stocks

Forest crimes

November 20, 2024 By EarthWise Leave a Comment

Wildlife trafficking is the world’s fourth largest form of organized crime, behind only drug trafficking, counterfeiting, and human trafficking. When we hear about wildlife trafficking, we think of elephant ivory, rhino horns, tiger parts, and the like. But so-called forest crimes, which includes poaching protected trees and illegal logging added up to somewhere between $30 billion and $100 billion during the period 2014-2018. A 2020 report by the United Nations estimated that illegal trade just in rosewoods comprised more than 40% of the value of all trafficked species – animal and plant – during that time.

Even though rosewood comprises multiple tree species, world stocks of nearly all of them have been depleted through overexploitation. Rosewood is now protected worldwide, and some 300 species are under trade restrictions.

With a value of as much as $1.5 million per cubic meter, rosewood is at the center of a great deal of illegal activity, government corruption, and controversy. A shipment of 30,000 illegally felled rosewood logs from Madagascar was seized at a port in Singapore in 2014. Those rosewood logs, worth at least $50 million, have been hung up in multiple legal proceedings and disputes ever since and remain in Singapore.

With huge financial stakes, it is perhaps not surprising that the U.N. estimates that as much as a third of the supposedly legal global timber trade involves illegally harvested wood.

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How Traffickers Got Away with the Biggest Rosewood Heist in History

Photo, posted April 19, 2010, courtesy of Dinesh Valke via Flickr.

Earth Wise is a production of WAMC Northeast Public Radio

Wealth And Greenhouse Gas Emissions | Earth Wise

September 28, 2023 By EarthWise Leave a Comment

A new study led by researchers from the University of Massachusetts Amherst has found that the wealthiest 10% of Americans are responsible for a staggering 40% of the country’s greenhouse gas emissions. The study, which was recently published in the journal PLOS Climate, is the first to link income, especially income derived from financial investments, to the emissions used in generating that income.

The research team suggests that policymakers adopt taxation strategies focused on shareholders and the carbon intensity of investment incomes in order to meet the global goal of limiting temperature rise to 1.5 degrees Celsius.

Historically, environmental policies have focused on regulating consumption, but the researchers argue that this approach misses something important: carbon pollution generates income, but when that income is reinvested into stocks, rather than spent on necessities, it isn’t subject to a consumption-based carbon tax. Rather than focus on how emissions enable consumption, they argue that the focus should be on how emissions create income.

After analyzing 30 years of data, the researchers found that not only are the top 10% of earners in the United States responsible for 40% of the nation’s total greenhouse gas emissions, but that the top 1% alone account for 15-17% of the emissions. Emissions tended to peak in the 45-54 age group before declining.

The researchers highlight the need for an income and shareholder-based taxation strategy to incentivize climate action among high-income earners and industries, which could expedite decarbonization efforts and create tax revenue to support other climate initiatives.

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America’s Wealthiest 10% Responsible for 40% of U.S. Greenhouse Gas Emissions

Photo, posted June 29, 2015, courtesy of Pictures of Money (via Flickr).

Earth Wise is a production of WAMC Northeast Public Radio

Renewable Growth During The Pandemic | Earth Wise

December 22, 2020 By EarthWise Leave a Comment

According to a new report published by the International Energy Agency, global renewable energy installations will hit a record level in 2020 in sharp contrast with declines in the fossil fuel sectors caused by the Covid-19 pandemic.

For the year, almost 90% of all new electricity generation will be renewable, with only 10% powered by gas and coal. This progress puts green power on track to become the largest global electricity source by 2025, displacing coal-powered generation, which has been dominant for the past 50 years. By that year, renewables are expected to supply one-third of the world’s electricity.

Solar power capacity has increased by 18 times since 2010 and wind power by four times. In 2010, hydropower provided 77% of the world’s green power, but its share has fallen to 45% – not because there is less hydropower but because solar and wind have grown so much.

Growing recognition of the need to tackle the global climate crisis has made renewable energy increasingly attractive to investors. According to the IEA report, shares in renewable equipment makers and project developers have outperformed most major stock market indices and the value of shares in solar companies has more than doubled in the past 12 months. Fossil fuels have had a turbulent time in 2020 as the pandemic has caused demand from transport and other sectors to plunge.

While renewables continue to see dramatic growth in electrical generation capacity, electricity represents only about one-fifth of all energy use. The burning of fossil fuels in transport, industry, and heating continues to make up the bulk of energy emissions.

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Renewable energy defies Covid-19 to hit record growth in 2020

Photo, posted October 2, 2020, courtesy of the Bureau of Land Management California via Flickr. Photo credit: Clearway Energy Group.

Earth Wise is a production of WAMC Northeast Public Radio.

Responsible Investing On The Rise

November 6, 2018 By EarthWise Leave a Comment

Investors in the US are starting to catch up with their European counterparts with respect to taking environmental, social and governance (ESG) principles into account.