Ian McCoy’s Post

A report launched today by the Independent High-Level Expert Group on Climate Finance points out that negotiators at #COP29 need to mobilize at least $1 trillion per year by 2030 for #DevelopingCountries to cope with #ClimateChange. While countries are fighting over how to raise the resources needed, The Bureau of Investigative Journalism revealed that global banks that have committed to net zero have poured, since May 2021, almost $1 trillion into companies pursuing expansion of oil and gas projects. Together, these projects would produce almost seven times the annual emissions of the US. Read more: https://lnkd.in/edg7-CJc

It's crazy that Climate Finance isn't targeting more efficiently fossil fuel phase out ! Coal, Oil and Gas – are by far the largest contributor to global climate change, accounting for over 75 per cent of global greenhouse gas emissions. In this new illuminem article, I discuss how Carbon Markets, Just Energy Transition Partnerships, and Debt-For-Climate Swaps could be redirected to deter new oil extraction projects Thanks again to Maria Rugamer for the smooth collaboration as usual ! PS : Ready to turn up the heat and crack the top 10 in the Oil and Gas section!

Today is finance day at COP29 Azerbaijan - the 'finance Cop'. Hopefully, negotiations will advance for a new climate finance deal to assist developing countries in tackling a crisis they didn't cause. We don't know exactly how much it will be, but it needs to be roughly $1trillion from next year, the experts say. That's the same amount that banks with net zero commitments have helped raise for companies expanding oil and gas since 2021. And that was the year the International Energy Agency (IEA) clearly said we couldn't have new developments if we were to keep any chance of limiting global heating to 1.5C (and not devastate the planet). "It’s indefensible,” said John Lang, founder of the Net Zero Tracker. “There’s no way we can meet the temperature goals of the Paris Agreement if we continue financing the exploration of oil and gas.” Among the banks is NatWest, which appears to have broken its climate pledge by working on deals for bp (which is exploring for gas in Azerbaijan). Full story by Josephine Moulds here https://lnkd.in/e7K5rR7K And see Helia Ebrahimi's great take from last night's Channel 4 News here: https://lnkd.in/ekBBZXxA

Happy to share a new paper I contributed to: an assessment of impact of Climate Finance on cost of production of synthetic methane produced from electricity (e-methane or SNG). My thanks to corresponding author and all other authors. https://lnkd.in/dcMUFvCa

Hey, Simon Stiell. It's about time for consensus minus a few on climate ACTION. Deeds, not words. So, let's talk about the numbers. Mine, and yours. Global clean energy investment reached $2tn in 2023, fossil fuel investments slipped to $2Tn in 2023, and G2O fossil fuel subsidies exceeded $2Tn in 2023. Start here: *If we hurry, global emerging economies may only need $2.7Tn /yr in clean energy investments through 2050 ($67.5Tn) U.S. EU and China each may only need ~$17Tn through 2050 ($51Tn). A total global financial requirement of $118.5Tn by 2050. $96.5tn less than BNEF estimates, and $156.5Tn less than McKinsey estimates. *If global fossil fuel investments decreased to $0/yr, $2Tn/yr could be reallocated to clean energy investments *If global fossil fuel production subsidies decreased to $0/yr, ~$1Tn/yr could be reinvested into clean energy. Price of oil would initially increase to $105/bbl, and price of gas at Henry Hub would initially increase to $5/mmbtu. *As energy transition progresses both oil and gas prices will crater. Progressively reducing any requirement for fossil fuel consumption subsidies. *If global clean energy investments increased to $5Tn/yr. $125Tn would be available for energy transition 2025-2050 In 2050, Global GDP is expected to reach $150Tn with energy transition. Or, peak at $120Tn in 2050 w/o energy transition as climate change kills millions, and damage robs $30Tn from the global economy in 2050, and more & more in each out year. Have a nice day. https://lnkd.in/eFiGU_-h

Get the latest from COP29 as discussions over climate finance continue into the final few days. Read the Renewable Energy Institute's full roundup here: https://bit.ly/4eHyznS #COP29 #RenewableEnergy #RenewableEnergyInstitute

Carbon Bombs The Hidden Cost of Carbon Bombs: Is Your Bank Financing Climate Catastrophe? A carbon bomb is a fossil fuel extraction project that will generate more than one gigatonne of carbon dioxide (1GtCO2) over its remaining life. Despite the global commitment to net zero by 2050, banks are still financing 425 carbon bombs worldwide, with a projected output of 1,180 GtCO2 over their lifetime. Shockingly, these projects account for just 45% of global oil and gas extraction and only 25% for coal. To put this into perspective, the total spending on these carbon bombs is a staggering $1.8 trillion USD—equivalent to the GDP of the 16 most climate-vulnerable countries combined. Meanwhile, our remaining carbon budget as of 2023 is only 400-500 GtCO2, and these projects alone would more than double that limit. Even more concerning is that the world's largest climate fund, the Green Climate Fund, has raised less than 1% of the funds allocated to these carbon bombs. So, which institution are you banking with? And what exactly are they financing?

🌍 ANALYSIS | Government support for fossil fuels totalled $1.5 trillion in 2023, the latest data compiled by IISD shows. That is the second highest figure on record after 2022, when Russia’s invasion of Ukraine sparked an energy crisis. Despite falling oil and gas prices, subsidies for fossil fuel use stayed above $1 trillion. Nearly a third of the total support locked in further fossil fuel production, which is incompatible with a 1.5C global warming limit. Rich countries spent more on fossil fuel subsidies ($378 billion) than they have committed to mobilize as climate finance for the developing world in 2035 ($300 billion). Subsidy reform can free up fiscal space for domestic priorities and meeting international climate finance commitments. There is a huge opportunity to shift financial flows from fossil fuels to clean energy in 2025, at national level and through international negotiations. Governments should agree to stop subsidies for fossil fuel expansion, end public finance to fossil fuels, pivot state-owned enterprises to clean energy, and support people and children, not dirty fuels. Ivetta Gerasimchuk, Tara Laan, Nhat Do, Megan Darby, and Natalie Jones unpack the latest data: https://lnkd.in/gGtRBXNe

The global challenge of funding the transition to meet climate goals is immense, with estimates running into trillions of dollars. Governments are grappling with the source of this massive investment. To limit temperature rises in line with the 2015 Paris Agreement, climate finance needs to increase to around $9 trillion annually by 2030. It's a daunting task, but one that is entirely solvable. The key lies in boosting expenditure on renewables while decreasing investments in old energy systems. - Attracta Mooney, Financial Times #ClimateChange #Finance #RenewableEnergy