After the oil crash, we need a managed wind-down of fossil fuel production

The authors argue that governments must plan the decline of coal, oil, and gas production to meet the Paris Agreement's 1.5°C limit and avoid further market chaos. They highlight a significant 'production gap,' noting that planned extraction by 2030 exceeds climate-compatible levels by 60% for oil, 70% for gas, and 280% for coal. The text advocates for a 'just transition' that supports fossil fuel workers through diversification, the removal of consumption subsidies—which totaled at least $400 billion in 2018—and the use of green investment to ensure community viability.

• Current government plans for fossil fuel extraction by 2030 significantly exceed the levels compatible with a 1.5°C warming limit, specifically by 60% for oil, 70% for gas, and 280% for coal.
• Fossil fuel consumption subsidies reached at least $400 billion in 2018 and should be reformed, particularly for consumers, given record low oil and gas prices.
• To ensure a resilient recovery from the pandemic, governments should make industry bailouts and stimulus funds conditional on diversification away from fossil fuels and invest in green industry.
• A just transition requires inclusive planning and social dialogue to provide alternative livelihoods for fossil fuel workers and communities, supported by multilateral and bilateral cooperation.

APA

Verkuijl, C., Gerasimchuk, I., & Hagelberg, N. (2020). After the oil crash, we need a managed wind-down of fossil fuel production. Stockholm Environment Institute. https://www.sei.org/perspectives/after-the-oil-crash-we-need-a-managed-wind-down-of-fossil-fuel-production/

Chicago

Verkuijl, Cleo, Ivetta Gerasimchuk, and Niklas Hagelberg. After the oil crash, we need a managed wind-down of fossil fuel production. Stockholm Environment Institute, 2020. https://www.sei.org/perspectives/after-the-oil-crash-we-need-a-managed-wind-down-of-fossil-fuel-production/.

Wikipedia

{{cite press release |last1=Verkuijl |first1=Cleo |last2=Gerasimchuk |first2=Ivetta |last3=Hagelberg |first3=Niklas |title=After the oil crash, we need a managed wind-down of fossil fuel production |publisher=Stockholm Environment Institute |date=8 May 2020 |url=https://www.sei.org/perspectives/after-the-oil-crash-we-need-a-managed-wind-down-of-fossil-fuel-production/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@misc{verkuijl2020after, author = {Verkuijl, Cleo and Gerasimchuk, Ivetta and Hagelberg, Niklas}, title = {{After the oil crash, we need a managed wind-down of fossil fuel production}}, publisher = {Stockholm Environment Institute}, year = {2020}, month = may, url = {https://www.sei.org/perspectives/after-the-oil-crash-we-need-a-managed-wind-down-of-fossil-fuel-production/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }