Funding For Climate Change - US

November 17, 2002 – Vol.7 No.34

FUNDING FOR FIGHTING CLIMATE CHANGE - U.S.

Is it a surprise that ExxonMobil would pledge up to $100 million over ten years into a fund called the Global Climate and Energy Project (G-CEP), given the company’s history of resistance towards any action on global warming?

Not really.

ExxonMobil is already working with Toyota and General Motors to develop a Clean Hydrocarbon Fuel (CHF) that can be used in both combustion engines and fuel cells. Fuels cells, after all, ARE being pursued for their greater energy efficiency and reduced emissions, including climate changing ones. But also the company certainly recognizes what business it is in - the energy business. If the rest of the industry begins to move slowly towards hydrogen or other energy sources, ExxonMobil better be ready to move with the pack. Ten, twenty or thirty years from now ExxonMobil wouldn't want to be caught in a field by itself, defending an old business others had moved away from. Anyway, for a big company like ExxonMobil $10 million a year is small change.

ExxonMobil, General Electric (already in the green energy business with GE Wind Energy), Schlumberger Ltd, and German power company E.On have committed at least $175 million, up to a possible $225 million, to the G-CEP fund that will be managed through Stanford University and be used for research into technologies needed to resolve energy and environmental problems such as climate change. Specific technologies have not been announced.