Reducing Environmental Risk

Corporations are the main reason for climate change

On Behalf of | Aug 16, 2023 | Enforcement Actions

When people think about climate change, they often point to greenhouse gases. Individuals may even try to change their own habits to reduce their impact on the planet. For instance, people will buy electric cars that have no omissions, or they may simply try to drive less often and use other means of transportation.

It is good for people to take these steps, but it’s also important to point out that the vast majority of greenhouse gas emissions come from corporations. This has been true since at least 1988, according to one report. In fact, it claims that only 100 companies produce so many greenhouse gases that it makes up 71% of the total in the world.

Do investors have some of the blame?

The report also argues that investors can be blamed, in some senses, because roughly a third of all greenhouse gas emissions come from companies that are publicly owned. People who are investing in these companies are, therefore, contributing to the emission of these gases. They may make personal changes in their own lives to reduce their impact, but the way that they use their money is still having an effect.

Will corporations need to change?

Corporations are very powerful in the United States, involving themselves in everything from environmental actions to politics. But this report does indicate that change is going to be necessary on some level if the impact on the climate is to be reduced. There is nothing that individuals can do to counteract the 71% of greenhouse gases coming from those 100 companies.

As restrictions become more strict and companies make necessary changes, it’s also important for owners and CEOs to know about their legal obligations.



FindLaw Network