To appreciate the complexities of the competing demands between climate action and the continued need for energy, consider the story of an award—one that the recipient very much did not want and, indeed, did not bother to pick up.
It began when Innovex Downhole Solutions, a Texas-based company that provides technical services to the oil and gas industry, ordered 400 jackets from North Face with its corporate logo. But the iconic outdoor-clothing company refused to fulfill the order. North Face describes itself as a “politically aware” brand that will not share its logo with companies that are in “tobacco, sex (including gentlemen’s clubs), and pornography.” And, as far as North Face is concerned, the oil and gas industry fell into that same category—providing jackets to a company in that industry would go against its values. Such a sale would, it said, be counter to its “goals and commitments surrounding sustainability and environmental protection,” which includes a plan to use increasing amounts of recycled and renewable materials in its garments in future years.
But, as it turns out, North Face’s business depends not only on people who like the outdoors but also on oil and gas: At least 90% of the materials in its jackets are made from petrochemicals derived from oil and natural gas. Moreover, many of its jackets and the materials that go into them are made in countries such as China, Vietnam, and Bangladesh and then shipped to the United States in vessels that are powered by oil. To muddy matters further, not long before North Face rejected the request, its corporate owner had built a new hangar at a Denver airport for its corporate jets, all of which run on jet fuel. To spotlight the obvious contradiction, the Colorado Oil and Gas Association presented its first ever Customer Appreciation Award to North Face for being “an extraordinary oil and gas customer.” That’s the award North Face spurned.
Different people will draw different conclusions from this episode. Central to the response to climate change is the transition from carbon fuels to renewables and hydrogen, augmented by carbon capture. This was highlighted at the historic COP26 climate conference in Glasgow, Scotland, which emphasized the need for urgency and a greater ambition on climate backed by a host of significant initiatives, including carbon markets, and country pledges of carbon neutrality by 2050 or a decade or two thereafter. The North Face story, however, offers a difficult reminder that the energy transition is a whole lot more complicated than may be recognized.