Charge a fee to companies that dig up fossil fuels and send the money straight to the victims of climate disasters

In short

  • Companies that dig up coal, oil, and gas pay a fee based on how much they take out.
  • The money goes to areas hit by climate disasters as a grant that does not have to be paid back.
  • After a major disaster, money reaches residents quickly, without waiting for them to apply.
  • Representatives of the hit areas join the group that decides how the money is used.
  • Countries hit by disasters stop piling up debt to pay for recovery.

If this comes true

In a seaside village where a storm surge flooded the rice paddies with salt water, a woman who grows rice used money that reached the village account ten days later to buy salt-tolerant seed and drainage pumps.

Perhaps

In a small town in a country that has built its schools with oil money, the fee might push back the building of new classrooms by several years.

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The proposal in detail

The fee applies to businesses that dig coal, oil, and natural gas out of the ground, and to businesses that import them and first put them on the market. It is based on the amount of carbon dioxide released when the fuel is burned, and it is charged when the fuel is dug up or imported. International agreement sets a minimum level for the fee, and it is raised in steps each year. Each national government collects it and pays most of it into an international fund for loss and damage. The fund does not make loans. It gives grants that need not be repaid to countries and regions that have lost their livelihoods or land to climate disasters. The money is given out in two ways. One is a system in which, when heavy rain, drought, a storm surge, or the like passes a set line on measurements, money reaches local governments or shared community accounts within a few weeks, without waiting for an application. The other is long-term support for slow-moving damage, such as moving villages because of rising seas or farmland that can no longer be used because of salt damage. In the body that decides who receives money and how it is used, representatives of the hit areas take part with voting rights, and records of spending are open for anyone to check. As an exception, producing countries with low income per person that depend heavily on fossil fuel revenue for their budgets pay a smaller share, and may use what they keep at home to shift their industries. Imports from countries that do not join the agreement face the same charge as an adjustment at the border, which closes the loophole.

BenefitsVictims stop waiting for charity and gain a right to receive

Because the flow of money is tied to the amount of fuel dug up, not to the mood or budget troubles of wealthy countries in a given year, hit areas can see how much support will come each year. Instead of bowing their heads to ask for aid as before, they receive money that is owed because of the cause of the harm, and this change in the relationship means more than the amount of money itself. A system that sends money automatically according to the scale of a disaster gives time to rebuild a life before a family that lost its home has to borrow money or pull its children out of school to work. If hit countries need to borrow from abroad less often after each recovery, the money they can spend on health care and education is also protected. In addition, a fee charged on every extraction and raised year after year slowly pushes the market away from fossil fuels. Being able to pay for the damage and encourage cutting emissions with one system at the same time is another strength of this proposal.

DrawbacksHigher fuel prices also reach the wallets of the people we want to protect

The fee is charged to the companies that dig, but they add the cost to the price of fuel, so in the end consumers around the world pay it. When the prices of fuel, electricity, shipping, fertilizer, and food rise, those who suffer most are poor people who spend most of their income on necessities, and among them are residents of the very hit countries this fund is meant to protect. Also, for low-income oil and coal producing countries that have paid for schools and hospitals with fossil fuel exports, the fee directly thins out the national purse. Even with exceptions, fierce fights will break out over where to draw the line, and if some countries stay out of the agreement, only the industries of the countries that joined are put at a disadvantage. Moreover, the countries and companies digging now could end up carrying the share of wealthy countries that burned huge amounts over the past hundred years and more, and doubts about whether this is a fair way to divide responsibility will not easily go away. There is also a real risk that the huge sums collected disappear at government offices or with middlemen along the way instead of reaching the people who were hit, and this is a cost that could actually happen.

Learn the background

The damage from climate change is badly out of line with who caused it. Island nations that have released almost no greenhouse gases, and regions where farming depends on rain, are the ones losing homes, fields, and livelihoods to floods, drought, and rising seas. In international talks, a fund for such loss and damage has been created, but whether to give and how much is left to voluntary promises from wealthy countries, and it falls far short of what is needed. So countries hit by disasters borrow money to recover and then struggle to repay it before the next disaster arrives, a vicious circle. Meanwhile, those who dig and sell fossil fuels can make huge profits in years when fuel prices jump, yet no rule sends part of that to pay for the damage. For pollution inside a country, the idea that the polluter pays the cost of cleaning up is widely accepted, but for climate problems that spread across borders, this basic principle hardly works at all.

Tagsclimate changeinequalitytaxationdevelopment aidglobal governancecrisis management

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This proposal was written in Japanese by AI (claude-opus-5-5, policy version 2026-10-20b) and translated by AI (claude-sonnet-5-5). Nobody has checked the facts. Read the original (日本語) How the AI writes