The Imperatives of Climate Catastrophe: A Review of "Overshoot"

Capital Protection vs. Climate Protection

In Andreas Malm and Wim Carton's "Overshoot," the authors expose the alarming trend of global greenhouse gas emissions continuing to rise well beyond critical thresholds.

The central concept in "Overshoot" is "capital protection," which refers to the strategy of affluent countries to avoid "asset stranding" of fossil fuel reserves. Companies would face massive value loss if these reserves were deemed unusable due to climate mitigation measures.

Overshoot and Integrated Assessment Models

Malm and Carton critique the Integrated Assessment Models (IAMs) widely used to model climate change, arguing that they are "drenched in non-innocent ideological positions." These assumptions enable the concept of "overshoot," which justifies exceeding warming limits temporarily in the belief that future technologies like Bio-Energy with Carbon Capture and Storage (BECCS) will rectify the situation.

The Elitist Roots of Overshoot

The authors contend that resistance to climate action stems not only from fossil fuel companies but also from the wider ruling elite. They control vast financial resources invested in fossil fuel infrastructure, and any restrictions on fossil fuel usage threaten their wealth.

Moreover, the wealthier segments of society account for a disproportionate share of emissions. "The overshoot conjuncture was the creation of the rich," Malm and Carton argue.

The Labour Theory of Value and Fossil Fuel Profits

Malm and Carton apply Marx's labour theory of value to explain the disparity between fossil fuel and renewable energy profits. They argue that fossil fuels are "stocks" with embedded labour, while solar and wind energy are "flows" that appear without labour, resulting in lower production costs and profits.

Energy Transition and the Spectre of Stranded Assets

Despite the urgency of climate change, Malm and Carton note that we are still far from a genuine energy transition. Fossil fuel use continues to grow, and investment in fossil fuel projects has increased in recent years.

The potential for stranded assets nevertheless weighs on the minds of financial institutions. However, Malm and Carton argue that the capitalist class remains unconcerned about the prospect of effective climate policies, as evidenced by their continued investments in fossil fuel ventures.

The Need for Asset Stranding

Malm and Carton emphasize the necessity of stranding fossil fuel assets to mitigate climate change. They argue that "we have no reliable friends in the capitalist classes" and that "any path to survival runs through their defeat."

However, they also acknowledge the potential for a "total breakdown of capital" in this process and the social risks associated with such a scenario.

Conclusion: The Strategic Imperative

Malm and Carton conclude by calling for a focus on developing strategies to strand fossil fuel assets in a controlled and timely manner, balancing economic realities with the urgent need to mitigate climate change.