Key facts
- Woodside Energy sponsors the Fremantle Dockers AFL team.
- Sponsorships are used by companies like Woodside to build social capital and goodwill.
- Fossil fuel companies seek visible sponsorship deals to gain public support for projects.
Fossil fuel giant Woodside Energy is facing renewed calls to end its sponsorship of the Fremantle Dockers AFL team due to its contribution to climate change. The company's deals with sporting organizations are seen as an attempt to build social capital and goodwill, which is becoming increasingly difficult to maintain as climate awareness grows.
The growing climate awareness among sports fans, particularly younger demographics, poses a risk to the social license of fossil fuel companies like Woodside. As sports increasingly rely on stable environmental conditions, the perceived contradiction between a company's core business and its community engagement efforts could lead to reputational damage and pressure for sponsors to be replaced.
Woodside Energy's sponsorship of the Fremantle Dockers AFL team is facing renewed scrutiny as fans and commentators question the alignment between the fossil fuel company and the sporting club, particularly in light of growing climate change awareness. Companies like Woodside often engage in high-profile sponsorships to build "social capital" – a reservoir of goodwill that can help absorb public backlash and support their operational and policy objectives. This strategy involves leveraging fans' emotional loyalty to their teams to foster a positive perception of the company.
Professor Emma Sherry, dean of the school of management at RMIT University, explains that companies with "complex relationships" with their communities, such as extractive industries, often direct funds towards sports and the arts to create a "good feeling" towards their brand. This approach is not inherently nefarious, as companies are often expected to give back to the communities where they operate.
However, the issue becomes contentious when the sponsor is a major emitter of carbon and attempts to use community engagement to shape public opinion. The recent renewal of Woodside's sponsorship deal with Fremantle at the end of 2024 included a claim that both organizations focused on "sustainability," a position that has become more difficult to defend after Woodside abandoned its long-term emissions and clean energy targets. In response to campaigns calling for the removal of the sponsor, Woodside has stated its commitment to the partnership.
An investigation by climate communication charity Comms Declare highlighted how major fossil fuel companies are reaching children through various programs, including sports clubs, often accepting funding from institutions facing financial pressures. Woodside's extensive sponsorship of 47 programs, including surf lifesaving "nippers" in Western Australia, was noted in the report. The link between fossil fuel companies and sports sponsorships is not new, with companies like Santos and Alinta Energy also having significant partnerships in the past. However, fan unease is growing, mirroring backlash against sports betting platforms, suggesting that the perceived indispensability of such commercial deals may shift as public sentiment evolves.
Pick the topics you care about. Get only what matters, on your cadence.