ActionAid Ireland welcomes IHREC policy statement which calls for change in how the State views and values care

ActionAid welcomes the publication of a new Irish Human Rights and Equality Commission policy (IHREC) statement which calls for a fundamental change in how the State views and values care.

The IHREC statement

The IHREC publication on care sets out actions that must be taken by the State to translate European and international standards into public policy commitments and measures.

The policy statement highlights the general principles that must underpin the provision and receipt of care at every stage of life, and the importance of both paid and unpaid care and its significant implications for gender equality and the importance of public services.

Action Aid Ireland CEO, Karol Balfe, said: Care- both paid and unpaid- is essential work, most often delivered by women globally and in Ireland. Care is critical to the social infrastructure on which our societies are built- it includes simple acts of supporting others, but also more demanding acts of care for others. The failure by governments to value care and provide quality public services has a detrimental impact on women’s lives, particularly in securing economic equality.”

Ms Balfe said that as the government plans for a referendum on care in Ireland, we should treat care as “a major societal and human rights priority” not only domestically, but also by championing the value of care in its foreign policy. This would ensure that we support women globally in their call to have the importance of care recognised.

Importance of public services

“As the climate crisis demands we change our societies and economies, we must ensure that any just transition is grounded in gender equality and as the IHREC paper points out- there is a huge importance in the role of public services in delivering care. Profit cannot be the driving motive for such a crucial issue, this is a public good and a human rights issue. This  would also contribute to ending poverty  and promote sustained, inclusive and sustainable economies.”

Ms Balfe said women and girls are the main providers of unpaid care and domestic work, something which is passed on to them through both patriarchal gender roles and the failure of modern states to deliver public services that really deliver for women.

“Ireland is committed to gender equality and has committed to review the constitution to better reflect this and update our modern day understanding of care and what it means. However the reality is that our economic system is dependent on women’s disproportionate care and domestic work burden. When governments cut or fail to adequately finance public services, it is women who are left to take on a larger proportion of responsibilities such as caring for their families, young children, the sick and the elderly or as we see in countries in the Global South, walking ever further to collect water and fuel.”

Ms Balfe said Action Aid Ireland sees the uneven burden of care that falls on women globally and that the IHREC focus on the role of public services was welcome.

The full IHREC policy statement can be accessed here: https://www.ihrec.ie/documents/policy-statement-on-care/

Photo caption: Danielle Nelson, Great Care Co-Op, Shelly Gaynor – ILMI independent living movement Ireland, Georgia Grogan, Doras Buí and Sarah McEntee, Doras Buí, participants in ActionAid and NWC Hearing on Care, May 2023.

Protesters holding End Fossil Fuels banner at a climate demonstration, advocating for renewable energy solutions.

Protestors at COP 28 in Dubai. Photo: Konrad Skotnicki.

Climate protest with diverse crowd holding signs about environmental action in a city square.

Belfast Climate Change March, 2019. Photo: Trócaire.

The Profit Driving the Crisis

Despite their overwhelming contribution to global emissions, fossil fuel companies continue to attract significant financial backing—driven by their enduring profitability. This is starkly illustrated by the case of ExxonMobil, the top fossil fuel investment held by asset managers based in Ireland. In 2023, ExxonMobil reported €33.63 billion ($36 billion) in profit. That is almost twice the GDP of Botswana (€18.1 billion) and nearly three times Namibia’s GDP (€11.5 billion).

Ireland plays a hugely disproportionate role in facilitating investments into fossil fuel companies like ExxonMobil. In 2023, the investments made into fossil fuel companies by investment managers based in Ireland generated an estimated 72.5 million tons of CO2e. This is more than the CO2e emissions for the entire country of Ireland—and more than ten times that generated by Sierra Leone.

The Global Human Impact

The climate crisis is here, now, and it is causing disproportionate harm in the Global South. In Bangladesh, rising sea levels and increasingly severe cyclones are displacing coastal communities, with projections indicating that 17% of the entire country could be underwater by 2050. The legally binding Paris Agreement on climate change explicitly acknowledges the importance of tackling private finance. Its three overarching goals are: keeping below 1.5C of warming; increasing adaptation and making finance flows consistent with low emissions and resilience.

This gives a clear mandate for action:  both tax reform and corporate regulation are needed to tackle financial flows, and both nationally in Ireland and at EU level, ‘polluter pays’ taxes are lacking and regulation of the financial sector remains weak and fragmented. While EU regulation exists, it is designed more to nudge investors toward more sustainable investment practices by increasing transparency and reporting levels than to enforce strict standards. And it is moving in the wrong direction: the recently passed EU Corporate Sustainability Due Diligence Directive excluded investments; and now the EU Commission’s Omnibus legislative proposal threatens to undo the limited gains made on climate plans, as well as blocking future attempts for stronger action at national level.

The Risk of Inaction

Fossil fuel investment is too profitable to remain weakly regulated. If Ireland continues with its current strategy of encouraging FDI at all costs, and relying on weak EU regulation, we are headed for catastrophe. The Inter-governmental Panel on Climate Change has repeatedly warned that every fraction of a degree beyond 1.5°C brings irreversible consequences: collapsed ice sheets, vanishing coral reefs, and extreme weather events that will make vast regions of the planet uninhabitable. And yet, companies are developing oil and gas fields that could push global warming beyond 2°C.

Our research found that 91% of the investments made into fossil fuel companies by investment managers based in Ireland were to companies that have plans for fossil fuel expansion like these. Ireland cannot afford inaction on this issue.

About This Research

The figures in this report regarding investment from Ireland are based on new research commissioned by ActionAid Ireland and Trócaire. In the paper, we uncover the scale of fossil fuel investment through Ireland, who the investors are, and in which fossil fuel companies they are investing.  We analyse the current regulatory framework and explain why it is inadequate—and moving in the wrong direction. And we make specific recommendations for change, which are summarised below.

Summary of Recommendations

Regulate the private financial sector
Ireland must end its outsized role as an enabler of destructive fossil fuel investment. Ireland should introduce a strong gender-responsive national human rights and environmental due diligence framework which includes the regulation of investors with respect to human rights and the environment and climate. The transposition of the EU Corporate Sustainability Due Diligence Directive could achieve this if downstream activities are included and the Omnibus proposal is rejected. Ireland should prohibit investments in fossil fuel expansion and require investors to implement climate transition plans consistent with a 1.5°C climate limit.

Endorse the Fossil Fuel Non-Proliferation Treaty
Ireland should endorse developing a Fossil Fuel Non-Proliferation Treaty to curb fossil fuel expansion and commit to a fair and funded phase out of fossil fuels.

Support tax justice
Ireland should support bold and fair new global tax rules through the UN Framework Convention on Tax, should adopt all OECD BEPS measures, and should conduct an updated and comprehensive spillover analysis of its tax policy. Ireland should take coordinated action globally, at the EU level and domestically to introduce a range of new taxes to mobilise finance needed for climate justice, based on ‘polluter pays’ and social equity principles such as wealth taxes for the highest earners, climate damages tax on investors, fossil fuel production taxes and levies on aviation and shipping.

Finance a just transition
Ireland must also meet its fair share climate finance obligations under Article 9.1 of the Paris Agreement, and pay our ecological debt to the Global South. Ireland should support conditionality-free debt cancellation for countries on the front lines of the climate crisis, commit to a new UN Framework Convention on Sovereign Debt, moving debt negotiations from the IMF to the UN, and to a debt workout mechanism that is fully representative and fair.

Further reading