Plastics and Big Oil: The Roots of our Plastic Crisis
As the production of plastic and widespread use of plastic packaging and single-use items have grown dramatically over the past few decades, the impacts of plastic waste have equally become more and more apparent. The environmental damage of plastic pollution, and in particular the impact on wildlife and marine animals, has prompted global campaigns promoting recycling, raising awareness of the impacts of littering, and calling for individuals to avoid single-use plastics.
Photo: Christine Figgener and Dr. Nathan J. Robinson
Photo: David Liittschwager and Susan Middleton
Whilst heartbreaking images such as these have encouraged many to rethink items such as plastic straws and carrier bags, the true impact of plastic pollution - from production to disposal - runs much deeper. Not only is this an environmental issue: climate, human health, and community resilience are all suffering at the hands of plastic production.
Every week, we consume the equivalent of a credit card’s worth of plastic through the water we drink, the food we eat, and the air we breathe. Whilst recycling, reusing, and reducing our personal plastic use are important actions in tackling plastic pollution, these actions alone are not enough to get our oceans, lungs, and blood back to being plastic-free.
Solving the plastic pollution crisis requires a fundamental change in thinking about the production of plastic in the first place: where it comes from, and why it is being produced in such monumental volume.
The story of plastics is the story of how Big Oil got into everything.
First, let’s start off with how plastics are made.
Did you know that plastics come from oil? Almost 98% of single-use plastic is made from virgin fossil fuels, meaning the plastic is created without any recycled materials.
After extracting crude oil from the Earth, the oil is sent to a refinery where it is separated into molecules to create tar, fuel, plastics, and fertiliser - to just name a few products.
These molecules are transported to a chemical plant, where the individual molecules are linked together to create polymers. The physical and mechanical properties that determine if the plastic will be opaque or transparent, flexible or rigid, depend upon the chemistry linking them together. During this process, Ester molecules become Polyester, Propene molecules become Polypropylene, and so on. Many of the chemicals used to link the molecules are endocrine disruptors, which are very toxic chemicals.
Soon after, these new polymers get squished into plastic pellets and move into the next stage, where they are extruded and moulded into all the products we know today: from bottles to bags, takeaway cutlery, straws, face masks, and many more products which are mostly used only once before being discarded.
What about recycling?
The truth is that plastic is almost impossible to recycle. Because of its unique chemistry, It cannot come back as the same type of plastic. Every time you break down that plastic, the chemistry degrades, and for this reason, plastic can only be downcycled. And furthermore, once it has been recycled once, the chance of it being recycled a second time is very low. Only 9% of the plastic that has ever been created has been recycled once.
Who’s behind the production of single-use plastics?
In the past few years, most of the blame for the single-use plastics pollution crisis has been placed upon companies packaging their product in single-use plastics, such as Coca-Cola and Pepsi Co.
Whilst these large corporations should be held accountable for the sheer volume of single-use plastic that they are producing, it is also time that we go to the root source of this plastic problem and those that are profiting off of its production. That is to say: Big Oil.
ExxonMobil is the biggest producer of single-use plastics according to the Plastic Waste Makers Index report. Followed by Dow, Sinopec, Indorama Ventures, Saudi Aramco, PetroChina, LyondellBasell, Reliance Industries, Braskem, Alpek SA de CV, Borealis, Lotte Chemical, INEOS, Total, Jiangsu Hailun Petrochemical, Far Eastern New Century, Formosa Plastics Corporation, China Energy Investment Group, PTT and China Resources.
The plastic pollution crisis is in the hands of these 20 companies. Coincidentally enough, many of these companies are also responsible for the climate crisis, leading the charts as the top contributors to greenhouse gas emissions.
Addressing the oil-dependent crisis from its root.
Our reliance on oil and gas is fuelling climate change but as the primary material used in the production of throwaway plastics, it is also devastating the oceans, ecosystems and our own health. Although some approaches to the plastic crisis may look like solutions, such as avoiding straws or making new products out of ocean plastic, they ultimately fail to address the source of the problem. Efforts such as ocean cleanups, down-cycling, recycling, or even not buying single-use plastics for a month, fail to break the cycle of fossil fuel reliance.
It’s time to go to the root of this problem and hold the fossil fuel industry accountable. Consumer pressure is key, but the real action needs to come from companies, investors, and governments.
Who’s Investing in the Plastic Crisis?
According to the Plastic Waste Makers Index Executive Summary, “close to 60% of the commercial finance funding of single-use production comes from just 20 global banks. A total of US$30 billion of loans from these institutions – which include Barclays, HSBC and Bank of America – has gone to the sector since 2011.”
In addition, 20 asset managers – led by US companies Vanguard Group, BlackRock and Capital Group – hold over US$300 billion worth of shares in the parent companies of single-use plastic polymer producers. Of this, US$10 billion is directly linked to single-use polymer production.
That’s a lot of money right? Because banks such as JPMorgan Chase, Citigroup, Bank of America, HSBC, Mitsubishi UFJ Financial, Deutsche Bank, Mizuho Financial, SMBC Group, and Goldman Sachs (to just name a few) invest in these companies, your money is most likely funding the plastic pollution crisis, in addition to the climate crisis.
It’s time to move our money out of irresponsible companies funding climate chaos.
So, what can you do to tackle plastic pollution?
One of the most impactful actions we can take to tackle plastic pollution is to look at where our money is being invested.
We have learned that big companies are not so shaken by campaigns and strikes - but they really seem to care about money and PR. So let's speak in the language they understand. That’s where your money comes into play. Think of your money as a voting tool: switch to a better bank and align your money with your values.
It’s time to divest.
Join us in moving our money away from banks, energy providers and pensions that fund the fossil fuel industry. It is one of the most effective things we can do to reduce our carbon footprint and let giant corporations and financial institutions know we no longer want to support the fossil fuel industry.
When you give your money to a bank, energy company, or pension that supports fossil fuels, you’re giving them permission to make climate-destroying investments with your money.
On the other hand, when you move your money to institutions that support renewable energy sources, you’re empowering them and their partners to grow their mission. Switch It
How to move your money:
Find your best alternative with Switch It
If you are feeling confused about switching your bank accounts, Stop The Money Pipeline has plenty of resources
After switching banks, let your old bank know why you switched. Green America has a great sample letter you can use.
Curious to know how much money your bank has given to fossil fuels? Check out the Banking on Cimate Chaos report.
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