Fossil fools

Banks shouldn’t gamble. Yet sixty of the world’s largest banks collectively put $3.8 trillion into fossil fuel companies from 2016 to 2020. These banks include Chase, Citi Bank, Wells Fargo and Bank of America.

Why do banks support products that destabilize the climate for farmers, hydropower and forestry? They might say it’s profitable, but is it? Savvy investors don’t think so. Exxon lost $20 billion in 2020; its stock dropped 30% over the last decade, and last week, shareholders had to force its board to realize customers want cheaper, cleaner, sustainable power.

Government subsidies encourage this corporate incompetence. Conservative estimates put U.S. direct fossil fuel industry subsidies at ~$20 billion/year, with 20% going to coal and 80% to natural gas and crude oil.

Bankers similarly don’t appear to be concerned about losing their shirts when their fossil fuel gambles fail. Because as the Great Recession bailouts showed, banks don’t lose their shirts; they lose ours.

Fossil fuel bankers may be irresponsible clowns, but we only have ourselves to blame if we let them use our money to undermine our livelihoods. We must ask banks to stop making foolish loans or move our money to clean banks/credit unions.

Simon Smith

Pullman