National Oil Companies and Climate Change: Insights for Advocates

This briefing from the International Institute for Sustainable Development provides five strategic recommendations for climate and development advocates seeking to engage with National Oil Companies (NOCs) to reduce fossil fuel supply and promote sustainable economies.

• National oil companies (NOCs) are deeply integrated into their home countries' economic systems, meaning that engagement with these companies requires engaging with the ambitions of the respective governments and citizens.
• Decision makers within NOCs and their governments often fail to perceive the economic risks posed by the energy transition because their incentives remain tied to the status quo.
• Economic diversification is essential for NOC reform, as reducing oil production without viable economic alternatives would negatively impact vulnerable populations in producing countries; however, diversification progress has been limited by structural barriers and a lack of political commitment.
• Advocates should use tailored strategies for different NOCs based on five specific dimensions: production cost, national income level, openness to external influence, home economy dependence on oil, and the scope of climate impacts.
• While NOC investment in renewable energy can provide them with a stake in the energy transition, it can also be counter-productive if NOCs lack the necessary technical, institutional, and financial capacities, potentially crowding out other actors.

APA

Roth,, A. G. R. P. H. M. M. M. M. M. M. P. (2021). National Oil Companies and Climate Change: Insights for Advocates. International Institute for Sustainable Development. https://www.iisd.org/publications/national-oil-companies-advocacy-insights

Chicago

Roth,, Alexandra Gillies,Patrick R. P. Heller,Paasha Mahdavi,David Manley,Valérie Marcel,Lourdes Melgar,Francisco Monaldi,Greg Muttitt,Angela Picciariello,Joachim. National Oil Companies and Climate Change: Insights for Advocates. International Institute for Sustainable Development, 2021. https://www.iisd.org/publications/national-oil-companies-advocacy-insights.

Wikipedia

{{cite report |last1=Roth, |first1=Alexandra Gillies,Patrick R. P. Heller,Paasha Mahdavi,David Manley,Valérie Marcel,Lourdes Melgar,Francisco Monaldi,Greg Muttitt,Angela Picciariello,Joachim |title=National Oil Companies and Climate Change: Insights for Advocates |publisher=International Institute for Sustainable Development |date=8 November 2021 |url=https://www.iisd.org/publications/national-oil-companies-advocacy-insights |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{roth2021national, author = {Roth,, Alexandra Gillies,Patrick R. P. Heller,Paasha Mahdavi,David Manley,Valérie Marcel,Lourdes Melgar,Francisco Monaldi,Greg Muttitt,Angela Picciariello,Joachim}, title = {{National Oil Companies and Climate Change: Insights for Advocates}}, institution = {International Institute for Sustainable Development}, year = {2021}, month = nov, url = {https://www.iisd.org/publications/national-oil-companies-advocacy-insights}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }