NEW YORK—President Trump, speaking before the UN General Assembly Tuesday, vowed globalism is dead. A day later a roomful of suits representing some of the largest pension, mutual and hedge funds in the world offered a very different take.
The globe, they agreed, is moving toward a low-carbon, sustainable economy. Those who haven't factored that shift into their investment strategy are at risk.
Some 300 investors and regulators gathered during Climate Week in New York to talk trends and gain insight about markets at the annual Sustainable Investment Forum. The warning was clear: Mother Nature and the markets are moving forward, even as the Trump Administration retreats and global climate talks appear stalled.
"If you're not attentive to the climate change risks, … the sustainability of your business is in question," said Erik Gosule, managing director at Italy's Amundi Pioneer, Europe's largest asset manager, with $1.7 trillion under management.
Investors are baking a number of "sustainability factors" into their decision-making, financial experts noted repeatedly throughout the day: Fund managers are asking companies about everything from their carbon footprint and exposure to coal to energy transition and whether the company's goals align with the United Nations' goal of keeping global temperature rise below 2º Celsius.
One example: S&P Global, which maintains various Dow Jones indices such as the S&P 500, this week launched a new index that assesses companies' exposure to various climate risks—heatwaves, flooding, sea-level rise—in addition to carbon price and fossil-fuel emissions.
Credit: Douglas Fischer
"We are, as a global community, moving to a low-carbon future," said New York State Comptroller Thomas DiNapoli, the chief fiscal officer charged with ensuring that state and local governments use taxpayer money effectively. "It goes to our fiduciary responsibility: We're making decisions for the man or woman who starts work today and is going to be retiring in 25 to 30 years."
And as with so many aspects of climate policy, as the Trump Administration abdicates the country's leadership role, markets and states are stepping in. California is the largest insurance market in the nation, and the fourth or fifth biggest in the world. And the state is using that leverage, said California Insurance Commissioner Ricardo Lara.
The state is reviewing policies to ensure that, if private and commercial property is lost to a flood or wildfire, it gets rebuilt in a sustainable way, Lara said. And it's working with 10 other states to create a climate risk index.
"The responsibility and pressure being put on the insurance industry isn't just regulators," Lara added. "They're getting it from Main Street. They're getting it from industry. They're getting it on all sides."
That change is happening fast. The cavernous room Wednesday was full of men and women in suits—a sea of black and dark gray—prompting Berit Lindholdt-Lauridsen, director of market practice and regulatory policy for the Swiss-based International Capital Market Assoc., to comment, "I don't think there would've been quite so many suits at this discussion four or five years ago."
Elliot Harris. (Credit: Douglas Fischer)
There was also an air of inevitability. The general gist: Get ready now, because change, when it happens, is going to happen fast and be ugly for the unprepared.
"It's a very complex and evolving landscape," said Elliott Harris, Assistant Secretary-General for Economic Development and Chief Economist at the United Nations, who predicted that by 2025, regulatory and market shifts will be "forceful, abrupt and disruptive" in response to climate change.
Interior Secretary Deb Haaland faced intense scrutiny from senators regarding the Biden administration’s energy policies during her appearance before the Senate Energy and Natural Resources Committee.
Sen. Joe Manchin accused the Biden administration of prioritizing politics over long-term strategy and criticized Haaland for a lack of progress on energy-related decisions.
Republicans, including Sen. Lisa Murkowski, denounced recent Interior decisions that limit Alaska’s development, specifically in oil, gas, and mining projects.
Haaland defended her policies, stating she provides vision and direction while others detailed specific issues, like the Lava Ridge wind energy project.
Key quote:
"The radical climate advisers in the White House have put election-year politics ahead of a thoughtful and achievable long-term strategy for the country."
CAMERON PARISH, La. — Late into the night, John Allaire watches the facility next to his home shoot 300-foot flares from stacks.
He lives within eyesight of southwest Louisiana’s salty shores, where, for decades, he’s witnessed nearly 200 feet of land between it and his property line disappear into the sea. Two-thirds of the land was rebuilt to aid the oil and gas industry’s LNG expansion. LNG — shorthand for liquified natural gas – is natural gas that's cooled to liquid form for easier storage or transport; it equates to 1/600th the volume of natural gas in a gaseous state. It’s used to generate electricity, or fuel stove tops and home heaters, and in industrial processes like manufacturing fertilizer.
In the U.S., at least 30 new LNG terminal facilities have been constructed or proposed since 2016, according to the
Oil and Gas Watch project. Louisiana and Texas’ Gulf Coast, where five facilities are already operating, will host roughly two-thirds of the new LNG terminals – meaning at least 22 Gulf Coast LNG facilities are currently under construction, were recently approved to break ground or are under further regulatory review.
Although the U.S. didn’t ship LNG until 2016, when a freight tanker left, a few miles from where Cameron Parish’s LNG plants are today, last year the country became the global leader in LNG production and export volume, leapfrogging exporters like Qatar and Australia. The
EIA’s most recent annual outlook estimated that between the current year and 2050, U.S. LNG exports will increase by 152%.
Allaire, 68, watches how saltwater collects where rainwater once fed the area’s diminishing coastal wetlands. “We still come down here with the kids and set out the fishing rods. It's not as nice as it used to be,” he told
Environmental Health News (EHN).
That intimacy with nature drew Allaire to the area when he purchased 311 acres in 1998. An environmental engineer and 30-year oil and gas industry veteran, he helped lead environmental assessments and manage clean-ups, and although retired, he still works part-time as an environmental consultant with major petroleum companies. With a lifetime of oil and gas industry expertise, he’s watched the industry's footprint spread across Louisiana and the Gulf of Mexico’s fragile shores and beyond. Now that the footprints are at the edge of his backyard, Allaire is among a cohort of organizers, residents and fisher-folk in the region mobilizing to stop LNG facility construction. For him, the industry’s expansion usurps the right-or-wrong ethics he carried across his consulting career. For anglers, oil and gas infrastructure has destroyed fishing grounds and prevented smaller vessels from accessing the seafood-rich waters of the Calcasieu River.
From the view of Allaire’s white pickup truck as he drives across his property to the ocean’s shore, he points to where a new LNG facility will replace marshlands. Commonwealth LNG intends to clear the land of trees and then backfill the remaining low-lying field.
“You see what’s happening with the environment,” Allaire said. “When the facts change, I got to change my mind about what we’re doing.”
Community bands together
John Allaire, left, purchased 311 acres in Cameron Parish in 1998, and has watched the oil and gas industry's footprint spread to his property.
Credit: John Allaire
During an Earth Day rally in April, community members gathered in the urban center of Lake Charles to demand local oil and gas industries help deliver a safer, healthier future for all. In between live acts by artists performing south Louisiana’s quintessential zydeco musical style, speakers like James Hiatt, a Calcasieu Parish native with ties to Cameron Parish and a Healthy Gulf organizer, and RISE St. James organizer Sharon Lavigne, who’s fighting against LNG development in rural Plaquemines Parish near the city of New Orleans, asked the nearly 100 in attendance to imagine a day in which the skyline isn’t dotted by oil and gas infrastructure.
Not long ago, it was hard to imagine an Earth Day rally in southwest Louisiana at all. For decades, the area has been decorated with fossil fuel infrastructure. Sunsets on some days are highlighted by the chemicals in the air; at night, thousands of facilities’ lights dot the dark sky.
“It takes a lot of balls for people to start speaking up,” Shreyas Vasudevan, a campaign researcher with the Louisiana Bucket Brigade, told EHN in the days after the rally. In a region with its history and economy intertwined with oil and gas production, “you can get a lot of social criticism – or ostracization, as well – even threats to your life.”
Many are involved in local, regional and national advocacy groups, including the Louisiana Bucket Brigade, Healthy Gulf, the Sierra Club, the Natural Resources Defense Council, the Turtle Island Restoration Network, the Center for Biological Diversity and the National Audubon Society.
“You see what’s happening with the environment,” Allaire said. “When the facts change, I got to change my mind about what we’re doing.” - John Allaire, environmental engineer and 30-year oil and gas industry veteran
But environmental organizers are fighting a multi-billion-dollar industry with federal and state winds at its back. And LNG’s federal support is coupled with existing state initiatives.
Under outgoing Louisiana Gov. John Bel Edwards — a term-limited Democrat — the state pledged a goal of reaching net-zero greenhouse emissions by 2050. Natural gas, which the LNG industry markets as a cleaner-burning alternative, is cited as one of the state’s solutions. Louisiana is the only state that produces a majority of its carbon emissions through fossil fuels refining industries, like LNG, rather than energy production or transportation. Governor Edwards’ office did not return EHN’s request for comment.
This accommodating attitude towards oil and gas industries has resulted in a workforce that’s trained to work in LNG refining facilities across much of the rural Gulf region, said Steven Miles, a lawyer at Baker Botts LLP and a fellow at the Baker Institute’s Center on Energy Studies. Simultaneously, anti-industrialization pushback is lacking. It’s good news for industries like LNG.
“The bad news,” Miles added. “[LNG facilities] are all being jammed in the same areas.”
One rallying cry for opponents is local health. The Environmental Integrity Project found that LNG export terminals emit chemicals like carbon monoxide –potentially deadly– and sulfur dioxide, of which the American Lung Association says long-term exposure can lead to heart disease, cancer, and damage to internal or female reproductive organs.
An analysis of emissions monitoring reports by the advocacy group the Louisiana Bucket Brigade found that Venture Global’s existing Calcasieu Pass facility had more than 2,000 permit violations.That includes exceeding the permit’s authorized air emissions limit to release nitrogen oxides, carbon monoxide, particulate matter and volatile organic compounds 286 out of its first 343 days of operation.
The Marvel Crane, the first liquid natural gas carrier to transport natural gas from the Southwest Louisiana LNG facility, transits a channel in Hackberry, Louisiana, May 28, 2019.
“This is just one facility,” at a time when three more facilities have been proposed in the region and state, Vasudevan said. Venture Global’s operational LNG facility — also known as Calcasieu Pass — “is much smaller than the other facility they’ve proposed.”
In an area that experienced 18 feet of storm surge during Hurricane Laura in 2020 — and just weeks later, struck by Hurricane Delta — Venture Global is planning to build a second export terminal Known as “CP2,” it’s the largest of the roughly two dozen proposed Gulf LNG export terminals, and a key focal point for the region’s local organizing effort.
Residents “don’t really want LNG as much as they want Cameron [Parish] from 1990 back,” Hiatt told EHN of locals’ nostalgia for a community before storms like Rita in 2005 brought up to 15 feet of storm surge, only for Laura to repeat the damage in 2020. Throughout that time, the parish’s population dipped from roughly 10,000 to 5,000. “But the wolf knocking at the door is LNG. Folks in Cameron think that's going to bring back community, bring back the schools, bring back this time before we had all these storms — when Cameron was pretty prosperous.”
“Clearly,” for the oil and gas industry, “the idea is to transform what was once the center of commercial fishing in Louisiana to gas exports,” Cindy Robertson, an environmental activist in southwest Louisiana, told EHN.
Helping fishers’ impacted by LNG is about “actual survival of this unique culture,” Cooke said.
In a measure of organizers’ success, she pointed to a recent permit hearing for Venture Global’s CP2 proposal. Regionally, it’s the only project that’s received an environmental permit, but not its export permit, which remains under federal review. At the meeting, some spoke on the company’s behalf. As an organizer, it was a moment of clarity, Cooke explained. Venture Global officials “had obviously done a lot of coaching and organizing and getting people together in Cameron to speak out on their behalf,” Cooke said. “So, in a way, that was bad. But in another way, it shows that we really had an impact.”
“It also shows that we have a lot to do,” Cooke added.
Environmental organizers like Alyssa Portaro describe a sense of fortitude among activists — she and her husband to the region’s nearby town of Vinton near the Texas-Louisiana border. Since the families’ relocation to their farm, Portaro has worked with Cameron Parish fisher-folk.
“I’ve not witnessed ‘community’ anywhere like there is in Louisiana,” Portaro told EHN. But a New Jersey native, she understands the toll environmental pollution has on low-income communities. “This environment, it’s so at risk — and it’s currently getting sacrificed to big industries.”
“People don’t know what we’d do without oil and gas. It comes at a big price,” she added.
Southwest Louisiana’s Cameron Parish is one of the state’s most rural localities. Marine economies were the area’s economic drivers until natural disasters and LNG facilities began pushing locals out, commercial fishers claim.
Credit: Xander Peters for Environmental Health News
Residents “don’t really want LNG as much as they want Cameron [Parish] from 1990 back,” James Hiatt , a Healthy Gulf organizer, told EHN. "But the wolf knocking at the door is LNG."
Credit: Xander Peters for Environmental Health News
For the most part, Cameron Parish’s life and economy has historically taken place at sea. As new LNG facilities are operational or in planning locally, locals claim the community they once knew is nearly unrecognizable.
Credit: Xander Peters for Environmental Health News
A disappearing parish
The stakes are seemingly higher for a region like southwest Louisiana, which is the epicenter of climate change impacts.
In nearly a century, the state has lost roughly 2,000 square miles of land to coastal erosion. In part driving the state’s erosion crisis is the compounding impacts of Mississippi River infrastructure and oil and gas industry activity, such as dredging canals for shipping purposes, according to a March study published in the journal Nature Sustainability. Louisiana’s Coastal Protection and Restoration Authority said Cameron Parish could lose more land than other coastal parishes over the next 50 years. A recent Climate Central report says the parish will be underwater within that time frame.
On top of erosion and sea level rise impacts, in August, 2023, marshland across southwest Louisiana’s Cameron Parish burned. The fires were among at least 600 across the Bayou State this year. Statewide, roughly 60,000 acres burned — a more than six-fold increase of the state’s average acres burned per year in the past decade alone.
But while the blaze avoided coastal Louisiana communities like Cameron Parish, the fires represented a warning coming from a growing chorus of locals across the region — one that’s echoes by the local commercial fishing population, who claimed to have experienced unusually low yields during the same time, according to a statement from a local environmental group. At the site of the Cameron Parish fires are locations for two proposed LNG expansion projects.
"The idea is to transform what was once the center of commercial fishing in Louisiana to gas exports.” - Cindy Robertson, an environmental activist in southwest Louisiana
It was an unusual occurrence for an area that’s more often itself underwater this time of year due to a storm surge from powerful storms. For LNG expansion’s local opposition, it was a red flag.
As the Louisiana Bucket Brigade has noted prior, the confluence of climate change’s raising of sea levels and the construction of LNG export terminals — some are proposed at the size of nearly 700 football fields — are wiping away the marshland folks like Allaire watched wither. Among their fears is that the future facilities won’t be able to withstand the power of another storm like Laura and its storm surge, which wiped away entire communities in 2020.
Amidst these regional climate impacts, LNG infrastructure has shown potential to exacerbate the accumulation of greenhouse gasses that cause global warming. For the most part, LNG is made up of methane — a greenhouse gas that’s more than 80 times more potent than carbon dioxide in the atmosphere. Among the 22 current LNG facility proposals, the advocacy group Sierra Club described a combined climate pollution output that would roughly equal to that of about 440 coal plants.
The climate impacts prompt some of the LNG industry’s uncertainty going forward. It isn’t clear if Asian countries, key importers of U.S. LNG, will “embrace these energy transition issues,” said David Dismuke, an energy consultant and the former executive director of Louisiana State University’s Center for Energy Studies. Likewise, European nations remain skeptical of embracing LNG as a future staple fuel source.
“They really don't want to have to pull the trigger,” Dismukes added, referring to Europe’s hesitation to commit more resources to exporting LNG from the American market. “They don't want to go down that road.”
While there will be a tapering down of natural gas supply, Miles explained, “we’re going to need natural gas for a long time,” as larger battery storage for renewables is still unavailable.
“I'm not one of these futurists that can tell you where we're going to be, but I just don't see everything being extreme,” Dismukes said. “I don't see what we've already built getting stranded and going away, either.”
For now, LNG seems here to stay. From 2012 to 2022,U.S. natural gas demand — the sum of both domestic consumption and gross exports — rose by a whopping 43%, reported the U.S. Energy Information Administration, or EIA. Meanwhile, in oil and gas hotbeds like Louisiana and Texas, natural gas demand grew by 116%.
Throughout 25 years, Allaire has witnessed southwest Louisiana’s land slowly fade, in part driven by the same industrial spread regionally. Near where the front door of his travel trailer sits underneath the aluminum awning, he points to a chenier ridge located near the end of the property. It’s disappearing, he said.
“See the sand washing over, in here?” Allaire says, as he points towards the stretches of his property. “This pond used to go down for a half mile. This is all that's left of it on this side.”
The U.N. negotiations aim to finalize a global treaty to end plastic pollution by year-end, but disagreements persist.
Environmental groups criticize the U.S. for insufficiently addressing plastic production, rather than just consumption.
U.N. officials express optimism, highlighting progress on treaty drafts and upcoming intersessional work before the next meeting.
Key quote:
"We leave Ottawa having achieved both goals and a clear path to landing an ambitious deal in Busan ahead of us. The work, however, is far from over."
— Inger Andersen, executive director of the U.N. Environment Program
Why this matters:
Plastic has become a symbol of environmental crises. It is estimated that millions of tons of plastic waste end up in the oceans annually, harming marine life and entering the human food chain through seafood consumption. The health implications are increasingly concerning, as studies suggest that microplastics might impact human health through unknown pathways.
European farmers are protesting against new environmental regulations, fearing loss of subsidies and increased governmental control.
These protests have effectively stalled significant parts of the EU's Green Deal, particularly the Farm to Fork strategy aimed at reducing agricultural emissions and pesticide use.
Amidst these tensions, the EU faces mounting pressure from both farmers and right-wing political factions, complicating the implementation of its climate agenda.
Key quote:
“Instead of being seen as heroic producers of a vital commodity, they are increasingly described as environmental villains and climate destroyers.”
— Alan Matthews, an Irish economist and expert on the CAP
Why this matters:
The EU's strategy involves a delicate balancing act: achieving environmental benefits while also ensuring that farmers receive adequate support and incentives. This includes financial aid, access to new technologies, and training to adapt to more sustainable farming methods.
Recent electoral successes of right-wing parties are expected to influence the European Union's political priorities and policy initiatives, with potential shifts toward more conservative positions on various environmental policies.
Rising energy costs linked to green initiatives have increased support for far-right parties in Europe, such as the Netherlands and Germany.
Restrictions on gas-powered vehicles and mandatory heat pump installations have sparked widespread protests and political shifts.
These changes are perceived as unfairly burdening individuals rather than spreading costs across society and corporations.
Key quote:
"This has really expanded the coalition of the far right."
— Erik Voeten, professor of geopolitics at Georgetown University
Why this matters:
When people feel that changes are imposed on them without adequate consultation or consideration of their immediate concerns, there's a risk they will reject not just the specific policies but also the parties that promote them.
Far-right parties have capitalized on this discontent by framing green policies as elitist and disconnected from the common man's immediate economic concerns, promising to roll them back in favor of short-term economic relief.
The NBA's environmental focus includes significant changes to team travel, fan engagement, and venue operations to tackle climate change.
Efforts span from reducing game-related travel to promoting regenerative agriculture practices in food sourcing at NBA venues.
New strategies involve more than emission cuts, with initiatives like using renewable energy at events and supporting sustainable farming practices.
Key quote:
"We're pretty bullish in believing that food systems is the key to unlock this."
— Justin Zeulner, founder and president of The Wave Foundation
Why this matters:
Addressing climate change requires influential entities like the NBA to lead by example, implementing practical solutions that others might follow. Their broad reach allows them to influence the sports industry as well as global environmental practices.
Local emissions and geographical features contribute to pollution, which is intensified by climate warming.
Reduced rainfall and prolonged dry periods due to climate change worsen air quality.
Wildfires contribute significantly to the pollution levels, with the situation expected to deteriorate as global temperatures rise.
Key quote:
“In the short term, the level of pollution in Kathmandu is determined by the amount of rainfall it receives. However, the amount and frequency of rainfall in Nepal has been changing due to rising temperatures.”
Credit: Douglas Fischer 
Elliot Harris. (Credit: Douglas Fischer)
