Greenies busted (again)

The coal divestment crowd have been running around arguing that there is a carbon bubble that isn’t priced in global stock markets. Recently the Australia Institute was in on the game:

To meet the internationally-agreed two degree global warming limit, fossil fuel businesses must leave in the ground two-thirds of the reserves currently on their books. Failure to incorporate this risk is causing inaccurate share valuations.

Sounds serious. Except for a small (well, okay, not so small problem).

TAI coal

So have a close look at the column entitled “Fraction of 2°C budget”. Got it? Yes. 85% of the 2°C budget is listed on the worlds stock markets. The rest of it is state owned. As in not listed on the markets. In other words, contrary to what our divestment friends are telling us, all listed carbon could be exploited, and then some, before their own 2°C budget is breached.

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25 Responses to Greenies busted (again)

  1. Tel

    Ha, ha, “2°C budget” like these guys have any idea. The stock market is smart enough to know that when people are faced with the choice of freezing or burning coal, they will burn coal.

    By the way, just to outline the level of honesty we are dealing with –

    http://climateaudit.org/2014/03/24/lewandowsky-ghost-wrote-conclusions-of-uwa-ethics-investigation-into-hoax/

    They have pulled out the stops, they will say absolutely anything. Not the slightest qualm.

  2. Samuel J

    divestment friends

    speak for yourself Professor Davidson. I’ve already divested myself of these former friends.

  3. entropy

    The problem with deconstructing and otherwise analysing their stupid argument is that it lends it credibility. Just stick to contempt. It’s all it deserves.

  4. evcricket

    Interesting Sinclair that you feel threatened enough to keep writing about this.

    Go ahead invest in fossil fuels, let us know how that goes.

    You should be able to get some RWE shares quite cheap
    http://reneweconomy.com.au/2014/germany-decline-of-fossil-fuel-generation-is-irreversible-75224

  5. Bruce of Newcastle

    The Australia Institute is effectively a wing of the Greens, since their executive director Richard Denniss was ‘Senior Strategic Advisor’ to Bob Brown.

    You can see what level of expertise he offers by watching the National Press Club debate between him and Monckton that the ABC televised. Monckton ran rings around Denniss and Denniss could offer nothing concrete except some hand waving and lame beliefs unbacked by science.

  6. evcricket

    Hey guys there is hope for you yet
    http://www.salon.com/2013/12/28/why_i_fled_libertarianism_and_became_a_liberal/?utm_source=twitter&utm_medium=socialflow

    “Why I fled libertarianism: I realized it was a political ideology that celebrated selfishness and cruelty”

  7. Bruce of Newcastle

    Ev – Perhaps you might like to read this from yesterday:

    Lessons Learned From Germany’s Great Green Catastrophe

    Which is why Germany has been building so many coal fired power stations, 10 of which are due to start up in the next couple of years. They also are restarting their old brown coal mines.

    And then you might meditate on the book written by the head of the biggest renewable energy group in Germany, Dr Varhenholt, who also was a state Environment Minister for the SPD (ie the German equivalent of the ALP). He finds from the empirical climate data, as I did, that CAGW cannot occur.

  8. Gab

    The German energy crisis is pushing the government to consider ending green energy subsidies because they do little to fight global warming and only serve to make electricity more expensive.

    A recent government report is urging the complete abolition of the country’s Renewable Energy Sources Act (EEG), which imposes hefty taxes on families and businesses to subsidize green energy production.

  9. nerblnob

    RWE just sold DEA to the Russians for 7 billion Euros plus change. With the German government about to cut their ruinous green subsidies on wind and solar and relax the penalties on their world class clean coal plants, they might just be a good bet. I don’t know, I know about as much about stocks and shares as a greenie.

    By the way, anyone who wants to see a world class drilling operation in an ecologically sensitive area (and aren’t they all?) ought to go to Dieksand near the mouth of the Elbe where DEA drill for oil, reaching out into the Mittelplatte.

  10. H B Bear

    Richard Denniss would have more credibility if he worked at the Ponds Institute.

  11. MT Isa Miner

    H B Bear

    #1238001, posted on March 25, 2014 at 9:22 am

    Richard Denniss would have more credibility if he worked at the Ponds Institute.

    Shit, Bear, that’s a bit low. nahh, at least it’s a job selling stuff not imagining stuff.

  12. JC

    Fuck me you’re a dickhead cricket.

  13. Token

    Not the Beaver, again!

    We know how it goes, the man will not stand by and watch anyone impose logic or accountability upon the wild unverifiable claims of his religion.

  14. .

    Lomborg is a sound statistician with valid points. Ev Cricket is a subsidy whore disconnected from reality.

  15. JC

    Cricket, you subsidy whore, we’re coming after your propellers on sticks and plastic panels with magifying glasses by way of pressure on the government to remove them. I hope you end up broke, you thieving dishonest rat.

  16. Combine Dave

    “http://reneweconomy.com.au/2014/germany-decline-of-fossil-fuel-generation-is-irreversible-75224″

    This is the same Germany that’s going back to fossil fuels now that they’ve decided to abandon nuclear power?

  17. nerblnob

    This is the same Germany that’s going back to fossil fuels now that they’ve decided to abandon nuclear power

    ?
    Sure. The fantasy world of “renewables” depends on spin and hype to maintain the all important subsidies, inflated feed-in tariffs, lax safety and environmental oversight and completion absolution from blame for damage and costs to the grid.

    So every setback is spun as a victory, because their mission is political, not technical.

  18. Squirrel

    With this venture into investment advising, will the Australia Institute be supporting the “pause” on FOFA, or not…..

  19. boyfromtottenham

    Did anyone notice the deliberate use of misdirection in the quote from the Australia Institute? They said: “…fossil fuel businesses must leave in the ground two-thirds of the reserves currently on their books.” The chart clearly shows that “businesses” i.e. listed entities only own about 27% of total fossil fuel reserves, the rest being owned by national governments. But governments are not being told to leave their reserves in the ground – because mostly that’s where they are already, so there is no basis for the risk or for divestment! These warmists are as cunning as a rat with a gold tooth!

  20. wreckage

    Why doesn’t fuckwit here invest in a nice cross-section of wind and solar companies, and compare it to a nice cross-section of fossil fuel companies? It’s pretty easy to do. We can just run an on-paper comparison over say, three years or so.

  21. Leave oil in the ground. what about peak oil in 2025 or is it 2030?

  22. nerblnob

    Why doesn’t fuckwit here invest in a nice cross-section of wind and solar companies, and compare it to a nice cross-section of fossil fuel companies?

    He just might. But only the mugs are getting involved in the pyramid scheme that is subsidised renewables now. The people at the top of the pyramid have made their money and moved on.

  23. Anne

    “@DanHannanMEP: This is brilliant. Meet the federalist Liberal-Christian-Socialist candidate for the EU Presidency, Mr Schjuncstadt: http://t.co/p6JTOdzYwa”

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