Two lobbyists for Exxon have been caught on tape admitting how the company manipulates politicians and the public. Among the damning admissions are that the company views its advocacy for a carbon tax as little more than âan advocacy toolâ and that it once funded âshadow groupsâ to fight climate science.
When it comes to oil and gas majors, getting a peek at the internal workings of a company past its PR-heavy facade is rare. But the new investigation conducted by Unearthed, the investigative arm of Greenpeace UK, provides a revealing peek behind the curtain of secrecy to show how Big Oil operates to game the system.
To set up the sting, representatives from Unearthed posed as recruitment consultants looking to hire a DC lobbyist for a major client. They then had Zoom calls with two senior Exxon staffers: Keith McCoy, Exxonâs senior director of federal relations, and Dan Easley, who formerly worked as an executive branch and regulatory team lead for federal relations. The Unearthed team asked both men about their time at Exxon and the companyâs lobbying on environmental issues, while secretly recording both calls, which took place in April and May. Footage of the interviews was released to the UKâs Channel 4, which aired it on Wednesday.
A chief talking point of the two interviews was the recent work Exxon did lobbying against President Joe Bidenâs American Jobs Plan which, in its original form, proposed a slew of groundbreaking climate initiatives. The plan also called for cranking up the corporate tax rate to pay for those initiatives, sending major businesses and corporate lobbying groups into a panic. Exxon, it seems, is no exception.
âWeâre playing defenseâ on the bill, McCoy told the Unearthed interviewers in his May conversation, according to a transcript provided by Greenpeace, before rattling off the lawmakers from both parties heâd been talking to about the bill. He boasted about his relationships with certain lawmakers as well. Among those mentioned are fossil fuel heavy-hitters like Democratic Sen. Joe Manchin and Republican Sens. John Cornyn and John Barrasso.
In his interview, Easley seemed to see beyond the corporate tax rate to what a groundbreaking piece of climate infrastructure legislation like the original American Jobs Plan could mean for a fossil fuel giant. The bill, Easley said, is âgoing to be replete with provisions that will be difficult for oil and gas,â including âa whole host of new environmental requirements and procurement requirements, requirements for the federal government to purchase green energy and renewable technologies and retrofitting federal buildings. … Itâs going to accelerate the transition to the extent that I think four years from now itâs going to be difficult to unwind that. So weâre all living in a different world and thatâs why we see oil and gas companies with unclear carbon emissions.â
The interviews also gave a glimpse of how the fossil fuel industry really views some of its most recent pro-climate PR moves. After years of lobbying against actual proposals for a carbon tax, many oil majors and affiliated groups have done an about-face on the policy. Exxon is among the founding members of the Climate Leadership Council, a group that backs a carbon tax. More recently, the American Petroleum Instituteâof which Exxon is a memberâannounced in March that it would support a government-instituted carbon tax.
McCoy was at Exxon when the company initially rolled out its support for a carbon tax in 2017. During his Zoom interview, he called a carbon tax an âadvocacy toolâ and âgreat talking point.â
âNobody is going to propose a tax on all Americans and the cynical side of me says, yeah, we kind of know that but it gives us a talking point that we can say, âwell what is ExxonMobil for, weâre for a carbon tax,ââ McCoy said. (Not to brag, but we kind of called this when we wrote back in March that API was only coming out in support of a carbon tax now because it had spent years poisoning the well to make any sort of bipartisan agreement realistically impossible at this point.)
McCoy also told the interviewers that Exxon had poured money into âshadow groupsâ in order to fight against climate science. According to Greenpeaceâs release, this marks the first time that a sitting executive at Exxon had admitted to the companyâs role in funding dark money denier efforts.
âThereâs nothing illegal about that,â McCoy helpfully noted. âWe were looking out for our investments, we were looking out for our shareholders.â
(The companyâs shareholders, it appears, didnât appreciate those efforts.)
âNo matter how much Exxon wants you to think they care about the climate crisis, this shows as clear as day that the tiger hasnât changed its stripes,â Charlie Kronick, a senior climate campaigner with Greenpeace UK, said in a release. âThe oil giant is still using every trick in the lobbyistâs playbook to weaken or derail climate action in the U.S. We now know for sure that Exxonâs support for a carbon tax is just a cynical ploy based on their belief that it will never happen.â
A spokesperson for Exxon told Channel 4 that the company stands by its position on corporate taxes in the American Jobs Plan and supporting a carbon tax. They also said Exxon has âsupported climate science for decadesâ (riiiiiiight) and would like âother optionsâ to reach the goals of the Paris Agreement, âincluding lower-carbon fuels and other sector-based approaches that would place a uniform, predictable cost on carbon.â (No word, of course, on the IEAâs recent mandate that new fossil fuel exploration needs to stop by next year.)
Exxon has for a long time been qualitatively (and quantitatively) the oil major that has been the slowest to adjust to changing energy markets. And it pioneered climate denial and has mastered the art of delay even as it knew the risks of its products. Thereâs a reason that investors threw a coup last month and put three new members on Exxonâs board, including a longtime oil and gas executive, in a move seen as shocking and progressive. The company has been that bad at getting its act together.
But as more and more of the worldâs oil majors throw money into advertising and new language to convince us that theyâre doing everything they can, really, to fix the mess theyâve made, these interviews provide an important reminder that itâs still largely window dressing. When it comes to Exxon, the companyâs oil-driven profits have always been its bottom line, and it looks like thatâs not changing anytime soon.