Defense Contractor: Climate Change Could Create “Business Opportunities”

Raytheon is worried about the risks of global warming. But it also thinks climate-related “security concerns” could boost demand for its military products.

<a href="http://commons.wikimedia.org/wiki/File:Tomahawk_Block_IV_cruise_missile.jpg">US Navy photo</a>/Wikimedia Commons


Of all the business opportunities presented by global warming, Raytheon Company may have found one of the most alarming. The Massachusetts-based defense contractor—which makes everything from communications systems to Tomahawk missiles—thinks that future “security concerns” caused by climate change could mean expanded sales of its military products.

Raytheon, it should be noted, isn’t exactly gunning for catastrophic global warming. Quite the opposite, in fact: In February, the company received a “Climate Leadership Award” from the Environmental Protection Agency for publicly reporting and aggressively reducing its greenhouse gas emissions. It’s working on renewable energy technologies. And it has publicly warned of significant climate-change-related risks to its business—from things like hurricanes, floods, droughts, and forest fires.

Raytheon anticipates “demand for its military products and services as security concerns may arise…as a result of climate change.”

So it’s particularly striking that these very same climate-induced disasters could also have a financial upside for Raytheon. Like many other companies, Raytheon regularly submits information to the nonprofit Carbon Disclosure Project about its carbon reduction efforts and how climate change could affect its business. In response to a question about climate-related opportunities, Raytheon wrote [registration required] last year that “expanded business opportunities are likely to arise as consumer behaviour and needs change in response to climate change.”

What kind of business opportunities? Raytheon cites its renewable energy technologies, weather-prediction products, and emergency response equipment for natural disasters. But the company also expects to see “demand for its military products and services as security concerns may arise as results of droughts, floods, and storm events occur as a result of climate change.”

The document says that these extreme weather conditions could have “destabilizing effects” and that on an international level, “climate change may cause humanitarian disasters, contribute to political violence, and undermine weak governments”:

Recent actions and statements by members of Congress, members of the UN Security Council, and U.S. military officers have drawn attention to the consequences of climate change, including the destabilizing effects of storms, droughts, and floods. Domestically, the effects of climate change could overwhelm disaster-response capabilities. Internationally, climate change may cause humanitarian disasters, contribute to political violence, and undermine weak governments. Customers’ needs are changing as the world transitions to a low-carbon economy where energy efficiency, renewable energy, and highly efficiently energy delivery becomes paramount. Expanded business opportunities will arise to Raytheon as a result of these security concerns and the possible consequences.

Raytheon says in the document that these opportunities are “very likely” to occur 6 to 10 years down the road, but the company doesn’t specify which military products in particular it thinks could become more popular. Jon Kasle, a Raytheon spokesperson, declined to elaborate on specific, future business opportunities, citing “competitive and other reasons.” Kasle did highlight Raytheon’s work on the Joint Polar Satellite System—a National Oceanic and Atmospheric Administration program to monitor environmental and weather conditions. In addition, Kasle cited a mobile air traffic control system, recently purchased by the US Air Force, that he noted “could be used in humanitarian missions such as supporting recovery from a hurricane, flood, or other natural disaster.” Raytheon’s website suggests it could be useful on a “remote battlefield,” as well.

Kasle also emphasized that the Carbon Disclosure Project document “details the company’s extensive commitment to environmental stewardship and related, substantive programs.”

A recent study noted that “some forms of intergroup violence…tend to be more likely following extreme rainfall conditions.”

Raytheon certainly isn’t alone in contemplating the potential for climate-related conflict. Recently, a group of researchers published a paper in Science concluding that global warming could substantially increase the frequency of violent conflict. The paper, which surveyed dozens of academic studies, noted that “some forms of intergroup violence, such as Hindu-Muslim riots [in India]…tend to be more likely following extreme rainfall conditions” and that low water availability, very low temperatures, and very high temperatures “have been associated with organized political conflicts in a variety of low-income contexts.” That may be happening in Syria, where some experts believe that a severe drought helped spark the country’s bloody civil war.

Raytheon also isn’t the only defense contractor thinking about both the risks and opportunities associated with government responses to a warming world. Boeing, for example, says in a Carbon Disclosure Project report that its business could be impacted by the US government’s “increasing focus” on renewable energy. And Lockheed Martin states that the reputational boost from its efforts to reduce carbon emissions could help it win defense contracts.

More Mother Jones reporting on Climate Desk

AN IMPORTANT UPDATE

We’re falling behind our online fundraising goals and we can’t sustain coming up short on donations month after month. Perhaps you’ve heard? It is impossibly hard in the news business right now, with layoffs intensifying and fancy new startups and funding going kaput.

The crisis facing journalism and democracy isn’t going away anytime soon. And neither is Mother Jones, our readers, or our unique way of doing in-depth reporting that exists to bring about change.

Which is exactly why, despite the challenges we face, we just took a big gulp and joined forces with the Center for Investigative Reporting, a team of ace journalists who create the amazing podcast and public radio show Reveal.

If you can part with even just a few bucks, please help us pick up the pace of donations. We simply can’t afford to keep falling behind on our fundraising targets month after month.

Editor-in-Chief Clara Jeffery said it well to our team recently, and that team 100 percent includes readers like you who make it all possible: “This is a year to prove that we can pull off this merger, grow our audiences and impact, attract more funding and keep growing. More broadly, it’s a year when the very future of both journalism and democracy is on the line. We have to go for every important story, every reader/listener/viewer, and leave it all on the field. I’m very proud of all the hard work that’s gotten us to this moment, and confident that we can meet it.”

Let’s do this. If you can right now, please support Mother Jones and investigative journalism with an urgently needed donation today.

payment methods

AN IMPORTANT UPDATE

We’re falling behind our online fundraising goals and we can’t sustain coming up short on donations month after month. Perhaps you’ve heard? It is impossibly hard in the news business right now, with layoffs intensifying and fancy new startups and funding going kaput.

The crisis facing journalism and democracy isn’t going away anytime soon. And neither is Mother Jones, our readers, or our unique way of doing in-depth reporting that exists to bring about change.

Which is exactly why, despite the challenges we face, we just took a big gulp and joined forces with the Center for Investigative Reporting, a team of ace journalists who create the amazing podcast and public radio show Reveal.

If you can part with even just a few bucks, please help us pick up the pace of donations. We simply can’t afford to keep falling behind on our fundraising targets month after month.

Editor-in-Chief Clara Jeffery said it well to our team recently, and that team 100 percent includes readers like you who make it all possible: “This is a year to prove that we can pull off this merger, grow our audiences and impact, attract more funding and keep growing. More broadly, it’s a year when the very future of both journalism and democracy is on the line. We have to go for every important story, every reader/listener/viewer, and leave it all on the field. I’m very proud of all the hard work that’s gotten us to this moment, and confident that we can meet it.”

Let’s do this. If you can right now, please support Mother Jones and investigative journalism with an urgently needed donation today.

payment methods

We Recommend

Latest

Sign up for our free newsletter

Subscribe to the Mother Jones Daily to have our top stories delivered directly to your inbox.

Get our award-winning magazine

Save big on a full year of investigations, ideas, and insights.

Subscribe

Support our journalism

Help Mother Jones' reporters dig deep with a tax-deductible donation.

Donate