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illuminem summarizes for you the essential news of the day. Read the full piece on Financial Post or enjoy below:
🗞️ Driving the news: Negotiations among wealthy nations to limit public financing for international oil and gas projects have failed to reach an agreement
• The European Union, United Kingdom, United States, and other countries sought to restrict export-credit agency funding for fossil fuel projects under the Organization for Economic Co-operation and Development
• Despite ongoing discussions, a comprehensive deal to curb support for hydrocarbon projects remains unlikely, according to senior U.S. officials
🔭 The context: The proposal aimed to redirect up to $40 billion annually from fossil fuels to renewable energy projects
• Some nations, like the UK, France, and Canada, have reduced public funding for overseas fossil fuel projects, while others, such as the US, continue substantial investments, even as the OECD moves to limit fossil fuel financing, including ending export credit support for coal-fired power in 2021
🌍 Why it matters for the planet: Public financing plays a crucial role in the development of energy projects worldwide
• Redirecting funds from fossil fuel projects to renewable energy is crucial to meet global climate goals, honor Paris Agreement commitments, and accelerate the clean energy transition to mitigate climate change impacts
⏭️ What's next: Negotiators plan to continue discussions into early January, aiming to reach a consensus on limiting fossil fuel financing
• The negotiations' outcome could shape future international climate agreements by requiring major economies to align economic interests with environmental commitments for effective public fund allocation in energy projects
💬 One quote: "Negotiations are still ongoing" — OECD spokesperson
📈 One stat: A group of more than 30 countries cut public funding for fossil fuel projects overseas by up to $15 billion last year, although the U.S. continued to invest $3.2 billion in such projects
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