G7 criticizes Covid bailout without “green wires”

The world’s leading economies have allocated more than $ 189 billion in epidemic recovery aid to fossil fuels, despite government promises to “build greener” and reduce carbon emissions.

Coal, oil and gas accounted for more than half of the $ 372 billion in energy production by the G7 from January 2020 to March this year. research from Tearfund, A development charitable organization supported by two independent think tanks.

Most of the money was transferred “without a chain” without requiring companies to help reduce their carbon footprint.

“The recovery of the post-Kovid economy is a huge opportunity to accelerate the transition to a green economy,” said Rich Gover, a senior partner at Tearfund. “At the moment, the G7 is not taking advantage of that.”

And the lines of epidemic life highlighted in the introduction 9 billion euros in aid to Lufthansa of the German government 10 $ 10 billion in government assistance to airports.

Some $ 147 billion has been spent on clean energy projects, such as tax incentives in Italy, to encourage people to make their homes more energy efficient.

The G7 countries account for about a quarter of the world’s carbon emissions, even though they make up only about 10 percent of the world’s population.

Governments have stepped up their green commitments this year ahead of the UN Climate Change Conference, known as COP26, in Glasgow in November. More ambitious emission reduction programs are combined with promises of new green jobs and industry investment.

Graph of public money liabilities from January 2020 to March 2021

In May, The G7 countries have promised to suspend all new funding for foreign coal projects By the end of this year, “make an accelerated effort” to limit global warming to 1.5 degrees in the industrial period.

However, the Tearfund study found that so far much of the cost of rehabilitation has run counter to plans to use cleaner energy sources.

In a separate report released Wednesday, the International Energy Agency said that approvals for coal-fired power plants increased in 2020 due to projects in China and other Asian countries.

Upstream investment in the oil and gas industry is expected to grow by about 8% this year, but will remain below pre-crisis levels, the IEA added.

“Governments must go beyond promising to reduce emissions, take concrete steps to accelerate investment in market-ready clean energy solutions, and foster innovation in early-stage technologies,” said Fatih Birol, FAT Executive Director.

According to a Tearfund report, the governments of Australia, India, Korea and South Africa, the guests of the G7 summit, all supported the expansion of coal production by taking financial or political measures from January 2020.

The researchers advised the G7 to adopt the “do no harm” principle at all costs, which should include attaching “green lines” to any support for fossil fuel-intensive sectors, ending government spending on coal and oil extraction. gas:

Section 7 states that the G7 should also use its influence to encourage development banks to adjust their activities to global warming by 1.5 degrees.

“Every penny matters,” Gover said. Spending on polluted energy today is “perpetuating fossil fuels for the future.”

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