Department of Media and Social Sciences Master in Energy, Environment and Society The Oil Industry CSR and School Climate Protest in Norway Ejike Innocent Okonkwo August 2020 1 UNIVERSITY OF STAVANGER MASTER’S DEGREE IN Energy, Environment and Society Candidate Number: 5627 Semester: Fourth Author: Ejike Innocent Okonkwo Supervisor: Thomas Michael Sattich Master Thesis Title: The Oil Industry CSR and School Climate Protest in Norway Subject Words/ Key Words: Corporate Social Responsibility, Climate Change, Climate Action, Environment, Sustainability, Green Washing, Green Innovation, Youths, Protest, Oil Industry. Page Numbers:109 Words:34,477 Stavanger 28th August 2020 ………………………………………………. Date/ Year 2 Declaration I, Ejike Innocent Okonkwo, declare that this thesis is a result of my research investigations and findings. Sources of information other than my own have been acknowledged and a reference list has been appended. This work has not been previously submitted to any other university for award of any type of academic degree. 3 Acknowledgement This thesis is a testament to the contribution of many: To my supervisor Professor Thomas Michael Sattich who provided invaluable feedbacks, suggestions, and guidance. To Students at the University of Stavanger and the Norwegian University of Life Sciences, and to Energy Experts at Prosjekt Energethics at the University of Bergen, for your time and contributions. The Norwegian Centre for Research Data (NSD) for granting the permission to collect data, the Norwegian Petroleum Society (NPF) for your efforts to facilitate sample collection from the oil industry, and to Professor Oluf Langhelle for providing the support document needed to enrol in MEES. Thank you!!! 4 Dedication To the almighty God, Greta Thunberg, and all young people whose involvement in climate activism is altruistic. 5 List of Abbreviations…………………………………………………………………10 Abstract……………………………………………………………………………….13 Table of Contents CHAPTER ONE: INTRODUCTION……………………………………………….14 1.0.Where does the Problem Lie?................................................................................14 1.1. Research Questions………………………………………………………………15 1.2. The Importance of Studying CSR from the Norwegian Context……………...16 1.3. Structure of Thesis……………………………………………………………….17 CHAPTER TWO: LITERATURE REVIEW……………………………………….18 2.0. Introduction……………………………………………………………………….18 2.1. CSR within the Norwegian Context……………………………………………...18 2.2. Criticisms……….………………………………………………………………….21 2.3 Climate Politics……………………………………………………………………..22 2.3.1. International Climate Politics-Lost Opportunities…………………………….23 2.3.2. There is a Paris Agreement………………………………………………………23 2.4. A Glance at Climate Politics Across the Globe……………………………………25 2.4.1. The United States………………………………………………………………….25 2.4.2. Europe………………………………………………………………………………27 2.4.3. Australia…………………………………………………………………………….29 2.5. The Difficulties with Implementing Climate Policies and the Lost Opportunity…29 2.6. Climate Politics in Norway- A Paradox……………………………………………...31 2.6.1. Background: The Emergence of Oil and Gas in Norway………………………….31 2.6.2. The Norwegian Approach to Oil and Gas…………………………………………..32 2.7. Norwegian Climate Policy on the International Level………………………………..34 6 2.8. Norwegian Climate Policy on the National Level……………………………………..35 2.8.1. Criticism of the Norwegian Climate Politics………………………………………..37 2.9. Summary………………………………………………………………………………..39 2.9.1 Research Contribution to Knowledge………………………………………………..40 CHAPTER THREE: CONCEPTUAL AND THEORETICAL FRAMEWORK………42 3.0. Corporate Social Responsibility……………………………………………………….42 3.1. Introduction…………………………………………………………………………….42 3.2. The Concept of CSR……………………………………………………………………42 3.3. The New Demand for Social Responsiveness: Climate protest in Norway…………43 3.3.1. The Concept of Protest……………………………………………………………….43 3.3.2 Elements and Rationale of Protest……………………………………………………43 3.3.3. Distinguishing Protest from other Forms of Social Movement……………………44 3.3.4. Factors that Shapes a Protest Group………………………………………………..45 3.3.5. Environmental Protests in Norway, its Permissibility and Significance for the Oil and Gas Industry……………………………………………………………………………46 3.4. Theoretical Framework………………………………………………………………..48 3.5. The Basic Assumptions of Social Constructivism Theory……………………………48 3.5.1. Social Norms……………………………………………………………………………………48 3.5.2 Social construction of reality………………………………………………………………….49 3.5.3. Multiple Identities and Interests of Actors…………………………………………………50 3.5.4. Mutuality of Agency and Structure…………………………………………………………50 3.6. Summary………………………………………………………………………………51 CHAPTER FOUR: RESEARCH METHODOLOGY………………………………….53 4.0. Introduction…………………………………………………………………………...53 7 4.1. Research Design……………………………………………………………………….53 4.2. Sample, and Data Collection………………………………………………………….53 4.2.1. Selection Criteria……………………………………………………………………53 4.2.2. Data Collection Method…………………………………………………………….54 4.2.3. Sample Size………………………………………………………………………….55 4.2.4. Data Analysis………………………………………………………………………..56 4.3. Ethical Considerations………………………………………………………………..56 4.3.1. Credibility……………………………………………………………………………57 4.3.2. Transferability……………………………………………………………………….57 4.3.3. Dependability…………………………………………………………………………57 4.3.4. Confirmability………………………………………………………………………..58 4.3.5. Study Limitations…………………………………………………………………….58 4.4. Summary………………………………………………………………………………..59 CHAPTER FIVE: FINDINGS……………………………………………………………..60 CHAPTER SIX: DISCUSSIONS…………………………………………………………..82 6.0. Introduction…………………………………………………………………………….82 6.1. Green Fashion…………………………………………………………………………..82 6.2. Green Trust……………………………………………………………………………..82 6.3. Construction of Green Social Realities………………………………………………..83 6.4. Green Values, Multiple Identities, and Interests……………………………………..84 6.5. Protest - the New Social Norm and Responsibility……………………………………85 6.6. Green Collaboration……………………………………………………………………86 6.7. Green Youth-Related CSR Programs…………………………………………………87 6.8. Socio-Economic Impact of Protest…………………………………………………….88 6.9. Political Impact of Protest……………………………………………………………..88 8 CHAPTER SEVEN: CONCLUSION AND RECOMMENDATION……………………90 REFERENCES……………………………………………………………………………...94 APPENDIX………………………………………………………………………………...105 9 List of Abbreviations CCDPs: Carbon Clean Development Projects CCS: Carbon Capture and Storage CDM: Clean Development Mechanism CICERO: Centre for International Climate Environmental Research, Oslo CNES: Council for Nature and Environmental Studies COP: Conference of Parties CPFP: Carbon Partnership Facility Program CSR: Corporate Social Responsibility EGND: European Green New Deal EITI: Extractive Industry Transparency Initiative FOTE: Young Friends of the Earth GCRI: Global Compact Reporting Initiatives GHGs: Greenhouse Gas GOP: Gallup Opinion Pull GP: Greenpeace HLAG: High-Level Advisory Group IPCC: Intergovernmental Panel on Climate Change ISRS: International Scientific Research Station MNOCs: Multinational Oil Companies NBIM: Norway Bank Investment Management NCS: Norwegian Continental Shelf NDC: Nationally Determined Contribution NMBU: Norwegian University of Life Sciences 10 NOAA: National Oceanic and Atmospheric Administration OCF: Our Common Future OL: Operating Licence SDFI: State Direct Financial Interest SECA: Special Envoy for Climate Action STEAM: Science, Technology, Engineering, the Arts and Mathematics SUM: Centre for Development and Environment SWF: Sovereign Wealth Fund TAPI: The American’s Pledge Initiative TCAF: Transformative Carbon Asset Facility TEQs: Tradable Carbon Emissions Quotas UNDP: United Nations Development Program UNFCCC: United Nations Framework Convention on Climate Change USAID: US Agency for International Development 11 List of Photos Photo 1..........................................................................................................................25 Photo 2..........................................................................................................................34 Photo 3..........................................................................................................................44 12 ABSTRACT Despite being a significant fossil fuel exporter, Norway is often perceived as one of the greenest countries in Europe. The Corporate Social Responsibility (CSR) strategies of oil and gas companies represent a key element behind this perception. If these CSR strategies are resulting in genuine contributions to environmental targets, they could be regarded as one important tool for achieving the green shift. Whether CSR strategies can be effective in this way depends on several societal framework conditions. Young people constitute an indispensable element in this context, as this group indicates the evolution of those social norms and identities CSR strategies must take into consideration. Recent climate protests of young people in Norway and all over the world put the established CSR strategies and the ability of the industry to contribute to the green transition to the test. The response of the Norwegian oil and gas industry to these protests is particularly significant, as Norwegian society is strongly guided by the idea of aligning economic activity with societal values. Stronger than elsewhere, companies are expected to contribute to values across environmental, social, and economic dimensions as stipulated by the policy guidelines set by the Norwegian government. This study thus examines how young people at various Norwegian institutions perceive and portray the oil industry’s response to the recent