Friday, March 05, 2021

THIRD WORLD USA

‘There’s no excuse for this’: thousands in Mississippi city still without water weeks after storms
Jackson, a city of mostly Black residents, is the only city in the state still having issues.



Oliver Laughland in Jackson, Mississippi
Thu, March 4, 2021, THE GUARDIAN

As the sound of rainwater droplets crescendoed around him, Rodrick Readus stood by his front door and took a moment to reflect on the many indignities of the past fortnight.

“It’s just the simple fact you can’t wash your hands,” he said. “You can’t take a bath. Every time I touch something I know I’m not clean.”

Like every other resident in his two-story apartment complex, Readus has been without running water since mid-February, when Jackson, Mississippi’s state capital, was lashed by two back-to-back winter storms. They crippled the city’s ailing water infrastructure and left thousands of residents now entering their third week without flowing pipes. While most national and international attention has focused on the aftermath of the storms in Texas, Mississippi has been largely ignored.

Buckets, jugs, bottles and plastic trays litter the ground outside Readus’s apartment complex, many are perched under gutters to capture the rainwater before it disperses into the mud. It’s the water he uses to flush his toilet.

The 47-year-old self-employed home repairman has no car, meaning he relies on family members and neighbours to drop off small containers of non-potable water to wash his dishes, which are piling up in the sink. He has already spent a few hundred dollars on bottled water to drink, an amount he simply cannot afford.

“We are all citizens and there’s no excuse for this,” Readus said. “Don’t treat us as second class because we don’t have the things that others do.”

The winter storms, which crippled power sources throughout the US south, brought record low temperatures to parts of Mississippi. In Jackson, where 80% of residents are Black, the cold led to at least 96 breakages in the city’s ageing pipes, which, combined with power outages, lead to catastrophically low pressure throughout its water system. As of Monday evening 35 breakages remained, and although pressure was slowly coming back, thousands of residents are without water. Most of them in the city’s south, which sits on higher ground and is furthest away from the treatment plant. A citywide boil notice remains in effect and officials have offered no timeline for full restoration.

K’Acia Drummer, a 27 year-old middle school teacher, also lives in south Jackson. She tried in vain to stick it out at her apartment after the ice receded last month, but with no running water and the increasing cost ($40 a day) of purchasing bottled water, she elected to leave and stay with friends. She returned home on Tuesday hoping to see her water restored but felt a sinking feeling as the taps dribbled an insignificant stream and her toilet still wouldn’t fill.

“I feel displaced,” she said. “Now I know what it feels like to live without basic necessities, and it’s one of those things that puts you in a different place mentally. My anxiety has been through the roof.”

With no shower water, she plans to bathe at her gym. With no functioning toilet, she has decided to “take in less fluids”.

Jackson’s mayor, Chokwe Antar Lumumba, has said the city requires $2bn to revitalize its ailing piping and treatment system. He compared the city’s pipes to peanut brittle, explaining that as repair crews move in to fix the pipes, one repair can lead to another breakage.

Mississippi, American’s poorest state, has long faced chronic infrastructure problems. A 2020 report card published by the American Society of Civil Engineers gave the state a D+ grade, noting decaying systems across roads, energy, solid waste and a host of other essential services. On its drinking water systems, the report noted some were losing as much as 50% of treated water due to breakages and that certain systems were still dependent on pipes laid in the 1920s. “Many of these networks have aged past their useful life span,” the report notes.

But at a press conference on Monday, Mayor Lumumba made clear that the changing climate was exacerbating the issue.

“One thing that is clear is that our winters are colder, our summers are hotter and the rain we experience is more abundant,” he said, pointing out that the city’s outdoor water treatment facility was simply not built to endure the cold. “And so not only do we need this investment because of the ageing infrastructure we need this investment because of the increased pressure that these extreme weather conditions are taking.”

Jackson is far from unique, as Texas’s widespread power outages last month revealed, but with systems across the US faltering under the climate crisis, experts predict these catastrophic events are likely to become more and more frequent.

“The climate is changing. Infrastructure is ageing. Funding for updating infrastructure is decreasing. And we as a society do not like thinking about paying for infrastructure, we only typically do when there is something as dramatic as the Flint water crisis or hurricane Katrina,” said Professor Martin Doyle, a director of the water policy program at Duke University.

In Jackson, the city has moved to raise sales taxes in order to pay for water and sewage upgrades in the wake of the crisis, but Mayor Lumumba made clear on Monday he believed the federal government should also be offering financial assistance.

Doyle points out that until the 1980s the federal government was a major source of water infrastructure funding, which was “largely taken away … so cities and utilities are now on their own financially and they are having to figure it out”.

The issue was the subject of a major investigation by the Guardian last year.

At the Forest Hill high school in south Jackson a steady stream of residents queued for non-potable water being distributed by national guard troops on Tuesday morning. Residents came with buckets, milk bottles, bins and tankers, anything to bring home as many gallons as possible.

Many did not want to talk during what was an intimate, and for some almost humiliating, moment of need.

But Cedric Weeks, a local restaurant owner who had been forced to temporarily close his business, took a moment to reflect.

“I saw [the water crisis in] Flint and I didn’t flinch at it,” he said. “But to be in that predicament now. I see the major need of water. I’ve never lived without it. So to have to haul it and to have to flush toilets and take baths with what you hauled … it’s terrible, you know.”

It was something one of the troops themselves could relate to.

Specialist Christopher Shannon, out to assist residents and media with queries about the operation, had also been living without water for two weeks. “You hate to see people struggle, but we love to come out and help,” he said. “No one expected it. Nothing is built for winter out here … You can prepare all you want, but if you’re not built for it, you’re not built for it.”

Jackson, Mississippi residents have lived two weeks without water following winter storm

Tue, March 2, 2022


Mississippi's largest city is still without full access to water after sub-zero temperatures severely damaged its aging infrastructure. Jackson, a city of mostly Black residents, is the only city in the state still having issues.

Janet Shamlian has more on the growing frustration.

Video Transcript

- Extreme weather is also creating a water crisis in Mississippi's largest city. The huge winter storm that devastated much of the country last month has also left Jackson, Mississippi without drinkable water for the past two weeks. The National Guard was called to Jackson to distribute water to its 160,000 people, and our Janet Shamlian is there.

JANET SHAMLIAN: Eddie Mitchell has been coming to this distribution site for two weeks to get these jugs filled with water he can't even drink.

EDDIE MITCHELL: Just for flushing. We don't wash dishes with it or nothing.

JANET SHAMLIAN: The 75-year-old veteran is among thousands in Jackson about to enter their third week without full access to water. How hard is it on people here?

EDDIE MITCHELL: Some people don't have water-- I mean, don't have a vehicle to come get water. Be here at 5:30 or 6:00 this afternoon when the line stretches around the corner.

JANET SHAMLIAN: There's such desperation, some drivers seeing this spouting pipe, pulled off a busy road to fill buckets. The entire city whose residents are 82% Black is under a boil water notice. The unprecedented mid-February freeze strained Jackson's aging system, dozens of pipes burst. Charles Williams is the public works director. What is the status of getting water back to the people in the city?

CHARLES WILLIAMS: Well, we feel like a majority of the city has received water pressure back. So that is a good thing, but we are concerned about our residents who live farthest away from the plant.

JANET SHAMLIAN: City leaders say it could cost more than $2 billion to fix the infrastructure, in a city with a $300 million budget. Communities nearby dealt with similar outages after the storm, but Jackson is the only Mississippi city still struggling with water weeks later.

SUMMER WILLIAMS: The city wasn't prepared and there was no warning about there not being water. It just stopped working unexpectedly.

JANET SHAMLIAN: Summer Williams, eight months pregnant, wants more definitive answers for her growing family.

SUMMER WILLIAMS: Because I'm due soon and only thing that's on my mind is how I'm going to handle it when the baby gets here.

JANET SHAMLIAN: As the city works to repair water main breaks, Jackson's mayor says, they need help from the state and federal government to update the system, but the people we've talked to here say they need a different kind of help. They feel like they are not seeing the mass distributions of drinkable water that they've seen in other cities. Anthony.

ANTHONY MASON: Two weeks without drinking water. Janet, thank you very much.

Water crisis continues in Mississippi, 
weeks after cold snap






Winter Weather Water Woes Mississippi Army National Guard Sgt. Chase Toussaint with the Maneuver Area Training Equipment Site of Camp Shelby, right, fills 5-gallon buckets with non-potable water, Monday, March 1, 2021, at a Jackson, Miss., water distribution site on the New Mt. Zion Missionary Baptist Church parking lot. Water for flushing toilets was being distributed at seven sites in Mississippi's capital city — more than 10 days after winter storms wreaked havoc on the city's water system because the system is still struggling to maintain consistent water pressure, authorities said. (AP Photo/Rogelio V. Solis)

JEFF MARTIN, LEAH WILLINGHAM and EMILY WAGSTER PETTUS
Wed, March 3, 2021, 

JACKSON, Miss. (AP) — Mississippi’s largest city is still struggling with water problems more than two weeks after winter storms and freezing weather ravaged the system in Jackson, knocking out water for drinking and making it impossible for many to even flush their toilets.

Residents in the city of 160,000 are still being warned to boil any water that does come out of the faucets.

“I pray it comes back on,” Jackson resident Nita Smith said. “I’m not sure how much more of this we can take.”

Smith has had no water at home for nearly three weeks.

Smith is concerned about her mother who has diabetes. Her mother and most of the other older people on her street don’t drive, so Smith has been helping them get water to clean themselves and flush their toilets.

A key focus of city crews is filling the system's water tanks to an optimal level. But, public works director Charles Williams said Wednesday that fish, tree limbs and other debris have clogged screens where water moves from a reservoir into a treatment plant. That caused pressure to drop for the entire water system.

“Today was not a good day for us,” Williams said.

He said about a fourth of Jackson's customers remained without running water. That is more than 10,000 connections, with most serving multiple people.

City officials on Wednesday continued distributing water for flushing toilets at several pick-up points. But they're giving no specific timeline for resolving problems. Workers continue to fix dozens of water main breaks and leaks.

The crisis has taken a toll on businesses. Jeff Good is co-owner of three Jackson restaurants, and two of them remained closed Wednesday. In a Facebook update, Good said the businesses have insurance, but he’s concerned about his employees.

“We will not be financially ruined,” Good wrote. “The spirits of our team members are my biggest concern. A true malaise and depression is setting in."

Mississippi's capital city is not alone in water problems. More than two weeks have passed since the cold wave shut down the main power grid in Texas, leaving millions in freezing homes, causing about 50 deaths and disabling thousands of public water systems serving those millions.

Four public water systems in Texas remained out of commission Wednesday, affecting 456 customers, and 225 systems still have 135,299 customers boiling their tap water, according to the Texas Commission on Environmental Quality. Also, 208 of the state’s 254 counties are still reporting public water system issues.

Bonnie Bishop, 68, and her husband, Mike, 63, have been without water at their Jackson home for 14 days. Both have health problems.

She's recovering after months in the hospital with the coronavirus. She's home but still in therapy to learn how to walk again and deals with neuropathy in her hands and feet.

She has not been able to soak her feet in warm water, something that usually provides relief for the neuropathy, or to help her husband gather water to boil for cooking for cleaning.

Mike Bishop just had elbow surgery. The first week the couple was without water, he still had staples in his arm and was hauling 5-gallon containers from his truck, his wife said. Bonnie Bishop said she told him not to strain himself, but he wouldn’t listen. They feel they have no choice.

On Monday, the couple drove 25 miles (40 kilometers) to Mike’s mother’s house to do laundry.

Jackson's water system has not been able to provide a sustainable flow of water throughout the city since the mid-February storms, city officials say.

The system “basically crashed like a computer and now we’re trying to rebuild it,” Williams said at a recent briefing.

The city's water mains are more than a century old, and its infrastructure needs went unaddressed for decades, Democratic Mayor Chokwe Antar Lumumba has said.

“We more than likely have more than a $2 billion issue with our infrastructure,” he said.

Jackson voters in 2014 approved a 1-cent local sales tax to pay for improvements to roads and water and sewer systems. On Tuesday, the city council voted to seek legislative approval for another election to double that local tax to 2 cents a dollar.

Republican Gov. Tate Reeves would have to agree to letting Jackson have the tax election.

“I do think it’s really important that the city of Jackson start collecting their water bill payments before they start going and asking everyone else to pony up more money,” Reeves said Tuesday.

Jackson has had problems for years with its water billing system and with the quality of water.

Melanie Deaver Hanlin, who was without water for 14 days, has been flushing toilets with pool water and showering at friends’ homes. She said Jackson’s water system “needs to be fixed, not patched.”

“That’s the issue now — poor maintenance for far too long," Hanlin said. "And Jackson residents are paying the price.”

___

Associated Press writer Terry Wallace contributed from Dallas. Martin reported from Marietta, Georgia.


HAWAII INTRODUCES BILL TO LEGALIZE PSILOCYBN

Natan Ponieman

Last month, a group of Hawaiian legislators introduced a bill that would legalize and regulate psilocybin, the active compounds in “magic mushrooms.”

“The reason I wanted to introduce this measure is because, as you know, in the 2020 election, a number of jurisdictions across the country, including Oregon, Oakland, Sacramento, Denver, Somerville, have moved forward with different legislation on psilocybin and further research and application of its mental health properties. And I believe that Hawaii should be part of that movement,” said Hawaii Senator Stanley Chang, one of the bill’s proponents.

Last November, Oregon became the first state to legalize and launch a program for the therapeutic use of psilocybin. A number of other jurisdictions are currently looking into developing similar programs.

Chang introduced his bill, SB738, with Sens. Laura Acasio, Les Ihara, Jr. and Maile Shimabukuro. The goal is to remove psilocybin and psilocin from the list of Schedule I substances and require Hawaii’s Department of Health to establish treatment centers for the therapeutic administration of these compounds.

Will The Bill Pass?

The bill could have a significant effect on the Hawaiian population when it comes to providing access to alternative mental health treatments. However, according to Chang, the bill is not a sure victory yet.

There are over three thousand bills introduced every year in Hawaii’s legislature. Only less than 10% make it through both houses and get signed into law.

“The odds are that it is relatively not likely,” said the senator. “A big part of the legislative process is not just actually passing a bill, but taking part in a community discussion about what the issues are, what the priorities should be."

Psilocybin may not be at the point today where there's a community wide-consensus of its therapeutic value, he explained.

“That's our job as legislators and policymakers, to engage in that conversation, to determine what is valuable, what's not valuable," Chang said. "And, you know, that's an ongoing conversation that we need to have.”

A Growing Emphasis On Mental Health

For Chang and his colleagues, the psilocybin bill is part of a larger process to improve mental health treatment across the state. Chang sees mental health as one of his legislative priorities.

“I think that there's a growing emphasis on mental health,” said Chang. He observes a growing belief that mental health should be treated in the same way as physical health and given the same level of priority.

Despite decades of activism, mental health continues to be placed behind physical health when it comes to policy-making priorities.

Earlier this year, Chang introduced a bill that requires insurers to offer annual mental health check-ups in addition to physical health check-ups.

Psilocybin could also be a key element in a shift towards achieving a balance between mental and physical health coverage.

“At the policymaking level, we're finally catching up to a process that's been going on for years in the medical community. And we're finally starting to understand that the research shows that there are significant benefits to this type of treatment and that, at the very least, we should be conducting a lot more of this research.”

Benzinga Photo






Teamsters Hoffa: House Vote On Policing Legislation Is Necessary Step Towards Justice


International Brotherhood Of Teamsters. (PRNewsFoto/International Brotherhood of Teamsters)

PR Newswire

WASHINGTON, March 4, 2021

WASHINGTONMarch 4, 2021 /PRNewswire/ -- The following is a statement from Teamsters General President Jim Hoffa on the House's passage of the George Floyd Justice in Policing Act. 

"For too long, communities of color have found themselves unfairly targeted by some in law enforcement. Excessive force is used in too many cases. That needs to stop, and will, when this legislation becomes law.

"Putting in place key reforms like the elimination of racial, religious and other forms of discriminatory profiling by federal, state and local law enforcement; the prohibition of excessive force practices like chokeholds and carotid holds; and the establishment of strong, enforceable criminal and civil penalties for police misconduct, will bring needed equity and accountability to policing.

"For more than a century, the Teamsters have stood up for equality in the workplace. But that can't stop at the job site. This union supports comprehensive reform that protects the rights of people of color to equal justice under the law while also allowing the vast majority of those in law enforcement who do their jobs well to continue to do so."

Founded in 1903, the International Brotherhood of Teamsters represents 1.4 million hardworking men and women throughout the United StatesCanada and Puerto Rico. Visit www.teamster.org for more information. Follow us on Twitter @Teamsters and "like" us on Facebook at www.facebook.com/teamsters.

Recent killings in Afghanistan highlight ongoing issue of violence against women

ALEEM AGHA and GUY DAVIES
Fri, March 5, 2021, 

The killing of three female journalists and one doctor this week have once again thrown the issue of violence against women in Afghanistan into sharp focus, even as peace talks between the Taliban and the Afghan government continue.

ISIS in Afghanistan has claimed responsibility for an attack on Tuesday in the city of Jalalabad, which saw journalists Mursal Waheedi, Saadia Sadat and Shahnaz Raufi, of the Enikas television station, shot dead. Then, on Thursday morning, a female gynecologist, Dr Sadaf Elyas, was killed in another attack.

According to Attaullah Khogianai, the spokesperson for the governor of Jalalabad, Elyas was on her way to the central hospital in Jalalabad when a sticky bomb was attached to the three-wheeler rickshaw she was riding in. The bomb exploded, and she was killed on the spot, the spokesperson said.

MORE: Targeted killings threaten Afghanistan's postwar future



While most of the recent attacks on women have been claimed by ISIS, the Afghan government has accused the Taliban of being behind the spate of killings. The militant group has denied responsibility.

Part of the reason the Afghan government is blaming the Taliban is because people linked to the group were recently found guilty of killing various government employees, and one suspect detained in connection to the killings is a known member of the Taliban, an official said.

Now, the government will likely face criticism for failing to protect its citizens at a crucial time in the country's history, when attacks by the Taliban are constant despite the historic withdrawal agreement the militant group reached with the U.S. and despite the group's continued negotiations with the government.


PHOTO: Afghan journalists film at the site of a bombing attack in Kabul, Afghanistan, Feb. 20, 2021. (Rahmat Gul/AP)

Some believe the killing of the four female professionals in a country as conservative as Afghanistan, is an attempt by extremists to create a climate of fear in a nation which has long struggled with incorporating the rights of women into public society. Hard-won gains could now be at risk, rights groups have repeatedly warned.

"These attacks are meant to intimidate; they are intended to make reporters cower; the culprits hope to stifle freedom of speech in a nation where the media has flourished during the past 20 years," the U.S. Embassy in Kabul tweeted. "This cannot be tolerated."

The killings of Waheedi, Sadat and Raufi also highlight another ongoing problem: the targeted killing of journalists.


PHOTO: Relatives carry the body of one of three women working for a local radio and TV station who were killed on Tuesday in attacks claimed by the Islamic State group, during her funeral ceremony in Jalalabad, east of Kabul, Afghanistan, March 3, 2021. (AP)More


In 2020, the Committee to Protect Journalists said that Afghanistan was the most dangerous country in the world for media workers.

MORE: New killings deepen Afghan journalists' assassination fears

Shaharzad Akbar, the chairperson of the Afghanistant Independent Human Rights Commission, reacted to the news of the killings on Twitter, saying that the "Afghan media community has suffered too much" and "Afghan women have been targeted and killed too often."

MORE: Fear, uncertainty meet US troop withdrawal announcement in Afghanistan

"Afghan women are again anxious about an uncertain future," Akbar wrote. "To reach peace, fundamental human rights for all should be recognized & preserved. Any [political] process should include women's voices, concerns & aspirations & benefit from their expertise & experience."

She added that recognizing equality "is key to lasting peace" in the country.


Afghan official: Gunmen kill 7 workers, bomb kills doctor


The bodies of Afghan civilians, who were killed by unknown gunmen at a plaster factory overnight, lie in a hospital morgue in Jalalabad, Nangarhar, east of Kabul, Afghanistan, Thursday, March 4, 2021. The victims were Hazaras, members of Afghanistan's minority Shiite community. (AP Photo)


RAHIM FAIEZ
Thu, March 4, 2021


KABUL, Afghanistan (AP) — At least seven Afghan civilians were shot and killed by a group of gunmen overnight in the country's east and a physician died when a bomb attached to her rickshaw exploded on Thursday, provincial officials said.

The Islamic State group in a statement claimed responsibility for the bombing, saying its fighters had detonated a so-called sticky bomb placed on the vehicle of a woman. The statement claimed she worked for the Afghan intelligence service in Jalalabad, the capital of eastern Nangarhar province.

Gen. Juma Gul Hemat, provincial police chief in Nangarhar, said the shooting attack victims were workers at a plaster factory in the Sorkh Rod district. Police arrested four suspects, he added.

The laborers were all from Afghanistan's minority Shiite Hazara community, according to Farid Khan, spokesman for the provincial police chief. Some had come form the capital of Kabul, as well as central Bamyan and northern Balkh provinces, to work in the factory.

No one immediately claimed responsibility for that attack, but militants from the Islamic State group have declared war on Shiites and frequently target the Hazaras. Eastern Afghanistan has witnessed and increase of attacks by IS, including an attack on Tuesday in which three women who worked at a private TV station were gunned down in Jalalabad.

IS claimed responsibility for killing the three women — Mursal Wahidi, Sadia Sadat and Shahnaz Raufi. The three left work together and were gunned down in separate attacks while on their way home, almost at the same time.

But many other attacks have gone unclaimed. The government blames most on the resurgent Taliban, who today hold sway over nearly half the country. The Taliban, in turn, deny any role in some of the attacks and blame the government.

In Thursday's bombing in Jalalabad, the female doctor was killed while on her way to work at the provincial hospital's maternity ward.

Meanwhile in western Herat province, 39 people, both military and civilians, were wounded when security forces launched an operation to arrest a local militia commander, sparking a firefight, the governor's office said. The wounded, including three children, are being treated.

The militiaman was not arrested and remains on the run, said Wahid Qatali, the provincial governor in Herat.



Three female media workers killed on way home from work in eastern Afghanistan



Afghan men transport the body of one of three media workers who were shot and killed by an unknown gunmen, at a hospital in Jalalabad

Ahmad Sultan and Orooj Hakimi
Tue, March 2, 2021,

JALALABAD, Afghanistan (Reuters) - Three female media workers were shot dead in the eastern Afghan city of Jalalabad on Tuesday, government officials said, amid a wave of killings that is spreading fear among professional workers in urban centres.

Zalmai Latifi, head of local broadcaster Enikas TV, said the three women were recent high school graduates aged between 18 and 20 who worked in the station's dubbing department.

Government sources said the women were killed on their way home from work and witnesses said gunmen shot the women in the head before fleeing. A fourth woman was injured and a hospital spokesman said she had been admitted to hospital and was fighting for her life.

Provincial police chief Juma Gul Hemat said that the suspected lead attacker had been arrested and that he was connected to the insurgent Taliban. A Taliban spokesman denied the group had any involvement in the attack.

A wave of shootings and small bombs attached to vehicles in have targeted journalists, civil society workers and mid-level government employees in recent months.

The Afghan government and some foreign powers have blamed the attacks largely on the Taliban, which denies involvement. The Islamic State group also has a presence in the eastern Afghan province of Nangahar, of which Jalalabad is the capital.

"The targeted killing of journalists could cause a state of fear in the journalistic community, and this could lead to self-censorship, abandonment of media activities, and even leaving the country," said Mujib Khalwatgar, head of Afghan media advocacy group Nai.

Enikas TV's Latifi said the channel, which was set up in 2018, had employed 10 women but four had now been killed, including Malala Maiwand, a television journalist shot alongside her driver late last year.

The Taliban and Afghan government are carrying out peace talks in Doha, though progress has slowed while U.S. President Joe Biden's administration, is reviewing its plans for the peace process and the withdrawal of troops.

"These attacks are meant to intimidate; they are intended to make reporters cower; the culprits hope to stifle freedom of speech in a nation where the media has flourished during the past 20 years. This cannot be tolerated," the U.S. Embassy in Kabul said in a statement on Twitter.

(Reporting by Ahmad Sultan in Jalalabad, Orooj Hakimi and Abdul Qadir Sediqi in Kabul; Writing by Charlotte Greenfield and Rupam Jain; Editing by Andrew Heavens, Gareth Jones and Alex Richardson)
ENVIRONMENT, SOCIAL, GOVERNANCE
Wall Street wants to end Trump-era(ANTI) ESG fund rule for 401(k) plans

Investor demand for ESG funds has grown sharply in recent years.

EVEN CRAMER LOVES ESG

Greg Iacurci  CNBC
3/4/2021

The Labor Department issued a rule in October, during the Trump administration, that experts say would curb use of ESG funds in 401(k) plans.

Money managers and other stakeholders are pushing the Biden administration to scrap the rule or agree not to enforce it, according to a report in The Wall Street Journal.

Investor demand for ESG funds has grown significantly. 401(k) plans represent a big untapped growth source.
© Provided by CNBC Wind turbines operate at the Gouda wind power facility alongside a road at dusk in Gouda, South Africa, on Wednesday, March 3, 2021.

Wall Street firms are lobbying the White House to reverse a rule issued by the former Trump administration that makes it harder to offer environmental, social and governance — or ESG — funds in 401(k) plans.

That information is according to a report in The Wall Street Journal.

The Labor Department issued the rule in October.

Lobbyists who represent money managers (and other stakeholders, such as pensions and retirees) made calls to the Biden transition team after the rule was announced, according to the WSJ. Some asked the administration not to enforce the rule and to place it under review, according to the report.


The Biden administration in January announced a review of the rule.
ESG growth

Investor demand for ESG funds has grown sharply in recent years.

Investors poured $51.1 billion of net new money into such funds in 2020, a record and more than double the prior year, according to Morningstar.

 VIDEO "More and more shareholders are demanding a focus on ESG, Smurfit Kappa CEO says"

Such funds may, for example, invest in energy firms that aren't reliant on fossil fuels or in companies that promote racial and gender diversity.

Money managers have also been offering new ESG funds to investors. The number of sustainable funds available to U.S. investors grew to almost 400 last year — up 30% from 2019 and a nearly fourfold increase over a decade, according to Morningstar.

Trump rule

Yet, a small percentage of workplace retirement plans offer ESG funds.

Around 3% of 401(k) plans have an ESG fund, according to the Plan Sponsor Council of America. A fraction of plan assets (a tenth of 1%) are held in such funds.

Workplace retirement plans — one of American's biggest pots of wealth — represent a huge untapped source of growth.

The Labor Department measure doesn't explicitly call out or outright forbid ESG funds in 401(k) plans. But it could stymie already lackluster uptake, according to experts.

The Trump-era rule requires employers — who make decisions around 401(k) investments — to only consider factors like a fund's risk and return (rather than characteristics like social or environmental good) when choosing 401(k) funds. Otherwise, employers may invite more legal scrutiny.

The Labor Department also explicitly disallowed employers from automatically enrolling workers into an ESG-focused fund. Automatic enrollment has become an increasingly popular way to nudge workers to invest in a 401(k).
ENVIRONMENT, SOCIAL, GOVERNANCE
Citigroup and Exxon Must Let Investors Vote
on ESG Issues
Saijel Kishan
Mon, March 1, 2021


(Bloomberg) -- Citigroup Inc. and Exxon Mobil Corp. will have to let shareholders vote on resolutions tied to race and climate change -- an early sign that U.S. regulators are less likely to side with companies on environmental, social and governance issues under President Joe Biden.

Citigroup asked the Securities and Exchange Commission to let it exclude a proposal from CtW Investment Group that called for the bank to perform an audit on racial equity. Exxon requested the agency let it block a resolution from BNP Paribas Asset Management that urged the oil giant to report if, and how, its lobbying activities aligned with global efforts to fight global warming.

In both cases, the SEC said it didn’t agree that there was a basis to exclude the resolutions from being voted on during the companies’ annual meetings, according to decisions dated Feb. 26 that were posted on the regulator’s website.

CtW said Citigroup had a “conflicted history” regarding racial justice, and cited a fine it paid for failing to offer all eligible customers mortgage discounts and credits.

Citigroup said in a Monday statement that is is “acutely focused” on addressing racial inequity, especially in terms of the wealth gap. The lender said its committed more than $1 billion to such efforts, including expanding access to credit, investing in Black entrepreneurs and advancing anti-racist practices in the industry.

BNP said in its resolution there isn’t enough information available to assess how Exxon ensures that its lobbying activities, directly, and indirectly through trade associations, align with the objectives of the Paris climate accord. BNP said 200 large investors had asked the oil company how it was managing this issue but got no response. In contrast, Royal Dutch Shell Plc, BP Shell, BP Plc and Total SE have published reports showing the positions their trade associations are taking on climate change, BNP said.
GREEN CAPITALI$M
Exclusive: Lithium giant Albemarle slams Chile over 'unjust' withholding of Atacama study


© Reuters/Ivan Alvarado FILE PHOTO: An aerial view shows the brine pools and processing areas of the SQM lithium mine on the Atacama salt flat, in the Atacama desert of northern Chile

SANTIAGO (Reuters) - Albemarle Corp, the world's top lithium producer, has accused a Chilean regulator of "unjust" discrimination for refusing to make public a key report on the impact of mining on the Atacama salt flat, according to court filings.

U.S.-based Albemarle in July last year asked to see the publicly funded report but regulator Corfo rejected the request after Chilean miner SQM, a top competitor, objected on grounds it contained confidential information. A government watchdog upheld the decision.

Both Albemarle and SQM - the only two lithium miners on the salt flat - contributed data to the report. But while SQM's contract with the government allows it to review and comment on the study, Albemarle's agreement does not.

Albemarle blasted that discrepancy in previously unreported arguments made before a Santiago appeals court in February, saying it resulted in "arbitrary, unjust, illegal, and above all, unconstitutional discrimination." The company is appealing the watchdog's decision and demanding the report be made public immediately.

The spat underscores rising tensions between Albemarle and regulators in the Andean nation over operations in the high-altitude Atacama flat, home to one-quarter of the world's current supply of lithium.

Albemarle has for months also feuded with Corfo over royalty payments, and with another Chilean regulator over data used to determine its production quota.

The Atacama report and the true state of the flat's environmental health has long been an obsession of lithium industry watchers because of the area's huge importance in satisfying soaring global demand for the white metal, a vital component in the batteries that power electric vehicles.

Corfo told Reuters in a written statement that it had sent a final draft of the environmental study - meant to guide government regulation and oversight of the flat - to SQM for review on Feb. 16.

Corfo's contract with SQM requires it offer the company the opportunity to comment, but the agency is not required to implement the company's suggested changes.

The regulator said it would make the final draft public following SQM's review "provided that any eventual affected third parties did not oppose its release."

SQM did not immediately respond to a Reuters request for comment on the case. The Chilean miner has previously argued in filings that releasing the study would put it at a competitive disadvantage, and says it has adhered to the terms of its contract with Corfo.

Albemarle told Reuters in a statement that it wants the study made public immediately.

"This report... should be a contribution towards ensuring the sustainability of the Salar de Atacama," the company said.

Lawmakers, academics, environmentalists, local communities, German carmaker Volkswagen and Chilean courts have all emphasized the importance of an environmental study to help dispel lingering questions on the impact of lithium mining in Chile.

Reporting by Dave Sherwood, editing by Adam Jourdan and Rosalba O'Brien
CANADIAN DAIRY FARMERS ELIMINATE USE OF PALM OIL
Opinion: Canadians all of a sudden paying more attention to what goes into dairy products

Sylvain Charlebois 
OPINION
 REGINA LEADER POST
3/4/2021

The Dairy Farmers of Canada did the right thing and should be commended for asking dairy farmers to stop using palmitic acids in feed while launching a national investigation on the matter. It was the right decision, full stop. For likely the very first time in its history, the very powerful lobby group, arguably the most powerful one in the country, opted to listen to Canadians. Not easy to admit publicly that something is not right, especially in Canadian dairy.

© Provided by Leader Post Butter sales increased by 21 per cent in 2020, according to Nielsen.

Early on, the Dairy Farmers of Canada stated that nothing was wrong. On Feb. 19, it did acknowledge that something needs to be addressed and created a committee to investigate the matter. On Feb. 25, the group halted the practice and launch an investigation. Quite the reversal.

Dairy boards are accustomed to receiving criticism. However, of the criticism in the past came from groups, such as animal welfare activists and vegans, who believed the sector should be outlawed. But this time was different. Criticism came from consumers who love Canadian dairy products. Whether or not the palm oil by-product is the reason why butter is hard or not is just one issue . What stunned most Canadians was to learn that palm oil, a product that comes from the other side of the world, was part of our dairy production process. Most Canadians just did not know. It also raises the question about other things we might want to know about dairy production but do not.


We protect and compensate our dairy farmers, and our love affair for dairy is long-standing. Most Canadians believed sustainability, local, natural and pureness are values embedded in the Blue Cow campaign we have seen for years. The image palm oil portrays just does not wed well with what the industry is all about. Most Canadians would concur, starting with dairy farmers themselves. For many Canadians, something did not feel right, and that is a problem for the industry, whether it agrees with the public outcry or not. Simply put, our social contract with the industry was compromised.

Many have mentioned that ButterGate is very much a first-world problem. Perhaps, but ButterGate was never to be considered as a scandal or a controversy . It simply pointed to a deep-rooted problem the dairy industry has had for a very long time without acknowledging it. Starting with the lack of transparency. For the most part, dairy regulates itself which is why dairy processors have little to say about the quality of ingredients they lawfully must buy. The focus of dairy research needs to change. Most of it has to do with increasing productivity and genetics at farmgate. Dairy research will need to address the disconnect we have between animal science, how we feed animals, and how these practices impact the quality of dairy products and human health over time.

When it comes to dairy product quality, we are literally flying in the dark in Canada. For whatever reason, at the retail level not many people look at butter’s ingredients. This has changed with the widespread talk of ButterGate. This has also forced the dairy industry to look hard at its practices. In more recent statements, the Dairy Farmers of Canada have claimed that the data suggests that the quantity of palmitic acid in milk fat meets the regulated standards. Yet, the dairy industry is now launching an investigation to see if our butter actually measures up to industry standards. The industry shouldn’t have to investigate, as it should already have the evidence.

Replacing the use of palmitic acids in feed will not be easy. Many scientists say that there are few alternatives right now. But again, with research, Canadian-made alternatives can be designed and marketed properly. Internationally, other countries, where the use of palmitic acids is also allowed, are now thinking of making changes to feed protocols as well. This could be an opportunity for Canadian dairy know-how to continue to shine and do well internationally in dairy energy supplements.


It is also important to note that not all dairy farmers are using palmitic supplements to feed their cows. We believe about 35 per cent to 40 per cent of them nationally are using them. So, it begs the question as to why some dairy farmers have chosen not to use palmitic acids in their feed despite its legality for at least a decade. As such, it would be important to perhaps set best practices in the industry, or at least revisit them while considering our dairy industry as a social system. In other words, whatever happens on the farm requires public acceptance. This is what ButterGate is all about.

The industry will come out of this stronger than ever on the other side of the investigation. What we have learned though over the past two weeks is this: Product characteristics at retail are just one issue and not the most significant one. Many Canadians hope ethical and moral considerations of farmgate practices will be in scope of the investigation. People involved in the investigation should not just be like-minded stakeholders who are already part of the vast and powerful incircles of the industry. The investigation should be open. It should not be just about productivity anymore, at least not in 2021. The investigation should also look at imported dairy products as well. Perhaps reciprocity is necessary to protect our farmers unless our own sector considers a palm oil-free position as a competitive advantage. Everything should be on the table at this point.

Dairy farmers are good, responsible people. They were doing what they thought was right for them, for their herds and for the Canadian public. Boards, on the other hand, should have known that society has changed, and the industry needs to adapt, like any other industry. We have supply management in Canada which allows for changes in farming protocols without financially penalizing farmers. We should use our system wisely, so it serves the Canadian population well.

Sylvain Charlebois is the senior director of the Agri-Food Analytics Lab at Dalhousie University and a former member of the University of Regina faculty.

SEE

How the Oil Lobby Learned to Love Carbon Taxes

Jennifer A Dlouhy and Leslie Kaufman 


(Bloomberg) -- Few saw the surprise disclosure earlier this week that the American Petroleum Institute is considering endorsing a price on carbon dioxide emissions and thought the fierce fossil fuel lobby was suddenly becoming climate-friendly. Rather, seasoned industry-watchers say it’s the clearest sign yet that fossil fuel companies see Washington’s shift on climate policy as a real and significant threat.

© Bloomberg Emissions rise from the Royal Dutch Shell Plc Norco Refinery in Norco, Louisiana, U.S., on Friday, June 12, 2020. Oil eclipsed $40 a barrel in New York on Friday, extending a slow but relentless rise that’s been fueled by a pick-up in demand and could signal a reawakening for U.S. shale production.

A carbon price—whether in the form of an emissions trading scheme or a tax on planet-warming pollution—seems antithetical to the fossil fuel industry’s interests, as it would effectively make their core product more expensive for consumers. Large oil and gas companies are likely worried that any other potential action from the Biden administration would be worse for them, said Joe Aldy, a public policy professor at the Harvard Kennedy School who previously served as a special assistant to former President Barack Obama. “They think the alternative climate policy may be a lot of regulations they would view as burdensome and inefficient.”

But the policy itself has a number of silver linings for polluters. For starters, unlike regulations restricting drilling or mandating clean energy, a carbon tax wouldn’t bar companies from extracting natural gas or force the fossil fuel out of the nation’s electricity mix. It could also drive investments in direct-air carbon capture and other technologies that would prolong the use of fossil fuels as a power source.

In the short run, putting a price on greenhouse gas emissions could give natural gas an even greater edge over dirtier-burning coal.

“All of the oil majors have natural gas assets they are trying to protect, and this is a way to do that,” said Mike McKenna, a former deputy director of the White House Office of Legislative Affairs. “Once they became natural gas companies and started competing in the electricity space, it was just a matter of time till they wanted to rub coal out.”

Megan Bloomgren, senior vice president of communications at API, said in a statement that the industry is “evolving,” and that API is “focused on supporting a new U.S. contribution to the global Paris agreement.”

A carbon tax has long been a favorite tool of economists, who say it’s a simple, efficient way to discourage emissions and ensure that the negative costs of climate change are embedded in the price of carbon-intensive products, from gasoline to cement. Right now, “we all pay the cost” of greenhouse gas emissions, special presidential envoy for climate John Kerry wrote in an op-ed last November. But a carbon price would put the onus on the ones doing the emitting, spurring companies and consumers to reduce their output, Kerry said. Years before she became Biden’s treasury secretary, former Federal Reserve Chair Janet Yellen dubbed a carbon tax “the textbook solution to the problem of climate change.”


It’s also a favored tool of the business community. Scores of companies, including solar developers and operators of nuclear power plants, have backed a plan to tax carbon dioxide and distribute revenue to consumers, including giants such as Exelon Corp. and First Solar Inc. The Chamber of Commerce and Business Roundtable have made their own pivots on the issue, attracted by the promise of a consistent policy that wouldn’t shift with each election cycle.

But many environmentalists are deeply skeptical of working with the fossil fuel industry on anything. They suspect there are catches to oil companies’ support—including, for example, demands that a carbon tax be paired with environmental deregulation.

Kathy Mulvey, the accountability campaign director for the Climate and Energy Program at the Union of Concerned Scientists, said API has a long history of disinformation when it comes to climate change that undermines its credibility on the issue. In 1998, the lobbying group coordinated a media campaign to highlight “uncertainties” in climate science, then waged war against the last carbon-pricing scheme to gain traction in Congress, the Waxman-Markey cap-and-trade bill, which died in the Senate in 2010.

“After decades of deception that have delayed action and exacerbated the climate crisis, API doesn’t get to set a ceiling on the scope and ambition of U.S. climate policies,” Mulvey said.

The concerns on the environmental side appear to have a solid foundation. The carbon tax-and-dividend plan that has emerged as businesses’ favored model in Washington, for example, would also preempt regulations governing carbon dioxide emissions from power plants and other industrial facilities. That horse trade is seen as an essential ingredient to retaining business support and luring Republican votes, but it’s anathema to many Democrats who want a belt-and-suspenders approach to climate regulation.



The shift in attitude among oil and gas companies came as majors in the industry began making investments in electric vehicles, natural gas, and renewable energy, which stand to benefit from a carbon price. Exxon Mobil Corp. endorsed a revenue-neutral carbon tax in 2009, and has already devoted lobbying dollars to the current push for legislation; so have ConocoPhillips, BP Plc and Royal Dutch Shell Plc. The policy could even give them a competitive advantage against smaller, independent oil producers and refiners—many of which are also API members—whose sole products are emissions-intensive fossil fuels, a situation that could cause tension in the ranks.

Supporting a carbon price would also give API and its members political cover from increasingly aggressive shareholders determined to ensure that oil companies’ ambitious carbon-cutting plans aren’t contradicted by their lobbying efforts. API has consistently opposed subsidies for EVs, which represent a threat to gasoline demand. Under the Trump administration, the group supported rolling back regulations directly limiting emissions of methane, a potent heat-trapping gas.

API changed tacks on methane in January, saying that it was willing to work with the Biden administration on replacement rules. Not long after, Total Corp. announced it wouldn’t renew its API membership, citing the group’s lobbying positions and its support of candidates opposed to U.S. participation in the Paris climate agreement. Activists are now pressuring BP and Royal Dutch Shell—both of which have made pledges to reach net-zero emissions by 2050—to pull out of API, as well.

A carbon tax would be difficult to enact in any political environment—many lawmakers still have battle scars from the 1993 debate over a heat energy tax blamed for helping Republicans take control of the House a year later. But it’s especially tricky now given the closely divided Senate and concerns about imposing new energy costs on a pandemic-ravaged economy.

Oil industry support could help change the calculus on Capitol Hill. Some more centrist Republicans—including Senators Lisa Murkowski of Alaska and Mitt Romney of Utah—have indicated they are open to the idea. Even some lawmakers from coal-rich states, such as Democratic Senator Joe Manchin of West Virginia, have kept the door open to a carbon tax that could dole money to mining towns planning a new future beyond fossil fuels.

API leaders and members are discussing a possible statement endorsing an economy-wide price on carbon this week, with a formal vote by the group potentially late this month.

Aldy warned that if policy-watchers want a real sense of a carbon price’s potential future, they should pay attention to how far oil companies are actually willing to go to make it happen. “The real question is not whether they issue a statement saying they support it, but do they actually start throwing political capital behind it?” he said. “Do they make it possible for moderate Republicans to support this?”

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