Oil and gas companies often sponsor sporting teams and community organisations to build social capital, according to Professor Emma Sherry, dean of the school of management at RMIT University. This goodwill can help companies manage public backlashes.
Fossil fuel producers, in particular, aim to maintain strong public support because they depend on state and federal policymakers, and sometimes local councils, for expansion and operations. Community opposition can hinder their projects.
Professor Sherry, who specialises in sport management, notes that companies with "complex relationships" with local communities frequently direct funds to sports, hoping to leverage fans' emotional loyalty to their teams. This strategy aims to create a positive association with the company.
The issue becomes more complex when high-profile sponsors are carbon-emitting businesses using sport and other community activities to influence public opinion. For example, Woodside Energy's sponsorship of the Fremantle Dockers has faced renewed calls for its removal after the company scrapped its long-term emissions and clean energy targets.
A report by climate communication charity Comms Declare found that major coal, oil, and gas companies are reaching children through various programs, including schools, museums, science centres, and sporting clubs. Woodside is a significant presence in this report, sponsoring 47 programs, including the beach "nippers" program run by Surf Life Saving Western Australia.
Growing climate awareness, particularly among younger fans, is making sporting codes realise how a changing climate could threaten their future. Professor Sherry highlighted that sports rely on the natural environment, and rising temperatures could lead to policies that halt play.