Anne Mulkern wrote an interesting article in today's New York Times/Greenwire about Big Oil's efforts to greenwash their dirty image with misleading advertisements.  As the article details, giant oil companies like BP, Shell, Exxonmobil, and their industry trade group, the American Petroleum Institute, are spending millions to convince Americans and policymakers that they are investing in clean energy, even though in reality, "...for all three companies, the alternative energy investments still are a small part of their overall business. BP, for example, puts $1.3 billion to $1.6 billion a year into alternative energy projects. That's about 1 percent of the company's total $20 billion investment this year in future business prospects."

Last week, we looked at some of Shell's ads, some of which were so misleading that they were forced to stop using them in the UK.

In Mulkern's article, Chevron attempts to explain their PR push:

Chevron's ads are aimed at getting people to think about conservation while also expanding their view of the company, said Helen Clark, Chevron's manager of corporate marketing.

"Oil and gas is a majority of our business, but there's a lot else we do that's important," Clark said.

"We want people to see past the rhetoric and past the view of 'Big Oil,'" she added. "We want to make sure it's showing all sides of the corporation."

All sides of the corporation? OK, let's check out some sides that you might not hear about on a giant billboard or full page ad in the Washington Post.  How about the side that's been accused of extortion on Capitol Hill for their lobbying efforts to avoid responsibility for dumping billions of gallons of toxic wastewater in the Amazon? Or the side that just settled a lawsuit requiring them to cough up millions of dollars for unpaid lease royalties to state, federal and American Indian governments? 

No amount of focus group-tested advertising is going to fool the people living nearby Chevron's massive polluting refinery in San Ramon, California, hundreds of whom marched on the facility this summer:

But maybe that's not the point.  As marketing expert Bob Kenney points out in Mulkern's article, it's important to look at just who Big Oil is trying to fool:

Many of the ads have run in Washington, D.C. Those are less about reaching customers and more about reaching Congress,

"It's concerned with contributing information in the public debate at a governmental level," Kenney said. "It may look like a public campaign sometimes, but sometimes it's not."

As Big Oil pollutes local communities from the Bay Area to the Amazon, their massive PR and lobbying efforts pollute the understanding of what they are doing to this planet, and they're especially focused on policymakers here in Washington DC. You can find Chevron's ads all over our nation's capitol, at bus stops, on the sides of buildings and in the newspapers and magazines read by our legislators and their staff.

In fact, there's a Chevron banner ad right on Mulkern's article itself, inviting us to "Join the Discussion" about the UN Climate summit in Copenhagen:

 

As the US Senate takes up energy and climate legislation, we'll be watching what kind of "discussion" polluter lobbyists are really interested in.

Though shell has been punished twice in recent years for greenwashing in the British media (here and here), the company seems to have little concern about greenwashing in American media. Check out the ad it has been running frequently in all the most influential papers and magazines, including the Economist and Washington Post on a regular basis.

You would think that Shell would learn from mistakes in the past. Last year, Shell was told to stop using the ad to the right in the UK. The text says:

 

“... we need to find new ways of managing carbon emissions to limit climate change. Continued investment in technology is one of the key ways we are able to address this challenge, and continue to secure a profitable and sustainable future.

“The challenge of the 21st century is to meet the growing need for energy in ways that are not only profitable but sustainable... In Canada we're harnessing our global network of technical and financial expertise to unlock the potential of the vast Canadian oil sands deposit. In the USA we're helping to build what will be the nation's largest refinery.”

The UK Advertising Standards Authority disapproved of the ad:

“We noted that the large scale of the oil sands developments had considerable social and environmental impacts, including those on water conservation, greenhouse gas emissions (GHG), land disturbance and waste management.

"Because we had not seen data that showed how Shell was effectively managing carbon emissions from its oil sands projects in order to limit climate change, we concluded that on this point the ad was misleading.”

The ASA concluded that the ad must not appear again in its current form.

But despite this lesson, Shell apparently has no qualms about making similar misleading claims in the US, for example the “less CO2” claim depicted above.

Shell also has no problem contributing funding to a large-scale anti-climate legislation campaign being run by the American Petroleum Institute.  That campaign was not only caught astroturfing, but also uses scare tactics and misleading, biased information to make the public and policy makers believe that climate legislation would kill jobs or drastically rise gas prices. For example, the API ad below is featured in many of the same media outlets as Shell greenwash ads. 

 

This week, Planet Green's Focus Earth program airs an episode on greenwash. In the episode Bob Woodruff interviews environmental and corporate watchdog expert Kenny Bruno, author of Greenwash and Corporate Environmentalism, and myself from Greenpeace, to answer the question: are corporate green efforts for show only, or can they actually make amends for decades of un-sustainable, even downright harmful, business choices? Woodfuff also gets up close with leaders from Royal Dutch Shell, Ford Motor Company and Duke Energy to examine their environmental statements and actions. 

Watch clips from the show and find airtimes here.

In contrast to its tar sands and other dirty operations, Shell recently launched a new political campaign in which the company emphasizes its commitment to combating climate change. The campaign promotes carbon capture and storage (CCS), a technology that would capture CO2 from power plants and refineries and bury it underground. The technology is unproven, expensive, energy intensive and generally impractical, yet Shell asked leaders of the G8 nations to pay for it.

Shell points out in expensive full page ads that more energy will come from more carbon-intensive types of fossil fuels in the future. Shell states:

“It’s technically challenging to convert heavy bitumen [from tar sands] into clean burning fuel, so CO2 emissions are higher than conventional petrol.”

Yet, rather than investing in readily available, cleaner technologies, like solar or wind, the company plans to increase investment in dirty energy, and is asking nations of the G8 to fund risky attempts to bury its dirty emissions. All while Shell and other oil companies are raking in record profits.

Ironically, through ads like these Shell has gained a better reputation than its competitors as a good corporate citizen addressing climate change.  In reality, Shell is not addressing climate change, its perpetuating it.

At the same time that Shell is investing in dirty technologies like tar sands, the company is also quietly selling off its solar operations. The company did not advertise the fact that it sold its photovoltaic operations last November to Environ Energy Global of Singapore . A year earlier Shell also sold its Solar Industries division to Solar World AG, a German company in June 2006. Shell reportedly also plans to sell its solar operations in the Phillipines and Indonesia.

While Shell is portraying a green image in its ads, the company is investing heavily in increasingly destructive practices. Shell is a lead company in the business of dirty and unconventional fuels, and is heavily invested in the tar sands located in Alberta, Canada [1].  The tar sands holds the second largest deposit of oil reserves in the world, and Shell is spending billions of dollars every year to make sure they remain a leader in both developing and processing the tar sands.  They are also quickly increasing investments in the tar sands and upgrading capacity.

Extracting oil from the tar sands has a huge impact on the environment and climate change. The production of oil from the tar sands is responsible for major greenhouse gas emissions (3 to 5 times the amount of GHG emissions as conventional oil), water depletion and pollution, toxic contamination of the surrounding ecosystem and local communities, as well as the destruction of the Boreal Forest. The tar sands are buried under thousands of square miles of the Boreal Forest and this critical forest ecosystem, often referred to as the “lungs of the our planet” is being clearcut so that Shell and other oil companies can access the tar. The Boreal Forest is a storehouse of carbon, holding more than 47 billion tonnes in its trees and soil.  Shell Canada’s President and CEO, Clive Mather, didn’t seemed phased about the destruction his operations are having on the environment when he talked about Shell’s expansion projects; he put it like this, “Shell has some of the best land and minable ore quality in the Athabasca area.  With billions of barrels of bitumen in place, we see clear potential for sustained profitable growth .” Profitable growth indeed . . . but at what expense?

Tar sands development is the single largest contributor to the increase in climate change in Canada, accounting for 40 million tonnes of CO2 emissions per year [2].  By 2011 the tar sands are estimated to emit twice that amount, and more than triple that by 2020. Tar sands is one of the most environmentally destructive and greenhouse gas intensive ways to extract oil. By continuing to develop and expand production of the tar sands Shell is not only diverting us off the path to clean energy but also directly contributing to climate change.

In August 2008, Shell was found guilty of misleading the public over its tar sands operations. The British Advertising Standards Authority (ASA) ruled that the company should not have used the word "sustainable" when describing its Canadian tar sands operations. The ASA ruled that the Shell ad had breached rules on substantiation, truthfulness and environmental claims.

[1] Shell website

[2] The Pembina Institute

As Americans become increasingly concerned about climate change, Shell has launched public relations campaigns that portray a green image and emphasize efforts to protect the world’s resources and climate. Their efforts run the gamut of PR strategies, from print and television, to less traditional blogs and magazines.  In reality, Shell’s “green” activities do not warrant the amount of publicity they are receiving.

Where There’s a Will, There’s “Away”

This print ad claims greenhouse gas emissions from Shell facilities were being piped into actual Dutch greenhouses to stimulate the growth of flowers.  The retro-60s font style seems intended to suggest an “Age of Aquarius” holistic, closed-loop approach to oil production.

Contrary the claim that “there is no away,” Shell – the world’s second-largest oil company - has a definite idea of where “away” is located.  It’s in Ogoniland, the part of the Niger River delta in Nigeria where Shell has conducted oil extraction operations since 1958, resulting in widespread pollution of Ogoniland and the deaths and displacement of tens of thousands of the Ogoni people .

In July 2007, the Dutch Advertising Code Authority (Holland is Shell’s home nation) ordered the company to withdraw the flowers ad, determining that it is a “misleading environmental claim” .

The ad is part of an expensive campaign to call attention to a small-scale project near Shell’s corporate headquarters, all the while hoping no one will notice the environmental devastation and human rights violations occurring in the region where Shell actually pumps oil from the ground. There more details available on Sourcewatch and Crococyl.

Shell's GTL Fuel Grows Trees?

In another print ad, Shell seems to suggests that “GLT” fuel will grow trees and make snow. The fuel is not explained in the ad, but it refers to “Gas to Liquid” fuel – a fuel made from natural gas. The fuel does reduce harmful emissions compared to gas, but the insinuation that using this fuel will somehow result in snowy wildernesses is over the top, especially considering that burning this fuel releases greenhouse gas emission that are melting snow in many places around the world.

Shell has had lots of trouble sticking to the truth: in the last couple years the company has also mislead the public about the size of its oil reserves and the environmental impacts of its operations … among other things.

 "V" for Very Destructive

In a televised ad, Shell advertises its premium gas by using colorful animated fish, portraying the marine environment as a happy, healthy, musical place.  In reality, Shell has a tradition of disturbing marine environments, especially off the coast of Alaska and in the Gulf of Mexico where it uses seismic testing to search for oil. 

Shell helped pioneer seismic technology, and has been sending sound waves below the surface of the ocean ever since. The blasts from seismic guns reach volumes that can cause permanent hearing loss, disorientation, brain hemorrhaging and death in marine mammals. When they lose part or all of their hearing, marine mammals cannot find food, avoid predators or communicate with each other. As a testament to this, in June over 100 whales were stranded off the coast of Madagascar near a site where Exxon was performing seismic surveys . Shell is continuing its seismic surveys this summer off the shores of Alaska, despite a court injunction that forbids them from drilling wells because of environmental and cultural concerns.

Non-Traditional Advertising

Perhaps some of the most influential advertising Shell is doing these days, is its non-traditional advertising.  These new concepts include a “Shell World” magazine and a “Shell Dialogues” website.  These communications seem to try to engage the public in matters regarding energy production, all the while portraying Shell in a green light.  Both the magazine and website include short stories about “green” technologies, like biofuels, cooking oils, and carbon capture and storage, and emphasize Shell’s hope to bring these technologies to market – even though they are not a part of the company's core business. Shell does not acknowledge in these communications that the company’s main operations are responsible for large, devastating environmental and health impacts that make most of these “green” initiatives miniscule by comparison. For example, in the July issue of "Shell World", there’s a feature story about smog in Beijing and the health impacts citizens are facing [1]. The article never mentions that smog is caused in large part by burning gas in vehicles, or that Shell is planning to build a large new refinery in China.

 [1] Shell World magazine

Investigations Brief
While Shell’s ads feature pristine wildernesses, happy fish, and flowering smoke stacks, Shell continues to poison the people that live near its operations, rapidly expand the most destructive oil extraction operations, and increase its greenhouse gas emissions.  Meanwhile, Shell is also trying to influence the climate policy debate, with targeted policy recommendations and thousands of dollars in lobby funding.

Background
Royal Dutch Shell is a multinational oil company with British and Dutch origins. It is one of the largest private sector energy corporations in the world, with its main business being exploration for and production, distribution and marketing of oil and gas . With 104,000 employees in more than 110 countries, the company claims to play a key role in helping to meet the world’s gherowing demand for energy in economically, environmentally and socially responsible ways [1]. Last year Shell made over $31B in profits, which amounts to $85M in profits every day [2].

Campaign Details
Shell oil spends millions promoting an image of environmental responsibility and innovation.  Shell ads talk about cleaning the air and water, and use environmental images to promote its products.  The company is exaggerating its environmental claims, while diverting attention away from its dirty and destructive core business.

The Outcome
Shell continues to spend millions on green advertising messages, while also continuing to devastate the plant and lobby Congress and the White House.

[1] Shell website
[2] Royal Dutch Shell 2007 Annual Report