Search Climate Insights Directory

In 2019, Canada's federal fossil fuel subsidies totaled at least CAD 600 million, though the actual figure may be higher due to data gaps regarding tax measures and the Trans Mountain pipeline. The report notes a shift in subsidy focus from exploration to production and export infrastructure, including liquefied natural gas. It argues that these subsidies undermine Canada's net-zero 2050 goal and 2030 emissions targets. The document recommends that Canada complete its G20 peer review with Argentina in 2020, commit to no new subsidies, and integrate subsidy reform into its next Nationally Determined Contribution under the Paris Agreement.

The report finds that the EU is proposing or building gas infrastructure worth €99 billion, which would increase import capacity by over 30% despite existing capacity already being nearly double current consumption. This expansion contradicts EU climate goals to reach net-zero emissions by 2050, which require a sharp reduction in fossil gas use. The author highlights that many of these projects, including those on the European Commission's 4th list of Projects of Common Interest (PCI), are unnecessary for energy security and risk becoming stranded assets. Additionally, the report notes that EU gas-fired power plants are currently underutilized compared to global averages and are increasingly uncompetitive against renewable energy portfolios.

The report finds that federal fossil fuel subsidies in Canada for FY 2019/20 totaled nearly CAD 600 million, though this is a conservative estimate due to missing data on tax-related subsidies and specific projects. It highlights a shift in government support from exploration toward infrastructure and exports, particularly for the natural gas sector. Key examples include a CAD 275 million transfer to LNG Canada and ongoing support for the Trans Mountain pipeline. The document also identifies carbon pricing exemptions as effective subsidies for fossil fuel consumption and notes that provincial subsidies generally outpace federal ones. It recommends that Canada include subsidy reform in its next Nationally Determined Contribution (NDC) and complete its G20 peer review by 2020.

The report estimates that Canadian federal fossil fuel subsidies reached nearly 600 million CAD in 2019-2020, though this is considered a low estimate due to missing data on tax expenditures and specific projects like Trans Mountain. The analysis highlights a shift in funding from exploration toward production, infrastructure, and export, with a notable increase in support for the liquefied natural gas (LNG) sector. The authors argue that these subsidies hinder Canada's ability to meet Paris Agreement targets and recommend incorporating subsidy reform into the next Nationally Determined Contribution (NDC).

This report provides a detailed inventory of fossil fuel-related assets held by major private equity firms. It categorizes investments into upstream (exploration and production), midstream (pipelines and storage), downstream (refineries and retail), and power generation (coal and gas plants). The data covers diversified managers like Blackstone and KKR, infrastructure specialists like Macquarie and Brookfield, and energy-focused firms such as Riverstone and EnCap, detailing specific company acquisitions, their functions, and geographic locations.

Australia has increased its total government support for fossil fuels by 30% compared to the 2014–2016 average, primarily through tax exemptions and credits. Total support averaged USD 7.7 billion between 2017 and 2019, with the vast majority (USD 7.5 billion) directed toward fossil fuel use. The document highlights significant tax breaks for producers via the Petroleum Resource Rent Tax (PRRT) and fuel tax credits, noting that nine of the ten largest producers paid no corporate income tax in 2017–18.

Brazil ranks first among non-OECD G20 countries in the scorecard due to low support for coal and fossil fuel-based power, though it continues to provide significant funding for oil and gas production. While state-owned enterprise investments in fossil fuels decreased by 23% compared to the 2014–2016 average, the country faces criticism for a lack of transparency and the implementation of new tax incentives to boost oil and gas production.

Canada provides significant public finance for fossil fuels, ranking worst among G20 OECD members on a per GDP basis. While some exploration measures have been phased out, total support increased by 12% relative to 2014–2016, driven largely by infrastructure development for oil and gas, including liquefied natural gas. The document highlights substantial unquantified support for projects like the Trans Mountain Pipeline and recent COVID-19 relief measures for fossil fuel producers.

Japan is ranked second among G20 OECD member countries for its low level of support for fossil fuel use, yet it remains the second-highest supplier of public finance for fossil fuel projects. While overall support dropped by 48%, Japan increased public finance for coal production by 944% relative to the 2014–2016 average. The document highlights significant transparency gaps and the continued funding of coal and LNG projects in countries like Bangladesh, Vietnam, and Indonesia.

The United States continues to provide significant public finance and subsidies for fossil fuel production and consumption, with a total government support average of USD 7.6 billion between 2017 and 2019. While there was a temporary decrease in international public finance due to a lack of board quorum at the U.S. Export-Import Bank, the bank has since approved USD 4.7 billion for liquefied natural gas in Mozambique. The document highlights a lack of transparency, noting that many production subsidies are unaccounted for in OECD totals, with alternate estimates placing these at USD 20.5 billion per year. Additionally, the U.S. provided USD 72 billion in COVID-19 support for fossil fuels as of August 12, 2020, including USD 58 billion for airline companies via the CARES Act.

As of 2018, approximately 80 percent of Bangladeshi households lacked access to clean cooking alternatives, with 74 percent of the rural population relying on biomass. While LPG adoption is growing at 8–10 percent annually due to government tax exemptions, other technologies like electric stoves (1.1% usage) and improved cookstoves (10% usage) face affordability and awareness barriers. Financing is heavily skewed toward improved cookstoves (ICS) via development finance institutions (DFIs) and government programs like IDCOL, while private sector participation remains limited except in the LPG sector. The proposed National Action Plan 2020–2030 estimates a total investment requirement of USD 2.9 billion to achieve 100 percent clean cooking access by 2030.

The document examines the transition from Kyoto-era carbon credits to ITMOs under Article 6 of the Paris Agreement, detailing the two primary cooperation avenues (Article 6.2 and 6.4) and the remaining challenges in establishing a rulebook. It categorizes potential project types, analyzes Canada's preparations—including waste sector partnerships in Chile and LNG exports—and highlights the economic potential of Article 6 to reduce NDC implementation costs by half by 2030 if properly regulated to avoid double counting and 'hot air'.

British Columbia provided CAD 830 million in fossil fuel subsidies during 2017–2018, with a significant portion consisting of royalty credits for producers. The report argues that these subsidies, including support for the liquefied natural gas (LNG) industry via the BC-LNG Canada Agreement, undermine the 2018 CleanBC plan and hinder the province's ability to meet greenhouse gas emissions reduction targets.

The report highlights that British Columbia provides hundreds of millions of dollars in fossil fuel subsidies, which contradicts its CleanBC policy and carbon pricing efforts. It specifically identifies the LNG sector and royalty credits as major areas of concern and recommends a comprehensive phase-out plan and increased data transparency.

The report identifies that British Columbia provides hundreds of millions of dollars in annual fossil fuel subsidies through tax exemptions, royalty reductions, and direct spending, which contradicts its CleanBC climate policy. It highlights a significant amount of foregone revenue, including billions in outstanding royalty credits and specific long-term supports for the liquefied natural gas (LNG) sector, and recommends a transparent self-review and phase-out plan.

The document argues for the denial of the Tacoma LNG project, claiming it locks Washington into 40 years of fossil fuel dependence and poses significant safety and health risks. It asserts that the project's purpose has shifted from peak-shaving for utility customers to primarily serving as a marine and trucking fuel source, necessitating a new environmental review. The authors contend that the Puget Sound Clean Air Agency (PSCAA) has underestimated greenhouse gas emissions by relying on flawed assumptions regarding methane leakage and the 'no-action' alternative. Additionally, the document highlights failures in the Final Environmental Impact Statement (FEIS) to address recent LNG disasters, cumulative toxic air emissions in a densely populated urban area, and environmental justice impacts on the South Sound community and the Puyallup Tribe.

The report identifies a massive global expansion of LNG infrastructure, with at least 202 terminal projects in development representing $1.3 trillion in capital outlays. This growth is heavily concentrated in North America, where the U.S. and Canada account for 74% of proposed new export capacity. The authors argue that this expansion risks creating stranded assets as renewable energy costs fall and that the lifecycle greenhouse gas impact of these projects is comparable to, or exceeds, that of new coal-fired power plants. Consequently, the report calls for a moratorium on new LNG construction to align with IPCC targets requiring gas use to decline by 2030 and 2050.

The document examines the discovery of natural gas in the Eastern Mediterranean and the subsequent formation of political alliances between Greece, Cyprus, Israel, and Egypt. It evaluates three primary monetisation strategies: the East Med pipeline to Europe, a pipeline to Turkey, and a triangular strategy using Egypt as a gas hub. The author argues that while these projects are politically desirable for regional security and EU diversification, they face severe technical, financial, and geopolitical obstacles—including high construction costs, seismic risks, and volatile global gas prices—that may render them commercially unviable.

The document analyzes Turkey's ambition to become a regional energy hub and how this goal conflicts with its assertive geostrategic vision and the emerging energy partnerships of other Eastern Mediterranean states. It details Turkey's use of 'gunboat diplomacy' and naval presence to protect the sovereign rights of Turkey and the Turkish Republic of Northern Cyprus (TRNC) against the Republic of Cyprus (RoC) and its allies. The authors argue that the current security architecture, characterized by trilateral partnerships and maritime boundary disputes, creates a challenge for Turkish policymakers attempting to reconcile energy ambitions with national security and sovereignty claims.

The paper argues that Africa can leapfrog into sustainable development by learning from China's infrastructure successes and failures. It highlights the 'Avoid-Shift-Improve' framework for transportation and examines case studies in high-speed rail, automated ports, and urban mass transit to suggest low-carbon alternatives to road-based development.