of warming is accelerating. And it's all legal -- dangerous, stupid, and immoral, but legal.
On the face of things, Exxon has, in fact, changed a little in recent years.
For one thing, it's stopped denying climate change, at least in a modest way. Rex Tillerson, Raymond's successor as CEO, stopped telling world leaders that the planet was cooling. Speaking in 2012 at the Council on Foreign Relations, he said, "I'm not disputing that increasing CO2 emissions in the atmosphere is going to have an impact. It'll have a warming impact."
Of course, he immediately went on to say that its impact was uncertain indeed, hard to estimate, and in any event entirely manageable. His language was striking. "We will adapt to this. Changes to weather patterns that move crop production areas around -- we'll adapt to that. It's an engineering problem, and it has engineering solutions."
Add to that gem of a comment this one: the real problem, he insisted, was that "we have a society that by and large is illiterate in these areas, science, math, and engineering, what we do is a mystery to them and they find it scary. And because of that, it creates easy opportunities for opponents of development, activist organizations, to manufacture fear."
Right. This was in 2012, within months of floods across Asia that displaced tens of millions and during the hottest summer ever recorded in the United States, when much of our grain crop failed. Oh yeah, and just before Hurricane Sandy.
He's continued the same kind of belligerent rhetoric throughout his tenure. At last year's ExxonMobil shareholder meeting, for instance, he said that if the world had to deal with "inclement weather," which "may or may not be induced by climate change," we should employ unspecified "new technologies." Mankind, he explained, "has this enormous capacity to deal with adversity."
In other words, we're no longer talking about outright denial, just a denial that much really needs to be done. And even when the company has proposed doing something, its proposals have been strikingly ethereal. Exxon's PR team, for instance, has discussed supporting a price on carbon, which is only what economists left, right, and center have been recommending since the 1980s. But the minimal price they recommend -- somewhere in the range of $40 to $60 a ton -- wouldn't do much to slow down their business. After all, they insist that all their reserves are still recoverable in the context of such a price increase, which would serve mainly to make life harder for the already terminal coal industry.
But say you think it's a great idea to put a price on carbon -- which, in fact, it is, since every signal helps sway investment decisions. In that case, Exxon's done its best to make sure that what they pretend to support in theory will never happen in practice.
Consider, for instance, their political contributions. The website Dirty Energy Money, organized by Oil Change International, makes it easy to track who gave what to whom. If you look at all of Exxon's political contributions from 1999 to the present, a huge majority of their political harem of politicians have signed the famous Taxpayer Protection Pledge from Grover Norquist's Americans for Tax Reform that binds them to vote against any new taxes. Norquist himself wrote Congress in late January that "a carbon tax is a VAT or Value Added Tax on training wheels. Any carbon tax would inevitably be spread out over wider and wider parts of the economy until we had a European Value Added Tax." As he told a reporter last year, "I don't see the path to getting a lot of Republican votes" for a carbon tax, and since he's been called "the most powerful man in American politics," that seems like a good bet.
The only Democratic senator in Exxon's top 60 list was former Louisiana solon Mary Landrieu, who made a great virtue in her last race of the fact that she was "the key vote" in blocking carbon pricing in Congress. Bill Cassidy, the man who defeated her, is also an Exxon favorite, and lost no time in co-sponsoring a bill opposing any carbon taxes. In other words, you could really call Exxon's supposed concessions on climate change a Shell game. Except it's Exxon.
The Never-Ending Big Dig
Even that's not the deepest problem.
The deepest problem is Exxon's business plan. The company spends huge amounts of money searching for new hydrocarbons. Given the recent plunge in oil prices, its capital spending and exploration budget was indeed cut by 12% in 2015 to $34 billion, and another 25% in 2016 to $23.2 billion. In 2015, that meant Exxon was spending $63 million a day "as it continues to bring new projects on line." They are still spending a cool $1.57 billion a year looking for new sources of hydrocarbons -- $4 million a day, every day.
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