Summary
A recent comprehensive report by the New Weather Institute (NWI) has revealed that fossil fuel companies have invested a staggering $5.6 billion in sponsorship deals across various sports worldwide, including motorsports, football, golf, and winter sports. This financial influx is strategized to secure a “social license to operate” and improve the industry’s tarnished reputation amidst growing environmental concerns. According to the research findings, nearly all major spectator sports are now beneficiaries of oil and gas funding, encompassing over 200 sponsorship arrangements. Prominent athletes such as Cristiano Ronaldo, Lionel Messi, Tyson Fury, and Anthony Joshua have participated in promotional activities in the Middle East, furthering the reach of these sponsorship arrangements. The term “sportswashing” has emerged in public discourse as a descriptor for the fossil fuel sector’s efforts to enhance its global image through strategic associations with sports. This concept has roots in practices historically utilized by nation-states seeking to improve their standings through similar avenues. Mohammed bin Salman, the Crown Prince of Saudi Arabia, notably acknowledged the practice, stating, “If sportswashing is going to increase my GDP by 1%, then we will continue doing sportswashing.” The NWI’s report identifies Aramco, the national oil company of Saudi Arabia, as the largest investor in sports sponsorship, contributing nearly $1.3 billion through ten prominent deals. Following Aramco is the petrochemical company Ineos, with $777 million dedicated to sponsorships, while Shell and TotalEnergies have invested $470 million and $340 million, respectively. The report elucidates that fossil fuel companies are attempting to align their products—whose air pollution is responsible for the premature deaths of more than five million individuals annually—with the positive social perception linked to sports. This endeavor mirrors past attempts by tobacco companies to craft favorable images through similar sponsorships prior to regulatory restrictions. These sponsorship deals facilitate a so-called “social license” to operate, effectively diverting public attention from the industries’ contributions to the ongoing climate crisis and associated health hazards. The New Weather Institute’s methodology involved meticulous research, combing through news articles and press announcements, and utilizing data from a sponsorship deals tracker provided by the specialist financial publication SportBusiness. It is noteworthy that most organizations did not publicly disclose the financial value of their sponsorships; thus, researchers estimated values based on comparable arrangements with known financial details. Notably, football emerged with the highest number of sponsorship arrangements, totaling 59 deals valued at approximately $1 billion, while motorsports attracted a higher financial investment, with $2.2 billion being spread over 40 agreements. In response to inquiries, TotalEnergies stated, “For several years, TotalEnergies has been a partner of major sporting events in its key regions and around the world. Our aim is to share with all our audiences and clients the passion for sport and the values it represents: safety, respect for each other, solidarity, the pioneering spirit that drives us to adapt and innovate daily, and the performance-minded ethos that inspires our commitments.” Similarly, a Shell representative commented, “Shell invested $5.6 billion in low-carbon solutions last year, which constituted 23% of its capital spending. This investment supports the development of low-carbon energy solutions, including e-mobility, low-carbon fuels, renewable power, hydrogen, and carbon capture and storage.” No comment was received from Aramco or Ineos regarding their involvement in these sponsorship agreements. This report underscores the intricate relationship between the fossil fuel industry and global sports, revealing the deeper ramifications of such financial commitments on public perception and environmental advocacy.
Original Source: www.theguardian.com
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