May, 18 2011, 05:09pm EDT
For Immediate Release
Contact:
Mark Hays, 202-742-5853
Gigi Kellett, 617-695-2525
Global Civil Society Groups Call On WHO, UN to Protect Water and Reject Corporate Conflicts of Interest
Recent reports show UN Agencies increasingly beset by corporate influence, lacking oversight
GENEVA
Today, as health experts gather in Geneva to attend the 64th World Health Assembly (WHA), global civil society organizations are calling on World Health Organization (WHO) Director General Dr. Margaret Chan to address widespread concerns about corporate conflicts of interest regarding global water governance, health and nutrition policy.
Corporate Accountability International, together with its allies at Baby Milk Action, delivered a letter to Dr. Chan signed by over 100 organizations and individuals from more than 24 countries. The letter urges Dr. Chan to ask UN Secretary General Ban Ki-Moon to establish safeguards to prevent corporate conflicts of interests, and as a first step to withdraw the UN's support for the corporate-driven CEO Water Mandate.
"If UN bodies act as if they have an open-door policy for transnational corporations, there is a huge risk that global policies will be distorted to protect their bottom lines. Agencies such as the WHO must ensure they are truly protecting our health, our food and our water," said Mark Hays, Senior Researcher with Corporate Accountability International.
The WHA has a full plate this week - among other things, delegates will consider the WHO's role in implementation of the Millennium Development Goals, which set benchmarks for improving access to drinking water and sanitation, and the prevention and control of non-communicable diseases. In a development disturbing to many public health advocates, Member States will also consider a new proposal to create a World Health Forum - a multi-stakeholder body that, as currently proposed, would throw open the doors of the WHO to active participation from global food and agribusiness corporations to craft policy shoulder to shoulder with government officials.
"This new proposal risks undermining the WHO's independence and effectiveness, and increases the power of the already hugely powerful corporate players that dominate global food nutrition and health policy," said Patti Rundall, Policy Director for Baby Milk Action during an intervention during WHA proceedings. "We strongly urge Member States to reject this proposal."
Commercial interests are also colliding with public health on the issue of access to clean, safe water. This week corporations involved with the CEO Water Mandate, a UN initiative lacking meaningful and binding accountability mechanisms, are meeting in Copenhagen to discuss efforts to assess water risks within the corporate sector.
The CEO Water Mandate is a corporate-driven initiative housed within the UN Global Compact, created in 2007 by the CEOs of several large water bottling corporations (Coca-Cola and Nestle) and private water utility corporations (Suez and Veolia), among others. The official mission of the CEO Water Mandate is to assist corporations in becoming more responsible stewards of water resources within their own operations; however, the leading corporate endorsers have business models ultimately based upon the premise that water should be a high-priced commodity to be bought and sold.
"From the start, the creation of the CEO Water Mandate was a public relations maneuver used by water corporations. These corporations seek big profits from access to water at people's expense," said Richard Girard with the Polaris Institute. "As long as corporations with a vested interest in ensuring their profits have insider access to UN policy makers, people's right to water and the lives of millions of families will continue to be at risk."
In March 2011, the UN Joint Inspection Panel (JIU), an independent oversight body, completed a review of the UN Global Compact Office (home of the CEO Water Mandate) and the UN Office of Partnerships. The review raised significant concerns about the Global Compact's ability to ensure its corporate partners are meeting their own voluntary guidelines and not merely using their association with UN as 'bluewashing.' These findings echo similar concerns raised by civil society groups around the world.
"It is far too easy for global corporations to use the UN as cover for business as usual," said Hays. "Unless the UN adopts stronger oversight over such partnerships, how will the right hand ever know what the left hand is doing? The stakes are too high to simply trust that corporations know what is good for us."
The WHO has enacted strong safeguards to prevent corporate conflicts of interest. For example, Member States continue to make strides protecting public health policy against interference from the tobacco industry due to implementation of Article 5.3 of the WHO's Framework Convention on Tobacco Control. Article 5.3 establishes the tobacco industry's fundamental conflict of interest with public health, encourages governments to reject partnerships with industry and avoid 'revolving doors' between industry and regulators. The WHO estimates that, when fully implemented, this groundbreaking treaty will save 200 million lives by 2050.
"FCTC safeguards are a powerful tool to challenge the deadly health crisis of tobacco addiction," said Philip Jakpor of Environmental Rights Action/Nigeria. "Already, countries such as Thailand and Colombia have used the treaty to keep Big Tobacco out of the room when crafting national health laws, ultimately saving millions of lives."
To view the full letter and see groups that signed on, click here.
Corporate Accountability stops transnational corporations from devastating democracy, trampling human rights, and destroying our planet.
(617) 695-2525LATEST NEWS
Arctic Tundra Has Turned From 'Carbon Sink to Carbon Source' in Dangerous Flip: NOAA
"This is yet one more sign, predicted by scientists, of the consequences of inadequately reducing fossil fuel pollution," said one scientist.
Dec 10, 2024
Permafrost in the Arctic has stored carbon dioxide for millennia, but the annual Arctic Report Card released by the National Oceanic and Atmospheric Administration reveals a concerning shift linked to planetary heating and a rising number of wildfires in the icy region: The tundra is now emitting more carbon than it is storing.
The report card revealed that over the last year, the tundra's temperature rose to its second-highest level on record, causing the frozen soil to melt.
The melting of the permafrost activates microbes in the soil which decompose the trapped carbon, causing it to be released into the atmosphere as planet-heating carbon dioxide and methane.
The release of fossil fuels from the permafrost is also being caused by increased Arctic wildfires, which have emitted an average of 207 million tons of carbon per year since 2003.
"Our observations now show that the Arctic tundra, which is experiencing warming and increased wildfire, is now emitting more carbon than it stores, which will worsen climate change impacts," said Rick Spinrad, administrator of NOAA. "This is yet one more sign, predicted by scientists, of the consequences of inadequately reducing fossil fuel pollution."
Sue Natali, a scientist at the Woodwell Climate Research Center in Massachusetts and one of 97 international scientists who contributed to the Arctic Report Card, told NPR that 1.5 trillion tons of carbon are still being stored in the tundra—suggesting that the continued warming of the permafrost could make it a huge source of planet-heating greenhouse gas emissions.
Along with the "Arctic tundra transformation from carbon sink to carbon source," NOAA reported declines in caribou herds and increasing winter precipitation.
The report card showed that the autumn of 2023 and summer of 2024 saw the second- and third-warmest temperatures on record across the Arctic, and a heatwave in August 2024 set an all-time record for daily temperatures in several communities in northern Alaska and Canada.
The last nine years have been the nine warmest on record in the Arctic region.
"Many of the Arctic's vital signs that we track are either setting or flirting with record-high or record-low values nearly every year," said Gerald (J.J.) Frost, a senior scientist with Alaska Biological Research, Inc. and a veteran Arctic Report Card author. "This is an indication that recent extreme years are the result of long-term, persistent changes, and not the result of variability in the climate system."
Brenda Ekwurzel, a climate scientist at the Union of Concerned Scientists, emphasized that the continuous release of fossil fuel emissions from oil and gas extraction and other pollution has caused the Arctic to warm at a faster rate than the Earth as a whole over the past 11 years.
"These combined changes are contributing to worsening wildfires and thawing permafrost to an extent so historic that it caused the Arctic to be a net carbon source after millennia serving as a net carbon storage region," said Ekwurzel. "If this becomes a consistent trend, it will further increase climate change globally."
The Arctic Report Card was released weeks before President-elect Donald Trump is set to take office. Trump has pledged to slash climate regulations introduced by the Biden administration and to increase oil and gas production. He has mused that sea-level rise will create "more oceanfront property" and has called the climate crisis a "hoax," while his nominee for energy secretary, Chris Wright, the CEO of the fracking company Liberty Energy, has claimed that climate warming is good for the planet.
"These sobering impacts in the Arctic are one more manifestation of how policymakers in the United States and around the world are continuing to prioritize the profits of fossil fuel polluters over the well-being of people and the planet and putting the goals of the Paris climate agreement in peril," said Ekwurzel. "All countries, but especially wealthy, high-emitting nations, need to drastically reduce heat-trapping emissions at a rapid pace in accord with the latest science and aid in efforts of climate-vulnerable communities to prepare for what's to come and help lower-resourced countries working to decrease emissions too."
Keep ReadingShow Less
Huge Administrative Waste Makes Clear For-Profit Insurance Is 'Actually Very Bad': Analysis
"It is totally fair for people to identify private insurers as the key bad actor in our current system," writes Matt Bruenig of the People's Policy Project. "The quicker we nationalize health insurance, the better."
Dec 10, 2024
Last week's murder of UnitedHealthcare CEO Brian Thompson brought to the surface a seething hatred of the nation's for-profit insurance system—anger rooted in the industry's profiteering, high costs, and mass care denials.
But that response has led some pundits to defend private insurance companies and claim that, in fact, healthcare providers such as hospitals and doctors are the real drivers of outlandish U.S. healthcare costs.
In an analysis published Tuesday, Matt Bruenig of the People's Policy Project argued that defenders of private insurers are relying on "factual misunderstandings and very questionable analysis" and that it is reasonable to conclude that the for-profit insurance system is "actually very bad."
"From a design perspective, the main problem with our private health insurance system is that it is extremely wasteful," Bruenig wrote, estimating based on existing research that excess administrative expenses amount to $528 billion per year—or 1.8% of U.S. gross domestic product.
"All healthcare systems require administration, which costs money, but a private multi-payer system requires massively more than other approaches, especially the single-payer system favored by the American left," Bruenig observed, emphasizing that excess administrative expenses of both the insurance companies and healthcare providers stem from "the multi-payer private health insurance system that we have."
He continued:
To get your head around why this is, think for a second about what happens to every $100 you give to a private insurance company. According to the most exhaustive study on this question in the U.S.—the CBO single-payer study from 2020—the first thing that happens is that $16 of those dollars are taken by the insurance company. From there, the insurer gives the remaining $84 to a hospital to reimburse them for services. That hospital then takesanother $15.96 (19% of its revenue) for administration, meaning that only $68.04 of the original $100 actually goes to providing care.
In a single-payer system, the path of that $100 looks a lot different. Rather than take $16 for insurance administration, the public insurer would only take $1.60. And rather than take $15.96 of the remaining money for hospital administration, the hospital would only take $11.80 (12% of its revenue), meaning that $86.60 of the original $100 actually goes to providing care.
High provider payments, which some analysts have suggested are the key culprit in exorbitant healthcare costs, are also attributable to the nation's for-profit insurance system, Bruenig argued.
"Medicaid and Medicare are able to negotiate much lower rates than private insurance, just as the public health insurer under a single-payer system would be able to. It is only within the private insurance segment of the system that providers have been able to jack up rates to such an extreme extent," he wrote. "Given all of this, I think it is totally fair for people to identify private insurers as the key bad actor in our current system. They are directly responsible for over half a trillion dollars of administrative waste and (at the very least) indirectly responsible for the provider rents that are bleeding Americans dry."
"The quicker we nationalize health insurance," he concluded, "the better."
Bruenig's analysis comports with research showing that a single-payer system such as the Medicare for All program proposed by Sen. Bernie Sanders (I-Vt.), Rep. Pramila Jayapal (D-Wash.), and other progressives in Congress could produce massive savings by eliminating bureaucratic costs associated with the private insurance system.
One study published in the Annals of Internal Medicine in January 2020 estimated that Medicare for All could save the U.S. more than $600 billion per year in healthcare-related administrative costs.
"The average American is paying more than $2,000 a year for useless bureaucracy," said Dr. David Himmelstein, lead author of the study, said at the time. "That money could be spent for care if we had a Medicare for All program."
Deep-seated anger at the systemic and harmful flaws of the for-profit U.S. insurance system could help explain why the percentage of the public that believes it's the federal government's responsibility to ensure all Americans have healthcare coverage is at its highest level in more than a decade, according to Gallup polling released Monday.
"There's a day of reckoning that is happening right now," former insurance industry executive Wendell Potter, president of the Center for Health and Democracy, said in an MSNBCappearance on Monday. "Whether we're talking about employers, patients, doctors—just about everybody despises health insurance companies in ways that I've never seen before."
Keep ReadingShow Less
Extreme Weather Fueled by Climate Crisis Cost Insurers $600 Billion
"Unless we cut emissions sharply this decade, climate damages will grow exponentially and could overwhelm both insurers and economies," one expert warned.
Dec 10, 2024
A report out Tuesday shows that the fossil fuel-driven climate emergency accounts for an estimated $600 billion of global insured weather losses over a recent two-decade period, which a campaign targeting the insurance industry called "an immense climate price tag that insurers have long been passing on to policyholders."
Insure Our Future, the international campaign behind the eighth annual scorecard, is supported by advocacy groups including Ekō, Greenpeace, Mazaska Talks, Public Citizen, Rainforest Action Network, Reclaim Finance, the Sunrise Project, and Waterkeeper Alliance.
The report—titled, Within Our Power: Cut Emissions Today To Insure Tomorrow—"examines what 20 years of climate attribution science reveals about today's insurance crisis, explores the status of gross direct premiums from insuring fossil fuels and renewable energy activities, and analyzes the coal, oil, and gas policies of 30 leading primary insurers and reinsurers."
While climate-attributed losses from 2002 to 2022 worked out to around $30 billion annually, the financial burden was not evenly spread out over those 20 years. Instead, the report says, such losses "have recently accounted for a growing share of insured weather losses, showing how decarbonization is crucial to contain soaring insurance costs."
"The climate-attributed share of insured weather losses rose from 31% to 38% over the last decade on average, and their annual growth (6.5%) significantly outpaced thegrowth of the insured losses (4.9%)," the publication explains. "In 2022, $52 billion out of $132 billion was climate-attributed."
The other key findings are:
- Estimated climate-attributed losses for 28 top property and casualty insurers ($10.6 billion) approached the fossil fuel premiums they collected ($11.3 billion) in 2023—and for more than half the companies, they exceeded them;
- The renewable energy insurance market is still under 30% of the size of the fossil fuel insurance market in 2023, threatening to be a bottleneck for investments in the climate transition; and
- At the brink of 1.5°C, insurers are abandoning at-risk communities worldwide while enabling fossil fuel expansion that drives these risks higher—requiring immediate policy and regulatory action.
The report acknowledges that its findings arrive amid scientists' warnings that 2024 is on track to be the first full year to breach 1.5°C—the Paris agreement's target for temperature rise this century. The latest meeting for countries signed on to that treaty, held in Azerbaijan last month, concluded with what critics called a "big F U to climate justice."
Like activists and experts outraged by the conclusion of COP29, Ilan Noy, a professor focused on the economics of disasters and climate change at New Zealand's Victoria University of Wellington, stressed the importance of bolder global action in response to the Insure Our Future report.
"Insurers are fundamentally misunderstanding climate risk by failing to recognize how greenhouse gas emissions have driven up losses throughout this century," Noy said in a statement. "Unless we cut emissions sharply this decade, climate damages will grow exponentially and could overwhelm both insurers and economies."
🔎 The scandal: Fossil fuel underwriting is less than 2% of insurers’ premium income - pocket change. Yet this small slice enables massive fossil fuel expansion, pushing our planet toward irreversible tipping points. [3/8]
— Insure Our Future Global (@insureourfuture.bsky.social) December 10, 2024 at 4:13 AM
Laurie Laybourn, director of the U.K.-based Strategic Climate Risks Initiative, similarly suggested that the climate emergency poses an existential threat to the insurance industry while discussing Insure Our Future's report with Forbes' David Vetter.
"Because insurance impacts are mounting and because we don't have an insurance system built for the way that climate change is evolving, this dynamic is only going to get much worse," Laybourn said. "As we're already seeing, governments are having to step in to effectively ensure that insurance can still exist in certain places."
"In Florida, you have a situation where flood insurance is increasingly receding and the government is having to make decisions about how and what to cover," he noted. "It's the case as well in the U.K., where major flooding events led to the creation of Flood Re, a government-backed reinsurance agency to cover places that are effectively uninsurable through private markets."
Warning of a potential "doom loop" in which climate impacts cause instability that impedes adequately ambitious action, Laybourn added that "we need systems that are more resilient so that we can continue to remain focused on decarbonization, even as things get more unstable."
⏰ Time’s up for ‘voluntary’ action. While Generali overtook Allianz in our #Scorecard with stronger oil & gas restrictions, the industry is stalling on fossil fuels while accelerating its retreat from communities. [7/8]
— Insure Our Future Global (@insureourfuture.bsky.social) December 10, 2024 at 4:13 AM
The new report offers a roadmap to a more resilient insurance system. As the document points out, this is the first time Insure Our Future has included policy recommendations for lawmakers and regulators.
The publication urges insurance firms to immediately stop insuring new fossil fuel projects or any customers from the industry that have not published a transition plan for the 1.5°C goal. It also calls on insurers to set their own binding Paris-aligned targets and to divest from coal, gas, and oil companies.
The report further pushes insurers to align stewardship activities, trade associations membership, and public positions with a credible 1.5°C pathway; establish mechanisms to ensure clients fully respect human rights; and explore bringing fossil fuel companies to court "to make polluters rather than insurance customers pay."
Keep ReadingShow Less
Most Popular