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The author contends that Canada's attempt to claim emission credits for low-carbon exports is incompatible with the territorial GHG accounting system used by the UNFCCC. While Internationally Transferred Mitigation Outcomes (ITMOs) under Article 6 of the Paris Agreement allow for credit transfers, the author argues these are unlikely to apply to commercial transactions like LNG sales, as importing countries are unlikely to voluntarily surrender credits for products they already pay for at market price. Furthermore, the document asserts that changing global accounting rules to include export effects would be resisted by other nations and could potentially penalize Canada due to its high-emission exports, such as oil sands products.

The report finds that while most thematic bonds meet standards, approximately 25% of green bonds and 6% of social and sustainability bonds priced in 2022 were excluded from Climate Bonds databases due to insufficient information or non-aligned Use of Proceeds (UoP). Key issues include the allocation of funds to general working capital in China, the inclusion of roads in social and sustainability frameworks in Japan, and inadequate building standards in the USA and Germany.

The report highlights a significant imbalance in African gas infrastructure, where investments are heavily skewed toward LNG export terminals rather than domestic electricity generation. With an estimated $245 billion in total gas infrastructure investments underway or planned, the document warns of 'stranded assets' as the world transitions to clean energy and European demand fluctuates. It details the current and projected capacities of LNG terminals, pipelines, and gas-fired power plants, noting that while countries like Nigeria, Mozambique, and Tanzania pursue massive export projects, they continue to face severe domestic electricity shortages.

The document analyzes the current and planned gas infrastructure in Africa, highlighting a significant imbalance where the majority of investment is directed toward LNG exports to Europe rather than domestic electrification. It details the costs and capacities of LNG terminals, pipelines, and gas-fired power plants, noting that while billions are proposed for development, much of this remains in the proposal stage and faces financial risks due to the transient nature of European energy demand.

The report highlights a planned US $245 billion expansion of gas infrastructure in Africa, primarily driven by European demand following the Russian invasion of Ukraine. It argues that this focus on exports, particularly LNG and pipelines, undermines domestic energy needs and the transition to renewable energy. Significant funding gaps exist for proposed projects, and the report warns that these investments may become stranded assets as the global energy transition progresses.

Asia is currently developing 442 million tonnes per annum (mtpa) of new LNG import capacity, representing a US$119 billion investment. While driven by growing energy demand, these plans face a 'fork in the road' due to extreme price volatility caused by the European energy crisis and the falling cost of renewable energy. China leads the regional buildout, accounting for nearly half of Asia's planned capacity. The document warns that this infrastructure could lock economies into fossil fuel reliance, contradicting global 1.5°C warming targets.

Private equity firms have significantly enabled the U.S. to become the world's largest LNG exporter, with investment in 86% of operating terminals. The report argues that these investments drive climate change via methane emissions and pose safety risks to frontline communities, citing the 2022 Freeport LNG explosion as an example of operational failure linked to worker fatigue and mismanagement.

The document criticizes ENGIE's coal phase-out strategy, claiming the company avoids genuine decarbonization by selling coal plants to third parties or converting them to fossil gas and solid biomass. It highlights specific asset sales in Europe, Brazil, and Morocco, and conversions in Chile, arguing these actions are not aligned with a 1.5°C trajectory and risk ecological damage.

Reclaim Finance criticizes ENGIE for its 'false' coal exit strategy, which involves selling coal plants to third parties or converting them to biomass and fossil gas. The document highlights specific cases in Germany, the Netherlands, Brazil, Morocco, and Chile, arguing that these actions avoid corporate responsibility for environmental damage and fail to align with a 1.5 °C warming trajectory.

The document examines the IEA's WEO 2022, specifically the Net-Zero by 2050 (NZE) scenario, to outline a transition from fossil fuels to clean energy. It argues that fossil fuel demand is peaking and that achieving the 1.5°C target requires a total transformation of energy investment, characterized by a '9 for 1' ratio of clean energy to fossil fuel spending by 2030.

The report warns that massive LNG expansion and a lack of ambitious national climate targets are jeopardizing the 1.5°C warming limit. It highlights that current 2030 targets lead to 2.4°C of warming and that LNG capacity under construction could increase emissions by over 1.9 GtCO2e per year by 2030 above Net Zero scenarios. While some policy progress is noted in the US, China, and the EU, international climate finance remains insufficient, and the phase-down of coal is largely being ignored by major emitters.

Recourse argues that the MDBs' COP27 Joint Statement is a disappointment because it ignores the 1.5°C warming target and obscures the fact that MDB support for fossil fuels exceeds their financing for renewables. The organization highlights a lack of transparency regarding Paris Agreement alignment methodologies and calls for the MDBs to rule out fossil gas and LNG as transition fuels.

Earthjustice criticizes the continued reliance on a centralized fossil-fuel energy grid in Puerto Rico, citing the failure of LNG and coal plants and the resulting energy-related deaths following Hurricane Fiona. The organization advocates for the use of unspent FEMA funds to implement distributed rooftop solar and storage systems, as supported by US Department of Energy Secretary Jennifer Granholm and local communities like Adjuntas.

The document examines how countries in the Global South can achieve energy access and economic growth by leveraging clean energy instead of relying on liquefied natural gas (LNG). Using South Africa and Vietnam as case studies, it suggests that renewable energy is increasingly competitive and that gas power plants supplied by imported LNG will play a smaller role in affordable grid expansion than previously assumed.

The document asserts that based on the IEA's 2022 World Energy Outlook, there is no viable long-term scenario for the growth of fossil fuels, including natural gas. It argues that expanding long-lived infrastructure like liquefied natural gas (LNG) is a risky gamble for public funds, especially as Canada faces competition from lower-cost suppliers like the United States and Qatar. The author concludes that the only durable solution to the current energy and climate crises is a dramatic scaling up of clean energy and energy efficiency.

The report finds that LNG developments in Mozambique and Tanzania face significant transition risks, with asset values potentially dropping by 61% and 69% respectively in a 'Well Below Two Degrees Centigrade' (WB2C) scenario. In a 'Net Zero by 2050' (NZE) scenario, most projects would become uneconomic or 'value destructive' for investors. The authors argue that pursuing domestic gas-led industrialisation could further erode the viability of export projects and may require substantial government subsidies, potentially costing Tanzania approximately $5 billion over 30 years. Consequently, governments face material downside risks to public finances, as they intend to use gas revenues for public expenditure.

The report examines the impact of global decarbonisation on Africa's natural gas sector, distinguishing between existing and emerging producers. It argues that faster global transitions to net-zero emissions will reduce LNG demand and prices, creating 'external' climate transition risks that threaten the viability of future projects. The analysis suggests that domestic demand is an insufficient hedge against these risks due to regulated low prices and the increasing competitiveness of renewable energy. Emerging producers are identified as particularly vulnerable due to weaker sovereign credit ratings and the timing of their infrastructure investments.

The document argues that the Paris financial center continues to support oil and gas expansion despite commitments to the 1.5°C goal. It systematically dismantles ten 'received ideas' used by banks, insurers, and asset managers to justify this support, citing IEA and IPCC data to show that no new fossil fuel projects are compatible with net-zero pathways. The briefing highlights that 'transition' claims by oil majors are often unsupported by investment data and that engagement without the threat of exclusion is ineffective.

Bangladesh faces a potential $11 billion expenditure on spot market LNG imports from 2022 to 2024 due to diminishing domestic gas reserves and a heavy reliance on gas-fired power generation. The analysis indicates that implementing the ambitious solar targets of the Mujib Climate Prosperity Plan could reduce these imports by 25% and save approximately $2.7 billion. Despite this, the country continues to prioritize new gas and coal capacity over renewable energy, which currently accounts for only 1% of total power generation.

Reclaim Finance argues that increasing liquefied natural gas (LNG) and coal capacity will not solve Europe's energy crisis, asserting that the crisis stems from fossil fuel dependence. The organization criticizes BlackRock CEO Larry Fink for promoting short-term profits over sustainable solutions and calls on European institutional investors to pressure BlackRock to end its unrestricted investments in coal and adopt stronger decarbonization targets.