As Californians continue to deal with the fallout from one of the most deadly and destructive wildfires in US history, how the government responds to individual losses will be a defining factor in enabling a just recovery. This is where a Universal Basic Income (UBI) — a guaranteed, unconditional cash payment to all individuals regardless of their income — can help.
No matter the cause of the wildfires, one truth remains undeniable: climate change is exacerbating the frequency and severity of these disasters. Higher temperatures, prolonged droughts, and shifting weather patterns are all contributing factors that make California—and many parts of the world—more susceptible to wildfires and other extreme weather events. These climate-induced disasters are likely to become more frequent, and their impacts more severe, in the years to come.
A UBI could play a critical role in supporting families who lose their homes and livelihoods in the wake of these wildfires. While media reports may lead people to think the fires have mostly impacted wealthy, celeb-studded areas, they have also affected many low- and middle-income communities like Altadena, for whom cash transfers could mean the difference between having the ability to evacuate, relocate, and recover, or becoming destitute.
A UBI for California could be set at or near the state’s poverty line, which would be roughly $1,250 per month for a single-person household. Alternatively, a lower baseline payment could be introduced and "dialled up" in times of disaster, with additional support provided to communities based on zip code or evacuation zones. With this, UBI payments could ensure that displaced families have immediate financial relief.
In the Global South, emergency cash transfers are already commonplace. In Nigeria, the International Rescue Committee is working with Google to predict flood patterns and release cash to those most likely to be affected. In Malawi, the Scottish Government worked with NGO GiveDirectly in the wake of Cyclone Freddy in 2023 to distribute direct, unconditional cash to over 2,600 displaced families. These measures are vital in countries that may lack the social security infrastructure to efficiently distribute payments, but what if there was a mechanism to provide a global basic income for everyone in the world?
The funding for such a UBI should be closely tied to the sources of climate breakdown—the biggest polluters. One potential model could involve a new, progressive system of carbon taxes, such as frequent flyer levies on the aviation industry, or wealth taxes on the richest individuals and corporations that continue to profit from environmentally destructive practices.
California already has a Cap-and-Trade system in place, which distributes small amounts of money to state residents through utility bill credits. This system could be expanded and reformed into a "Cap-and-Share" model, where revenues from carbon taxes and other climate-related levies would be directly distributed to individuals in the form of a UBI.
Whilst Cap and Share has not been implemented anywhere (yet!), the Cap and Share Climate Alliance (CASCA) is a global movement exploring this idea. There are several different models, but most share the following characteristics that differentiate them from—and make them preferable to—Cap and Trade.
A UBI for wildfire survivors, which could be funded by a Cap and Share system, would be a payment for climate justice. The communities most affected by wildfires, whether in California or elsewhere, are often least responsible for the climate crisis. By linking UBI to the polluters driving the crisis, we can address these injustices head-on. And providing financial support for displaced families is a crucial component in mitigating climate change's effects and building a more resilient, just society.
Equal Right has developed a global Cap and Share policy to end fossil fuel dependency whilst ensuring those most affected by climate change are not left behind. The policy aims to cap fossil fuel extraction, reduce emissions, and raise trillions in climate finance, without needing governments to dig into existing budgets. We envision that the cap would be set by international agreement and informed by climate experts depending on the world’s remaining carbon budget. In order to extract fossil fuels, companies would need to obtain permits from an international regulating body, who could limit the number of total permits issued to keep us within planetary boundaries.
Based on the research in our report, we estimate that such a policy could raise over $5 trillion in its first year, with a modest payment of at least $30 a month for every person in the world. The policy could then be activated in the wake of natural disasters, or topped up by national or state governments. This would make a significant impact in the lives of many in the global south and provide a framework to ensure everyone receives their fair share of wealth from natural resources.
Equal Right is a global campaign working on economic justice without borders. Our work starts with a bold but simple idea: that everyone has an ‘Equal Right’ to a share of the world’s wealth and resources. Working with a fast-growing network of activists and experts from every continent, we research solutions, build movements and lead change on climate justice, tax justice and a global universal basic income. Find out more at equalright.org. For more information about Equal Right’s Cap and Share research, please see our Visual Summary or contact comms@equalright.org.
Patrick has ten years experience as an elected representative in local and national government, a PhD in politics from Queen's University, and a background in grassroots organising, environmental advocacy, and political campaigning. He is based in Downpatrick, Northern Ireland
This piece is a guest article written for the Center. The views and opinions expressed in this article are those of the writers, and do not necessarily reflect the views or positions of the Center.